TriMark Legal Funding has been providing fast, risk-free lawsuit loans and pre settlement lawsuit cash advances nationwide since 2003.
What Is a Lawsuit Loan?
Despite the name, a lawsuit loan is not a traditional loan at all. It is a cash advance provided by a funding company based on the expected settlement from a pending lawsuit. When you apply for a lawsuit cash advance, the funding company evaluates your case and provides a certain amount of money to you based on the estimated worth of your lawsuit’s claims. If you do not win your lawsuit, you do not have to repay the money that you received from the funding company.
If you do not win your lawsuit, you do not have to repay the lawsuit loan you received from the funding company.
Why Should You Consider Getting a Lawsuit Loan?
If you need money but still waiting for your case to resolve, getting a lawsuit loan could be your best option. Here are some of the reasons you might need financing:
No Compensation Until Settlement or Verdict
When you are injured in an accident, you may need to file a lawsuit to recover damages for lost wages, medical bills, or other harm caused by injuries. However, even if your lawsuit is successful, you will not receive any financial compensation until the case settles or concludes after a verdict.
Trials Often Take Longer Than Expected
Plaintiffs are often surprised at how long a trial can take. Model standards proposed by the National Center for State Courts suggested that 90% of general civil cases should take up to a year from start to finish. However, these standards are only guidelines. In reality, many civil cases are not resolved until 12-18 months after they are filed. Procedural rules, extended discovery periods, and scheduling conflicts can all cause delays.
Plaintiffs may face financial difficulties during long trials since they can’t collect damages until the case is settled or a verdict has been reached.
Job or Income Loss
Plaintiffs who have been injured in an accident or involved in a workplace dispute often lose their jobs or the ability to earn money for themselves.
Need for Longer Recovery Time
While your lawsuit is pending, work may be difficult due to lingering injuries. A lawsuit loan gives you time to receive medical treatment and recover from your injuries rather than rushing back to work too soon.
Need to Get Better Settlement
Lawsuit loans give you the time and financial space to negotiate a fair settlement.
Inability to Access Other Sources of Funding
Traditional loans and credit cards all involve a credit score check. There may also be application fees and lots of paperwork to fill out. With a lawsuit loan, you can qualify regardless of your credit score, and the application process is free and relatively simple.
Compounding Financial Problems
Mortgage or rent payments, utility bills, car notes, and medical bills all have to be paid whether or not you have received your settlement. Getting behind on your financial obligations can lead to serious consequences like foreclosure, eviction, or repossession. Lawsuit loans can help you avoid these undesirable outcomes.
For those who are unable to address their financial issues before they get out of hand, personal bankruptcy is a possibility. Loss of employment and medical bills, two of the most common complications you may experience during a drawn-out lawsuit, account for more than half of bankruptcy filings.
Can You Get a Lawsuit Loan for a Personal Injury Case?
For example, personal injury cases are one of the most common types of general civil litigation. Personal injury cases can arise from a wide variety of situations including car accidents, slip-and-fall incidents, dog bites, assault and battery, and medical malpractice cases.
To recover damages, a plaintiff must first file the lawsuit. Because of several factors such as complex rules and procedures, most people will require a qualified attorney’s services for this. The attorney will file the lawsuit on your behalf in state or federal court depending on your claims.
The plaintiff’s attorneys often work on a contingency fee basis. In a contingency fee arrangement, the attorney agrees to represent you for a percentage of the settlement or damages awarded after a verdict. The amount of the contingency fee varies, though the typical amount is around 33% of the recovery amount.
Once the case is filed, it triggers a series of procedural rules and deadlines. However, these deadlines may be adjusted due to scheduling problems or other issues, causing the case to take longer. According to survey data, only 21% of personal injury cases are resolved within one month of the case being filed. Another 27% are resolved within six months of the filing date. However, the remaining 52% of cases take up to a year or more before a settlement or verdict is reached.
As the cases drag on, some of the plaintiffs involved in these cases may lose their jobs due to their injuries or may need extra money to pay for medical care or past bills. However, they will not receive damages unless they receive a favorable settlement or win their case. A pre-settlement loan allows these plaintiffs to “borrow” from their future settlement or award to solve their current financial problems.