There are two sides to each story but the fact is both the two parties that are involved in a lawsuit hopes that the case goes their way. When you talk of litigation funding , it is a practice where a third party that is not involved in a case provides funding to the plaintiff involved in the lawsuit. The merit of your case is the factor that will determine whether you will have the lawsuit financing you need or not because the person funding you needs to know he will have his money back. You can consult with Bentham IMF on this matter.
Lawsuit financing is no loan hence the need for the lawsuit funding company to look into the case itself before any steps are taken. It needs to be looked at as an assignment of a portion of the clients should they recover. This is to clearly mean that if a case is lost the money that the lawsuit financing had offered gets lost as well. This may make people question the ethical position of attorneys referring clients to lawsuit financing company.
Yes it is ethical if a lawyer refers a client to a lawsuit financing company provided they have no interest in the financing company. It has to be established also that the attorney handling the case will not in any way profit from the transaction. There will be a conflict of interest if the lawsuit company is involved in the lawsuit so the company that has been approached by the client should not be involved in any way. There are benefits that a client gets being referred to the lawsuit financing party. If a client gets to secure financing from a source that they had not anticipated , it will definitely ease the burden. The decision to approach a financing company means that probably the client might be in a financially tight position. Pre settlement advance qualification requires you to undergo a process but it’s actually very simple. Litigation companies will require you to fill some application to help them evaluate the case at hand. Bentham is the best company to work with in these cases.
For the attorneys that are representing the case , any questions that the company might have, it will direct to them for clarifications and answers. The decision on whether the case will receive some funding is made within 24 to 48 hours of receiving the documents of the case. If the case is taken , the company will forward a contract to the attorney representing the case, here they will outline transactions , rates and how they will receive the money from the company. Some cases of the litigation cases may be settled already but approach litigation companies for financing . Medicare solutions, distribution protocols or court order approval among other reasons may occasion the need for post settlement advances. Learn more in-depth about litigation funding here: https://youtu.be/C9kycaqvZyg