In most states, a plaintiff won’t be awarded money by legal funding companies in case of a worker’s compensation claim . In such states, the plaintiff is directly given the award from the worker’s compensation board. Generally in other lawsuits, the arrangement or court award is first given to the plaintiff’s attorney. Attorney is considered by legal funding companies as a middleman who ensures that they get paid. In case the plaintiff has assumed responsibility for paying the legal funder after getting paid, then it appears the risk that the plaintiff would delay or avoid paying and this is not a desirable situation for the legal funder.
Lawsuits regarding wrongful death present complications that determine legal funders not to wish to invest. From legal point of view, wrongful death lawsuits are similar to any personal injury lawsuit, with the difference that the beneficiaries differ, as in such cases there is not one plaintiff, but it involves the beneficiaries of the deceased plaintiff’s will, or interstate succession. An estate can turn out to be very complex and thus legal funders do not wish to get involved in such situations, unless it is very clear who the estate’s administrator truly is and who the beneficiaries are. Additionally, these parties will be required to sign the agreement in order to be protected.
Lawsuits in Which a Minor Person is the Plaintiff
Exactly as in case of wrongful deaths, legal funders don’t wish to get involved with lawsuits that involve plaintiffs who are children, because such lawsuits usually present more complications. It is not very obvious who hast the authority to seek legal funding on behalf of the child. Even more, the court has the authority to review and override any settlement, regardless of who has the authority to make the decision, so that legal funders are not willing to explore.
In other words, legal funding companies may purchase structured arrangements coming from the lawsuit that involves a minor only after the minor person becomes an adult. In such situation, the minor person is designated to a series of payments after turning 18, payments that can be annual or semi-annual. Depending on what kind of structured arrangement is awarded, the minor is enabled to sell the payments in exchange for a consolidated amount. In most cases, this is not considered to be a smart financial decision in case of such a young person.In specific cases, parents or guardians of such a child have “consortium claims”. This means that the parent is enabled to sue in case their child is hurt, as taking care of the child in such situation costs much. Legal funders prefer to fund a consortium claim rather than a minor’s claim.
How to get financial help
If you or a loved one are involved in a lawsuit or claim and need money for whatever reasons, medical bills, car payments, rent/mortgage, etc… Then you should let Pegasus Legal Funding evaluate your claim. The process is free and fast and there is no obligation for you to accept our money.
.:About the author:.
James Sheridan is the Contracts Manager at Pegasus Legal Funding LLC and is responsible for the final stage of the funding approval process. James focus and priority is delivering to PLF’s clients the funds they need as quickly as possible