Talcum Law Firm Accuses Litigation Funders of ‘Pirating’ Cases

Emily Siegel reports that Mississippi-based The Smith Law Firm PLLC has sued Ellington Financial, ICG Investments and Stifel Financial in federal court alleging a “loan to own” scheme tied to tens of millions in talc litigation financing, claiming the funders withheld a promised $30 million tranche to force a default and seize control of fee streams in long-running claims against Johnson & Johnson, a dispute that spotlights structural and governance risks in large law firm funding arrangements.

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