Restricted States for Legal Funding

This page will eventually explain which states restrict legal funding and how those restrictions differ from states that fully prohibit it.

Some jurisdictions allow funding but impose strict rules on fees, contract terms, or underwriting practices. These limitations can affect approval timelines, maximum advance amounts, and the types of cases that qualify. Understanding these nuances helps plaintiffs know what to expect before applying for lawsuit funding.

The full guide will outline the states with partial restrictions, the legal reasoning behind these limitations, and how courts interpret non-recourse advances. It will also explain how consumer protection laws, usury limits, and attorney ethics rules influence the structure of funding agreements.

Plaintiffs in restricted states may still qualify for pre-settlement funding, post-settlement funding, or lawsuit cash advances depending on the specifics of their case.

Another major focus will be how plaintiffs can navigate restrictions by understanding alternative pathways. For example, some states allow funding for motor vehicle accident loans but restrict advances on employment lawsuit loans. Others may allow personal injury loans but limit funding for civil rights cases. The guide will help plaintiffs understand which categories remain eligible.

While the full guide is being completed, you can explore related resources such as prohibited states, third-party liability, what legal funding is, lawsuit loans, litigation finance, and our legal finance glossary. To see whether your case qualifies in an eligible state, you can begin a confidential request on our apply page.