The Litigation Fund Manager LLC

Item 5: Fees and Compensation

The fees applicable to Private Funds 1 - 5 are set forth in detail in the Asset Management and
Servicing Agreement. The fees applicable to HVLF I LP are set forth in detail in the HVLF I LP
are subject to the investment objectives and guidelines set forth in a Limited Partnership
Agreement. A brief summary is provided below.

Origination and Servicing Fees

For Private Fund 1, LitFund will be paid an origination fee and a servicing fee per quarter,
which are respectively a certain percentage multiplied by the aggregate capital commitments
of the Fund, and a certain percentage multiplied by the aggregate capital deployments of the
Fund, as described in the Asset Management and Servicing Agreement.

For Private Funds 2 - 5, LitFund will be paid a servicing fee per quarter, which is a certain
percentage multiplied by the aggregate capital deployments of the Fund, as described in the
Asset Management and Servicing Agreement.

For HVLF I LP, LitFund will be paid one-time origination fees, which are certain percentages
multiplied by the capital deployments of the Fund, as such amounts are deployed into
investments, as described in the Limited Partnership Agreement.

Other Types of Fees or Expenses

LitFund may be authorized to incur and pay in the name, and on behalf, of the Funds all
expenses which they deem necessary or advisable.

Private Fund 1 will bear all legal and other expenses incurred in its formation and day-to-day
operation and administration. The Investor will bear all legal and other expenses incurred in
the formation and day-to-day operation and administration of Private Funds 2, 3, 4, and 5.

The Firm, the Investor, and Private Funds 1 through 5 will allocate or apportion among
themselves, as set forth in the Asset Management and Servicing Agreement and in the
respective limited liability company agreements, all costs, expenses and liabilities in
connection with the operations and activities of Private Funds 1 through 5, including without
limitation: (a) fees, costs and expenses related to the identifying, structuring, negotiating,
monitoring, financing or disposing of portfolio investments, unconsummated investments and
temporary investments, including legal, accounting, audit, consulting, appraisal, travel,
accommodation, entertainment, and other expenses (to the extent not reimbursed); (b) fees
and expenses of advisers, consultants and other similar professionals who are not employees
or affiliates of the Firm that assist with the sourcing or evaluation of potential investments or
provide financial, structuring, or strategic advice to the Fund or its portfolio investments; (c)
insurance premiums; (d) the organization of any alternative investment vehicle; (e) costs and
expenses of any meeting of Limited Partners; (f) all taxes, fees and other governmental
charges payable by the Fund in connection with any audit, investigation, settlement or review;
(g) litigation expenses; (h) administrative expenses and costs, including expenses associated
with information technology, software licenses, the maintenance of books of account, the
preparation of financial statements and any financial reports (including fees and expenses of
auditors, accountants and counsel); (i) expenses and costs incurred in connection with
government and regulatory filings globally (including legal, custodial, administration, auditing,
accounting and regulatory and compliance expenses, ongoing registration fees charged by

regulators and any fees, costs and expenses incurred in complying with the disclosure,
reporting and other similar obligations, (j) expenses and costs of liquidating the Fund, any
alternative investment vehicle and their subsidiaries and (k) other extraordinary expenses.

The Firm, the Investor, and HVLF I LP will allocate or apportion among themselves, as set forth
in the Limited Partnership Agreement and in the Investment Advisory Agreement, all costs,
expenses and liabilities in connection with the operations and activities of HVLF I LP.

In general, each Investor will bear its proportionate share of fund expenses on a pro rata basis
with respect to the size of such Investor’s capital commitment.

To the extent that expenses to be borne by a fund are paid by the Firm or its affiliates, the
fund will reimburse the Firm or its affiliates for such expenses. We may waive any such
reimbursement with respect to any fund expenses. Any waiver by us for reimbursement of
any fund expenses shall not serve as a waiver of reimbursement for any future fund expenses
to be paid by us or our affiliates.

Neither the Firm nor its employees will accept compensation, including sales charges or
service fees, from any person for the sale of securities or other investment products.

Item 7: Types of Clients

Our clients are the litigation financing Funds, as described in Item 4 above, all of which are
closed, the investors in which are institutional investors, high net-worth individuals, and other
sophisticated investors.