States Where Legal Funding Is Prohibited

Great Alternatives To Legal Funding When Your State Prohibits It

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Legal funding is prohibited in about 10+ states. If you live in one of them, don’t worry. TriMark offers alternatives to legal funding that are fast, affordable, and easy to qualify for almost all kinds of borrowers and all types of credit.

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States Where Legal Funding Is Prohibited

I’m In A Hurry…Show Me The Lenders Now

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Non-recourse plaintiff legal funding can be a real lifesaver for seriously injured plaintiffs, if they can get it.

Unfortunately, not everyone can, because all types of legal funding are not available everywhere in the US.

Many states allow legal funding unabated while a few impose different types of restrictions. Workers comp funding is also not available in many states.

There are currently 10+ states where plaintiff legal funding is prohibited outright. An additional 3 states have significant restrictions in place:

Why Is Legal Funding Prohibited In Certain States?

Surely there must be a good reason why a state would pass laws that prevent its residents from being able to utilize a financial option with as broad appeal as legal funding. But at this point, the reason doesn’t really matter, does it?

What DOES matter right now is that you need money immediately, but because your state passed a law at some point, you ineligible for legal funding. But don’t despair.

TriMark has an entire network of lenders that provide “non-legal-funding-related” financial alternatives to help people just like you, in circumstances just like yours.

For almost two decades, TriMark Legal Funding has maintained a large network of private lenders to provide a wide variety of financial solutions to clients and would-be clients who, similar to you, reside in a state where legal funding is prohibited, restricted, or workers comp settlement loans are not available.

Whatever the individual circumstances, all those people still need money desperately. And we still want to help.

And here’s the best part: Our lender network works fast, likes to say ‘yes’ a lot, and can work with all kinds of borrowers and all types of credit

Want to learn how the lenders in our network can help you?

Prohibition of Legal Funding: Understanding the Law

Legal funding, also known as lawsuit loans or litigation financing, has become increasingly popular in recent years as a means for plaintiffs to access funds during ongoing legal proceedings.

However, it is important to note that legal funding is not available in all states, as certain jurisdictions have implemented laws and regulations that prohibit or heavily restrict its practice.

The Rationale for Prohibition

While legal funding can provide much-needed financial support for individuals involved in lawsuits, there are several key reasons why certain states have chosen to prohibit or restrict this practice:

  • Consumer Protection Concerns: One of the primary motivations behind the prohibition of legal funding is to protect consumers from potential exploitation. Critics argue that by providing upfront cash to plaintiffs, legal funders may exert undue influence on settlement decisions, potentially compromising the integrity of the legal process. Proponents of prohibition assert that restrictions help safeguard vulnerable individuals from entering into unfavorable agreements.
  • Champerty and Maintenance Laws: Some states have laws rooted in common law principles dating back centuries. These laws, known as champerty and maintenance laws, are designed to prevent third-party interference in litigation proceedings. By prohibiting legal funding, these states seek to preserve the historical integrity and fairness of the legal system, ensuring that litigants maintain control over their own cases without undue external influence.

The prohibition or regulation of legal funding in certain states reflects a complex balance between consumer protection, the preservation of historical legal principles, and the need to provide access to justice for all parties involved.

While some states have chosen to strictly prohibit legal funding due to concerns over potential exploitation, others have opted for a middle ground, imposing specific regulations to ensure transparency and fairness. It is essential for individuals seeking legal funding to be aware of their jurisdiction’s laws and regulations before engaging in any such arrangements.

States Where Legal Funding Is Prohibited FAQ

❓u003cstrongu003e Do You Offer Alternatives To Legal Funding In States Where It Is Prohibited?u003c/strongu003e

Yes. We have a variety of alternative funding solutions for residents of states that currently prohibit legal funding.

u003cstrongu003e❓ Will I Qualify For A Legal Funding Alternative If I Have Bad Credit?u003c/strongu003e

We make no guarantees, but in all likelihood, yes. Our lenders can work with virtually all kinds of borrowers and almost all types of credit.

u003cstrongu003e❓ Are Workers Comp Settlement Loans Prohibited Too?u003c/strongu003e

Yes. There are currently 40+ states where u003ca href=u0022 data-type=u0022pageu0022 data-id=u0022300u0022u003epre settlement funding on workers compensationu003c/au003e is u003ca href=u0022 data-type=u0022pageu0022 data-id=u00221906349u0022u003enot allowedu003c/au003e, although other u003ca href=u0022 data-type=u0022pageu0022 data-id=u00221916436u0022u003ealternative funding options existu003c/au003e that most borrowers who u003ca href=u0022 data-type=u0022pageu0022 data-id=u00221060129u0022u003eneed money nowu003c/au003e should have no trouble qualifying for.

Legal Funding Is Not Available

This State Prohibits Legal Funding
If you need money now and would like information about some alternative funding options that may be available, please complete this form.

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If legal funding is unavailable or my case is ineligible, please email me info about other funding options that may provide immediate assistance.

*Most of the lenders featured on this website do not charge a pre-payment penalty or fee for early loan payoff. However, lenders may change their rules periodically, so borrowers must conduct their own due diligence to verify directly with any lender about the presence or absence of any fees associated with early loan payoff.

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