While litigation funding is praised for expanding access to justice, it primarily benefits the wealthy and powerful, leaving ordinary people with little to gain. Source: Katrin Bolovtsova

Investment in litigation has surged, with projections showing the global market could hit $64.76 billion by 2035. This growth, driven by the increasing complexity and high stakes of legal disputes, is often touted as expanding access to justice. However, beneath this surface of corporate jargon and investor optimism lies a troubling reality: a financial system that ultimately benefits the rich and powerful, while leaving ordinary people in need of justice with little to show for it.

A Rising Tide of Legal Fees: The Sulu Case as a Wake-Up Call

One glaring example of this imbalance is the case of the Sulu heirs, a legal battle that received significant attention, especially due to the involvement of major litigation funders like Therium. To date, Therium has invested about $20 million into the case and is expected to pour in even more. Yet, despite this astronomical sum, the supposed Sulu heirs lost their case in December 2025. This raises an unsettling question: Where did all that money go, and more importantly, who actually benefitted from it?

"This raises an unsettling question: Where did all that money go, and more importantly, who actually benefitted from it?"

Instead of delivering justice to the impoverished people of Sulu, the money was absorbed by an expensive international legal process. Reports indicate that even after European courts closed the door on the arbitration, funding has continued to support efforts to keep the dispute alive internationally, with the apparent objective of pushing Malaysia toward a financial settlement.

The setbacks have been substantial. On December 9, 2025 the Paris Court of Appeal dismissed the final appeal related to the Sulu arbitration, effectively ending the case in European courts. In Spain, judges invalidated the appointment of the arbitrator who had initially ruled in favor of the claimants, citing serious flaws in the arbitration process. A subsequent action pursued against the Spanish state also failed. After years of proceedings across multiple jurisdictions, the legal position of the claimants has weakened rather than strengthened. Despite repeated defeats, the funding has not translated into any tangible benefit for the province whose name anchors the case.

The Discrepancy Between Legal Costs and Local Salaries

The contrast between the tens of millions spent on foreign litigation and conditions on the ground in Sulu is stark. Sulu remains one of the poorest provinces in the Philippines. Poverty rates are estimated at roughly 74 percent. Only slightly more than one in three households has access to electricity. Literacy levels, around 83 percent, trail the national average, and life expectancy is estimated to be under 60 years. Basic services, infrastructure, and long-term economic opportunities remain in short supply.

"That means one hour of legal work from a top-tier lawyer could be equivalent to the entire monthly income of nearly five Filipino workers."

Taking a closer look at the broader issue reveals the financial disconnect between elite legal fees and average incomes, particularly in developing countries like the Philippines. A lawyer in the UK’s "Magic Circle" firms now charges up to $1,800 an hour. Compare this with the average salary in the Philippines, which stands at about $350 per month. That means one hour of legal work from a top-tier lawyer could be equivalent to the entire monthly income of nearly five Filipino workers. For Filipinos in Sulu, who often earn even less, the gulf between these numbers becomes even more striking.

In the US, this disparity is even more pronounced. With hourly rates for top lawyers ranging from $3,000 to $6,000, the reality becomes even harder to digest. A single hour of work from an elite lawyer in the US could be enough to pay the monthly salary of hundreds of Filipino workers. The fact that such exorbitant amounts are spent on legal disputes while the majority of people struggle to make ends meet highlights the stark inequality in the global legal system.

Litigation Costs in Perspective: The Real Price of Access to Justice

The stark financial disparity between the average Filipino’s income and the sums spent on international litigation lays bare the profound inefficiencies of the system. In 2024 and 2025 about $1 million each was invested in development projects in Sulu by regional authorities. If $20 million were invested directly into improving the living conditions, education, or healthcare of the people in Sulu, it could have made a tangible difference to thousands of lives.

"If $20 million were invested directly into improving the living conditions, education, or healthcare of the people in Sulu, it could have made a tangible difference to thousands of lives."

This disconnect between high legal costs and the people who are supposed to benefit from litigation funding also raises another uncomfortable truth: the very people in need of financial support, who are those whose cases are often taken on by litigation funders, are not the ones who see the majority of the financial return. The funding model benefits investors, hedge funds, and large law firms, who are in a constant race to maximize returns on their investments, while the outcomes for the claimants often remain secondary.

Litigation Funding’s Real-World Impact: A Broken System

While litigation funding is often praised as expanding access to justice, it can deepen the divide between wealthy investors and the communities whose names anchor these cases. The Sulu dispute illustrates how tens of millions were funneled into international legal battles, benefiting funders and law firms while delivering no tangible improvements to Sulu itself.

"As legal costs soar, justice remains financially out of reach for those who need it most, leaving Sulu’s poorest residents untouched by a case pursued in their name."

The eight private individuals claiming ties to the historical Sultanate of Sulu have offered no binding assurance that any recovery would support the province. As legal costs soar, justice remains financially out of reach for those who need it most, leaving Sulu’s poorest residents untouched by a case pursued in their name.

REFERENCES

Costs Lawyer UK. (2026). New solicitors’ guideline hourly rates 2026 UK: Updated table and guide. Costs Lawyer UK. https://www.costslawyeruk.com

iScale Solutions. (2025, March 8). Average salary in the Philippines. iScale Solutions. https://iscale-solutions.com

Know Sulu. (2026, January 16). Therium continues private Sulu fight as local hardship continue. Know Sulu. https://know-sulu.ph

Law Society of Ireland. (2022, August 8). Top London firms' hourly rates top €1,000. The Law Society Gazette. https://www.lawsociety.ie

OpenPR. (2026, February 24). Litigation funding investment industry growth trajectory: USD 22,300 million by 2032. OpenPR. https://www.openpr.com

Wall Street Journal (2026, February 18). Lawyer hourly rate hits $3,400, putting elite attorneys out of reach for many. The Wall Street Journal. https://www.wsj.com