Liens – Pre-Settlement Funding Concerns

The overall purpose of these posts is to inform identify and explain various issues involved with securing pre-settlement funding on a pending lawsuit.  Plaintiffs and their attorneys are usually very confident in the merits of the case.  However, various issues routinely arise when attempting to quantify the risk associated with the repayment of pre-settlement funding,…

Details

Lawsuit Funding As a Hedge

In this post, we will be looking at the practice of hedging as it pertains to pre-settlement funding. Let’s say you’re in Las Vegas this summer and you place a bet on the New York Giants to win the Super Bowl at odds of 15 – 1.  That is, you bet $1,000 to win $15,000. …

Details

What are Non-Recourse Lawsuit Loans?

Although the phrase “non-recourse lawsuit loan” is commonly used to describe legal funding or pre-settlement cash advances, the truth is that most transactions involving plaintiff and lawsuit funding companies are not “loans” in the traditional sense of the word. When a case is approved for a non recourse lawsuit loan, the two parties entering into…

Details

Legitimate Attorney Concerns with Lawsuit Funding

Origination of new legal funding business usually comes in two forms.  Either the client contacts the lawsuit loan company or a lawyer refers one of his clients who need immediate cash against his/her case.  Attorney referrals are the ideal way to secure funding because the referring attorney usually understands the funding business and can secure…

Details

What is the Best Way for Attorneys to Handle Lawsuit Funding?

In the last post, we discussed how an unregulated lawsuit funding market allows for increased flexibility and touched on how that flexibility may be able to help attorneys and their clients in the realm of pre-settlement funding.  The post also touched on an approach which, if implemented correctly, allows the attorney to utilize this flexibility…

Details