A lawsuit for personal injury can be long. If you are a plaintiff in such a lawsuit, it is possible that you might not be able to work, you would need money for your medical bills and for other bills or payments, so that you might be unable to wait until the end of the lawsuit in order to collect your money. For this, there is the legal funding, which is a special type of investment that provides you with other options than the classic finance types.
It is a known fact by defense attorneys and also by insurance companies that plaintiffs cannot wait for too long for their arrangement or award. It is possible that they delay the process on purpose , so that they earn a better opportunity in the negotiations for their arrangement. One of the strategies that defense attorneys usually make is proposing low offers, bearing in mind that a plaintiff who is short on money would accept it only to be able to meet the basic needs. However, even if this strategy isn’t used, there are also other reasons that determine a lawsuit to take more time to resolve. A good example is that the defense would possibly need to wait for you to end your medical treatment or wait for other facts in your lawsuit to be discovered before being able to make an arrangement.
Although at a high cost, you are given another option, by legal funding. Making your decision is not easy and it should be made with proper attention. You are recommended to consult your attorney or any other kind of financial advisory in order to help you with your options. Here you can see some important things that plaintiffs need to consider when they decide which the best choice is for them.
Are there any better options?
Even though it might be clear that you’ll eventually win, there are very few options that could determine a defendant or an insurance company to take quick action. People are often left unable to work after accidents or they are left with medical bills to be paid. Before legal funding, such people were not given any options that would help them pay such bills.
Legal funding is quite expensive and thus it should only be used after a smart consideration. There are other less expensive options, such as for example loans from family, friends or banks, as well as advances from the employer or maxing out your credit card.
Legal funding is possibly the only option when you need money in order to avoid disastrous situations in your life, as legal funders are specialized in investing in the asset of your lawsuit. Legal funding is an industry that developed to cater to this need.
Will I be awarded more money in case I use legal funding?
This is one of the main questions that you need to ask before seeking for legal funding. In times when you think about getting s financial transactions, such as legal funding is, you need to be completely aware about the costs and benefits that it has. Despite the expensive cost that legal funding has, it is worth it, considering the amount that you get from the defendant or from the insurance company . Although there were several plaintiffs who needed to pay back their legal funders thousands of dollars, they still ended up receiving hundreds of thousands of dollars more from the defendant as they waited a few extra months than they would have probably done in case they wouldn’t use legal funding. However, there were also cases in which plaintiffs needed to pay back to legal funders all of their arrangement amount, as they have too high expectations regarding the worthiness of their case or the time that they would need for it to resolve.
.: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