Armadillo Litigation Funding LLC

Item 5 - Fees and Compensation

A. The fees and expenses associated with an investment in the relevant Fund are described in detail in
   the Funds’ Offering Documents. Armadillo may, in its sole discretion, manage other funds with
   higher or lower fees, different fee structures and different expense payment arrangements than the
   Funds.

    Armadillo will receive a management fee that is generally calculated as a percentage of invested
    capital of the Fund. Armadillo reserves the right to waive or reduce the management fee for certain
    Limited Partners including employees, Armadillo-affiliated feeder funds (or the limited partners of
    such feeder funds), or affiliates of Armadillo.

    Except for rare circumstances described in the applicable partnership agreement of each Fund or in
    an investor’s side letter, investors generally are not permitted to withdraw or redeem interests in
    the Funds. The information contained herein is a summary only and is qualified in its entirety by
    each applicable Client’s Offering Documents.

    Management Fee. During a Fund’s investment period, the Management Fee is typically between
    1.25% and 2% per annum of each investor’s invested capital amount that has not yet been realized.
    After a Fund’s investment period, the Management Fee is typically between 1.25% and 1.5% per
    annum of each investor’s invested capital amount that has not yet been realized.

    The Management Fee is payable by a Fund to the Adviser or its designee quarterly and in advance.
    The Management Fee will be appropriately prorated for any period that is less than a full calendar
    quarter.

    Carried Interest. Additionally, the general partner of a Fund, or other affiliate of the Adviser such
    as a special limited partner, may be eligible to receive an incentive or performance allocation from
    the Client based on a percentage of investment proceeds on distributions (the “Carried Interest”).
    Distributions are split between Clients and the General Partner as set forth in the Client’s Offering
    Documents. Generally, the Carried Interest is between 15% and 20%, with a catchup following the
    return of capital and preferred return to the limited partners.

    The compensation described above is the Adviser’s typical compensation. However, Management
    Fee and Carried Interest rates may be negotiable. The Adviser has the right to enter into agreements
    with one or more Fund investors to waive or modify certain terms of the offering of a Fund’s

    interests, or certain rights and obligations of the Fund investors, including compensation, otherwise
    applicable to such interest(s), in each case without notice to the Fund’s other investors.

    With respect to Co-Investment Vehicles, any fees received by the Adviser are generally negotiated
    on a vehicle-by-vehicle basis, but may include commitment-based fees, performance-based fees or
    allocations, expense reimbursements or other administrative fees similar to those described below
    relating to the Funds. Any such management or administrative fees received by the Adviser relating
    to a Co-Investment Vehicle do not offset the management fees paid to the Adviser by the Funds.

B. The Adviser neither deducts fees from a Client’s assets nor bills a Client directly. Management
   Fees are payable by the Clients to the Adviser and the Carried Interest is distributed by the Clients
   to the General Partner, in each case on the terms provided for in the Clients’ Offering Documents.
   The Management Fee may be paid from drawdowns from the investors, which will reduce unpaid
   capital commitments, or out of investment proceeds (which will be treated as if they were
   distributed to the investors and immediately recontributed by such investors for this purpose).

C. Each investor will make a capital contribution for its pro rata share (based on aggregate capital
   commitments) of all costs, fees and expenses incurred in connection with organizing, establishing
   and qualifying a Fund and its General Partner and the marketing and offering of investor interests
   in such Fund (the “Organizational Expenses”). The Fund will bear a certain amount of
   Organizational Expenses, as determined by the Fund’s Offering Documents.

    In addition, except as otherwise provided in the applicable Offering Documents and to the extent
    that the Adviser or the General Partner has not elected to pay such expense without an expectation
    of reimbursement (such expenses, the “GP Expenses”), each Fund will be responsible for all
    expenses related to the business and operation of such Fund (the “Fund Expenses”), which will
    generally include the following fees, costs and expenses relating to or arising from:

        •   Organizational Expenses;

        •   Management Fees;

        •   the out-of-pocket expenses incurred in connection with maintaining the existence of the
            Fund, including, without limitation, franchise taxes and partnership registration and
            registered agent fees and expenses, and all regulatory and compliance costs (including costs
            related to Form PF, compliance programs and third-party compliance consultants) of the
            Fund and its General Partner, including all fees, costs and expenses necessary to register
            or qualify the Fund or its General Partner (or their respective subsidiaries or affiliates)
            under any applicable laws, rules or regulations, or to maintain such registrations or
            qualifications, or to obtain or maintain exemptions thereunder;

        •   out-of-pocket fees, costs and expenses associated with monitoring compliance with the
            Fund’s partnership agreement, any side letter agreements (including the distribution and
            implementation of any applicable elections pursuant to “most-favored-nation” or similar
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Item 7 - Types of Clients

As described in Item 4, the Adviser provides investment advisory services to private funds that are
exempt from registration under the Investment Company Act of 1940, as amended. The offering of
interests to investors in the Funds are not registered under the Securities Act of 1933, as amended (the
“Securities Act”), or the securities laws of any U.S. state or any other jurisdiction. The offering of the
Funds’ interests is made to U.S. persons in accordance with Regulation D promulgated under the
Securities Act by the SEC and to non-U.S. persons in accordance with Regulation S promulgated under
the Securities Act by the SEC.

Generally, each Fund requires a minimum commitment of $1 million, but such amount may be waived
by the General Partner, subject to applicable legal requirements.