In the battle for money damages in personal injury lawsuits, insurance companies have significant economic advantages over injured plaintiffs and often use a plaintiff’s economic hardships to their benefit. Settlement avoidance techniques can result in a desperate plaintiff accepting an offer far below case value. Simply stated, the typical plaintiff lacks the financial resources to wait out the process. Enter lawsuit funding. But, what is it and how does it work? We asked litigation funding expert, Mark Bello, president and CEO of Lawsuit Financial.
What is lawsuit funding and why was it created?
Lawsuit funding is a process that provides plaintiffs with timely and strategic cash advances that assist them in waiting out the litigation process and allows them to receive, hopefully, a larger settlement or verdict. Simply put, it is a cash advance against the future settlement of a claim. Funding is based on the merits of the lawsuit. Lawsuit funding was created to help to ease the financial strain on plaintiffs while waiting for a settlement or verdict.
How does it differ from a bank loan?
A loan must be re-paid and is often tied to monthly payments, credit checks, and employment verification. Lawsuit funding is a non-recourse cash advance, meaning repayment is only required if, and when, the plaintiff successfully settles his/her case. If the plaintiff loses, the cash advance is waived in its entirety. There are no monthly payments. An applicant does not need to have a job and credit standing doesn’t matter.
Why did you get into the lawsuit funding business?
After practicing law and representing plaintiffs in Michigan for almost 30 years, I thought this would be a good way to help people all over the country.
Does the funding company assert any control over a case?
No. The pursuit of your case litigation, strategy, negotiations, trial preparation, settlement and decisions, etc. belongs to you and your attorney.
What kinds of cases do you fund?
Although not a complete list, Lawsuit Financial funds:
• Plane Crash Lawsuits
• Auto Accidents
• Construction Accidents
• Medical Malpractice
• Nursing Home Neglect and Abuse
• Premises Liability/Slip & Fall
• Products Liability
• Traumatic Brain Injuries
• Train Accidents
• Wrongful Death Lawsuits
Do you provide funding nationwide?
Yes, we operate and can fund cases nationally, except in North Carolina and Colorado.
How do you determine the amount a client can receive?
Every case is different. We examine many factors including:
• How strong is the liability of the defendant?
• What are your injuries?
• How much are your medical bills and lost wages?
• What are the policy limits of the defendant’s insurance?
• What available insurance do you have?
• In what state and jurisdiction did the accident happen?
What if a client loses the case?
If the plaintiff loses the lawsuit, the cash advance is waived in its entirety. If a funding company does not have this policy, the plaintiff should seek other funding companies.
How complicated is the application process? How do you determine if a client qualifies for lawsuit funding?
Applying for lawsuit funding is a quick and simple process and it cost nothing. Simply complete an online application. We handle the rest. The only qualification to receive lawsuit funding is retaining an experienced attorney and having a lawsuit that has a fighting chance to win.
How long does it take to receive funds?
Once approved, the cash advance can be transferred to your bank account in as little as
24 - 48 hours.
Disclaimer: This article is a paid advertisement prepared by Lawsuit Financial Corp. and does not constitute legal or financial advice from Online Legal Media or LawyersandSettlements.com.
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