Longford Capital launches ‘American Innovation Initiative’ to back US inventors in patent fights

Longford Capital Management LP has unveiled a new initiative aimed at expanding its financial support for US inventors pursuing patent infringement claims, positioning litigation finance as a tool to bolster domestic innovation and counter intellectual property theft.

The Chicago-based funder said it has launched the Longford Capital American Innovation Initiative, a program designed to provide capital to small and mid-size American companies seeking to enforce their intellectual property rights in federal court. The announcement comes as policymakers and industry groups continue to debate the role of third-party litigation funding in high-stakes commercial disputes, particularly those involving patents and national security-sensitive technologies.

Longford said it has invested roughly $500 million over the past decade to support nearly 100 intellectual property owners. Those matters have generated more than $1.5 billion in recoveries from alleged patent infringers, according to the firm.

The new initiative will focus on inventors operating in sectors such as healthcare, artificial intelligence, clean energy, aerospace, cybersecurity, transportation, and wireless communications. The firm framed the effort as a response to what it described as systematic infringement of American innovations by both domestic and foreign companies, particularly well-capitalized multinationals.

Patent litigation is notoriously expensive, with costs frequently reaching several million dollars through trial. For smaller companies, that price tag can deter enforcement, even where claims are strong. Litigation funders typically cover attorneys’ fees and case expenses in exchange for a portion of any settlement or judgment.

Longford pointed to the experience of Malcolm Beyer Jr., a US Naval Academy graduate and retired Marine Corps captain, whose company developed a communications system intended to improve safety and operational effectiveness for military personnel, law enforcement, and first responders. After alleging infringement by foreign companies, Beyer turned to Longford for financing to pursue his claims. The firm provided several million dollars to support the litigation, enabling the company to continue operations while the case proceeded, Longford said.

The initiative signals a continued emphasis on intellectual property within Longford’s broader portfolio. The firm manages more than $1.2 billion in assets and funds claims across a range of commercial subject areas, including antitrust, contract disputes, fiduciary duty claims, fraud, bankruptcy-related litigation, and domestic and international arbitrations.