Justice Catalyst Access Fund - Justice Note

Justice Catalyst Access Fund (JCAF) - Justice Note

Program Type: Flexible, non-recourse financing mechanism for social impact litigation

Geographic Scope: United States

Eligibility:

• Applicant Type: Nonprofits and law firms engaged in social impact litigation
• Case Requirement: Must have fee-generating litigation portfolio with expected fee recoveries
• Status: Both established and new social impact litigators supported
• Jurisdiction Limitation: Some jurisdictions do not allow litigation funding; applicants in these jurisdictions may not be eligible

What JCAF Funds:

• General operating funds
• Staff hiring
• Case investigation
• Litigation-related expenses
• Expanding cutting-edge charitable impact litigation caseloads
• Seed funding for new or innovative social impact litigation practices

What the Justice Note Supports:

• Broad portfolio of cases (entire fee-generating litigation docket or full contingency impact practice)
• Generally does NOT fund single cases

Program Mechanics:

• Structure: Functions as a non-recourse line of credit
• Repayment: Only from successful case fee recoveries; absent recoveries, no money owed
• Interest: Charged on amounts drawn down; varies based on organization type and litigation portfolio
• Renewal: Recipients may apply to renew, extend, or increase borrowing capacity based on litigation outcomes and repayment performance
• Forgiveness: Outstanding balances forgiven after predetermined number of years from last disbursement
• Funds: Unrestricted (subject to charitable use requirement)
• Draw: Recipients draw down funds when and as-needed

Key Benefits:

• Flexible: Draw down funds as needed
• Low Risk: Repayments collected only from successful case recoveries
• Unrestricted: While repayment tied to cases, funds themselves unrestricted
• Affordable: Interest rates significantly lower than commercial finance
• Accessible: Serves cases and recipients that wouldn't qualify for traditional litigation financing
• Mutually Supportive: Evergreen fund model allows recycling of repaid funds to support new cases

Oversight:

• Control: JCAF has NO control over litigation decisions (ethical and legal limitation)
• Case Exclusions: JCAF and recipient can mutually agree to exclude specific cases from portfolio
• Co-counsel: Agreement solely between JCAF and organization; fee recoveries from co-counsel not implicated unless co-counsel donates fees to organization

Financial Terms:

• Repayment Cap: Overall repayment capped at principal plus interest; maximum recovery portion from any given case capped
• No Minimum Investment: No minimum for unrestricted grant support
• Customization: Each Justice Note customized based on individual borrower needs including maximum draw amount, interest rate, and repayment terms

Application Process

Step 1: Complete Intake Form

• Submit JCAF Intake Form if interested in learning more
• Contact accessfund@justicecatalyst.org with any questions or concerns

Evaluation Criteria:

• Charitable impact
• Ability to repay

Eligibility Questions to Consider:

1. Are you a nonprofit or firm that litigates cases with broad social impact?
2. Do you sometimes recover fee awards from your cases?
3. Are you interested in flexible, risk-free funding that you'll only repay if you recover fees?
4. Are you willing to repay those funds from your fee awards in successful cases?

Process Details:

• JCAF evaluates both charitable impact and ability to repay
• Customized terms negotiated for each recipient
• Coming soon: More detailed application process information

Contact: accessfund@justicecatalyst.org