Lawsuit Funding: Can it Make a Difference in YOUR Litigation?

June 7, 2012, 8:00AM. By Mark Bello

You were seriously injured in an auto accident, a fall at the store or at a construction site, maybe the victim of a medical mistake. You hired a lawyer and he/she filed your lawsuit. But, your case may take months, years, to settle. You are unable to work, with no other sources of income and no savings. You are physically, emotionally, and financially devastated. If this is you, remember the words Pre-Settlement Lawsuit Funding and read on…

Defendants are financed by large insurance companies; their lawyers know the litigation game. They know you’re strapped for cash; they delay the case, exhausting your limited resources. They force you deeper into debt. The more desperate you become, the better they like it. Then, they make an offer. It’s a terrible offer; your attorney tells you that it’s too little, too soon. You try to follow his advice; you attempt to wait out the long, legal process, but financial pressure builds. You have medical expenses, mortgage/rent obligations, car payments, and monthly bills. You don't qualify for a bank loan. Friends and family can’t help. Finally, there is no other way out. Your only alternative is to call your lawyer and accept that inadequate offer, right? Wrong!

Remember those words “Pre-Settlement Lawsuit Funding”?

In yesterday's legal marketplace, cases were often settled early and for too little, for pennies on the litigation dollar, simply because plaintiffs ran out of money to sustain quality of life while litigation pended. Defendants are financed by insurance companies. Who assists plaintiffs? In today’s legal marketplace, there is lawsuit funding, an easy way to get the cash you need now, without having to settle your case for peanuts. You receive this cash in 24-48 hours based on the merits of your lawsuit, not your credit history. Funding may mean the difference between settling for inadequate compensation or hanging in there and receiving the settlement you deserve. With lawsuit funding, a plaintiff receives immediate cash for important, delinquent, bills and expenses – allowing time for his/her attorney to negotiate a fair settlement. You may receive funding months, even years, before a case is resolved. Depending on case value and quality, you may receive one or many advances over the life of your case. Funding is non-recourse; this means that repayment is solely conditioned upon your settlement or verdict in the case. If you lose your case, your lawsuit funding obligation is forgiven. If you win, the money repaid with appropriate investment profit.

There are choices available when seeking pre-settlement litigation funding. There should be no up-front fees or monthly payment obligations, no credit checks or employment verifications, and no effect on credit standing. The lawsuit funding company should be able to provide a clear understanding of its compensation formula and, as part of its risk, should be willing to provide an appropriate compromise, when necessary, to facilitate a fair settlement. After all, you are the one who was injured; you are the one who has suffered. If a company will not explain its formula for compensation or will not promise a compromise, if necessary, it is the wrong company.

So, how do you know if lawsuit funding is right for you? Are you worried about financial issues resulting from your accident and injuries? Are you facing eviction, foreclosure, repossession of your vehicle? Are you unable to put food on the table, pay medical expenses or other necessities of life? Are you seriously considering settling your valuable case for any amount? If you answered yes to most or all of these questions, you are a candidate for lawsuit funding. What you do not want to do, under any circumstances, is settle your case for an amount that is lower than your attorney feels it is worth. So, what are you waiting for? Get lawsuit funding and stay in the game.