Litigation Funding 101
Litigation funding, also known as legal financing, is when a company is lent money to cover the costs of a legal case. Litigation funding specialists may be able to loan money to a company, depending on the strength of the legal case and several other factors. This article takes a look at the basics of litigation funding, its benefits, and how you can find a litigation funding specialist in your area.
Services
The primary purpose of litigation funding is to provide financing prior to a legal case. The loan can also be used to cover the payment of adverse cost orders. Litigation funding specialists will be able to manage, plan and monitor all stages of the legal case. Some litigation funding services will be heavily involved in the process, and they may be able to help facilitate settlements and maximize the value of each individual claim.
Benefits
Litigation funding is particularly beneficial for companies that have a very strong legal claim, but no money to fund it. The funding will help to diversify the financial risk that is associated with litigation. Litigation funding is also beneficial for companies who cannot provide the security for potential legal costs. As with any type of loan, you should ensure that the company has the payment means to cover the costs should the legal case no go in your favour.
Approaching A Litigation Specialist
A litigation funding claim is usually started by filling out a proposal form, followed by a telephone or face to face meeting. Any reputable litigation specialist will be able to provide you with comprehensive evaluation of your legal situation. They will study all of the case details, along with the companies financial credentials, to determine whether litigation funding is a viable and secure option based on the circumstances. If funding is available, then they will work closely with your company to ensure that the claim is managed correctly, and that the best possible outcomes are achieved.
The best place to search and find litigation specialists is online. All major companies will have a website which will display all of the services that they offer, along with their contact details. Simply open up your search engine and type in 'litigation funding' along with the town, city or state that you live in. You can then browse through the top results until you find a company that offers all of the services that you require. Be sure to pick a reputable and trusted company, so that you know you will be using a high quality service. The litigation specialists should have plenty of experience working in the field, and also be a member of all the appropriate financial bodies. As with any type of loan, be sure to check all of the details and small print, to ensure that you know exactly what the repayment terms are. A litigation specialist will be able to take a look at your claim and your company's finances, and decide whether it is strong enough to be funded.
