Need a Loan to Finance Your Lawsuit?

Litigation isn’t cheap. Anyone who has gone through a lengthy lawsuit can tell you that the costs and expenses of litigation easily spiral into thousands of dollars.

Without funding, lawsuits can’t happen. By no means am I encouraging frivolous litigation, but lawsuits can be necessary to protect and advance your rights.

This is where companies like Lawsuit Funding Services can help. They specialize in helping people fund litigation. Fill out a simple form, they review your case, and you can have funding within 24 hours.

I imagine the lawsuit funding industry is actually pretty busy. Litigation loans could be used in many cases where the plaintiff would not otherwise have the funds to pursue a lawsuit. I’m sure the loan companies review the case to make sure there is a good chance of monetary recovery so they can recoup on their loan.

At the same time, I would bet that some people do not look highly on this sector of the financial services industry. Something about lawsuit loans leaves a slightly bitter taste in the mouth. It almost seems like the payday and car title loan industry. Hopefully it’s not.

For some reason I keep thinking of A Civil Action, where a tiny law firm almost went bankrupt trying to nail W.R. Grace and Beatrice Foods for dumping toxic waste. (Yes, I know the book was first. And yes, I know it’s based on a real case.)

Have you ever needed lawsuit funding? What do you think of this industry?

Note: This was a sponsored post, but there were no requirements as to length, content, or tone. The views above reflect my honest opinions.

Photo by TW Collins

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Comments

4 Responses to “Need a Loan to Finance Your Lawsuit?”

David Harper
July 17th, 2008

Andrew,

Great post on legal funding. It’s a fast growth area. The biggest growth is in an area you don’t mention explicitly…cash advances given to consumers who are involved in lawsuits with the expectation that there will be a settlement. For consumers, the nice thing about it is that if they don’t win the case, there is no obligation to pay back the advance. One important disclaimer…the money is for living expenses, not for lawyer expenses.
Andrew Flusche
July 17th, 2008

@David – I didn’t know that type of funding was even available. Your disclaimer makes me wonder: how can you enforce that?
Beegoes
December 9th, 2008

Thanks for sharing this great post. It is informative and helpful. I have been searching for a site that could provide me comparison of all available home loan lenders to save my time and efforts. you’ve really helped out. Thanks
e file
December 25th, 2008

Great post on legal funding. It’s a fast growth area. The biggest growth is in an area you don’t mention explicitly…cash advances given to consumers who are involved in lawsuits with the expectation that there will be a settlement. For consumers, the nice thing about it is that if they don’t win the case, there is no obligation to pay back the advance. One important disclaimer…the money is for living expenses, not for lawyer expenses.