Litigation funding—also known as litigation financing or third-party litigation funding (TPLF)—provides a person or entity with the money to pay attorney fees, expert witnesses, and other costs necessary for litigation. Litigation funding is essentially a loan, secured by the proceeds of the expected settlement or collection of judgment in a lawsuit, and is designed to allow persons or entities without the necessary resources to pursue valid claims in litigation.

In New Jersey, litigation funding, also known as third-party litigation funding (TPLF), is a practice where a third party provides financial assistance to a litigant to cover legal expenses such as attorney fees and expert witness costs. This funding is typically non-recourse, meaning that the funder is repaid from the proceeds of a settlement or judgment if the case is successful, and receives nothing if the case is lost. New Jersey does not have specific statutes directly regulating litigation funding for general civil litigation, but the practice is generally permitted and operates under the principles of contract law. However, the New Jersey Bar Association has issued ethical guidelines that attorneys must follow when dealing with litigation funders, including the requirements to maintain attorney-client privilege and to ensure that the funding arrangement does not interfere with the attorney's independent judgment or the client's control of the litigation. Additionally, disclosure of litigation funding arrangements may be required during the litigation process if deemed relevant by the court.