Lawsuit Funding Application

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					48 / INJURY BOARD / WINTER 09

       A Case Resolution Difference Maker
       By Mark Bello

                                          In my 33-year experience as a trial         settlement negotiations. Financial hardships must be minimized or
                                           attorney and lawsuit funding pro-          eliminated before serious settlement negotiations are conducted.
                                               fessional it is clear to me that al-   Strategic lawsuit funding, in this scenario, will often pay for itself
                                                most all plaintiffs face a recur-     in increased case revenues made possible by the relief of outside
                                                ring predicament: Deep pocket         financial pressures. Lawsuit funding is non-recourse funding. If the
                                                  defendants, usually insurance       case fails, the advance made is excused and the plaintiff will never
                                                    companies          deliberately   have to repay the lawsuit funding company. The plaintiff makes no
                                                       and unreasonably delay         payments. There are no credit checks. Whether the plaintiff has a
                                                        resolution of litigation.     job, assets or credible financial standing is irrelevant to whether or
                                                         This often results in a      not he will qualify for lawsuit funding. What a lawsuit funding com-
                                                         lack of resources neces-     pany is concerned about is whether the plaintiff has a solid, viable
                                                        sary to sustain a reason-     case to utilize for collateral.
                                                       able quality of life. Thus,         Obtaining lawsuit funding is a relatively fast and easy process.
                                                     many plaintiffs are forced       The lawsuit funding company takes an application over the phone
       to make some regrettable choices: Return to employment and/or                  or on-line, and an information request is submitted to the handling
       other activities before they are physically or mentally ready to do            attorney. Once the case materials are received from the attorney’s
       so, resulting in an artificial reduction in case value, or accept an un-       office, an experienced lawsuit funding company can provide a fund-
       reasonably low settlement offer before the case ripens to its true,            ing decision within 24 hours, sometimes, a professional, highly ex-
       increased value. Some plaintiffs even decide that the legal process            perienced company will provide same day service. If the plaintiff is
       is too difficult and suspend pursuit of their valuable litigation.             approved for funding, the transaction can usually be completed,
           Insurance companies have a substantial strategic advantage over            with funding in the plaintiff’s hands, within 24-48 hours.
       plaintiffs and plaintiffs’ attorneys. They all have substantial assets and        It is advisable that the lawsuit be somewhat developed or mature.
       significant power to work the legal system. As a result, they have             Preferably, a lawsuit will have been commenced. The case needs to
       the most important asset of all - time. The prospect of protracted             have enough predicted value to afford the advance and the maxi-
       and expensive litigation is meaningless to them. The prospect of trial         mum profit due on the advance (or the advanced amount may be
       and subsequent appeal and the time these processes take to evolve              reduced to appropriately fit predicated case value). Some lawsuit
       gives these rich and powerful companies substantial leverage in set-           funding companies do not provide funding caps. In other words,
       tlement negotiations. They will always use their money and time to             profit continues to accrue until the litigation resolves. If litigation
       their advantage in the pursuit of reduced case resolution.                     takes years to resolve, through trials and appeals, funding profits
          Enter lawsuit funding, a service that provides a plaintiff (or an at-       could grow to enormous sums. Experienced, ethical and profes-
       torney) with the financial resources to allow a plaintiff the time nec-        sional lawsuit funding companies will provide flat-fee funding with
       essary to see a case through to an appropriate and just conclusion.            a high-end cap on profits. Make sure to ask your lawsuit funding
       In short, lawsuit funding advances the cause of justice for a needy            company whether it provides flat fee, capped lawsuit funding. If
       plaintiff. Thus, when a plaintiff has exhausted all other forms of rev-        the lawsuit is successful, and resolved for the anticipated amount,
       enue, the lawsuit funding company can breathe new life into the                lawsuit funding principal and profit returns may be quite expen-
       plaintiff’s case by assisting the plaintiff in paying his/her mortgage,        sive. Therefore, it is strongly advised that you seek funding only if
       rent, car payment, tuition, food, child care, household expenses,              you are experiencing serious financial circumstances, only for an
       medical care, hospital, surgical or rehabilitation expenses. In other          amount that you absolutely need to protect valuable assets, only in
       words, lawsuit funding enables the plaintiff to live his/her life with         consultation with your attorney, and only if you are satisfied that the
       some semblance of dignity, pay his/her bills, while still pursuing the         lawsuit funding company has provided you solid advice and coun-
       lawsuit to its just conclusion. Lawsuit funding should, absolutely, be         sel. Strategic lawsuit funding from the right lawsuit funding profes-
       considered by any plaintiff who is contemplating acceptance of a               sional can make a huge difference in the bottom line settlement or
       lower than full value settlement offer. Ask your lawyer for his advice         verdict in your case.
       on the value of the case vis-à-vis the settlement offer. Ask him/her
       whether lawsuit funding might bridge the gap between a low set-                — Mark Bello is an attorney and CEO of Lawsuit Financial
       tlement offer and the full and fair value of your case.                          Corporation in Southfield, Michigan.
            A financially desperate plaintiff is not a positive influence on

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