You might be facing mounting bills after an accident-related injury. If your attorney advises that settling now will mean accepting less than the full value of your case, your next step might be to contact a few lawsuit funding companies in New York.
In this guide, Apex Legal Funding LLC explains how lawsuit funding might alleviate your financial pressure. That way, your legal team can take more time to renegotiate inadequate settlements or build a stronger case.
What Is Lawsuit Funding?
Receiving funding for your lawsuit provides you with immediate cash. The company bases this amount on the anticipated value of your pending legal claim, and typically, you’ll repay this money only if your case wins or settles.
What is lawsuit funding meant to achieve? This arrangement differs fundamentally from traditional loans because funding companies assume the risk. The company advances a portion of your expected settlement, which can cover rent, medical bills, groceries, or anything else you may need while your case is in progress.
How Pre-Settlement Accident Lawsuit Funding Removes Settlement Pressure
Insurance companies leverage the fact that injured plaintiffs often face urgent financial needs. The adjuster may deliberately delay your proceedings, hoping your mounting bills will force you to accept whatever they offer. Pre-settlement accident lawsuit funding eliminates this tactical advantage because it gives you more financial stability.
With funding, your attorney can reject lowball settlements without worrying about your immediate survival needs. This shift in dynamics fundamentally changes the negotiation landscape, signalling to the opposing party that you can afford to be patient. An insurance company may adjust its strategy when it realizes that you won’t cave to financial pressure and require a more reasonable offer.
You May See Lawsuit Funding Benefits Strengthen Your Legal Position
What are the main advantages of securing legal funding for larger settlements? You gain multiple strategic options, including:
- Enhanced case preparation time: You can invest in thorough investigations, hire expert witnesses, and avoid rushing to settle.
- Complete damage assessment: If you have more time to wait for comprehensive medical treatment that reveals the full extent of your case’s potential list of damages, your attorney might be able to strengthen your claim.
- Reduced mental stress: Sometimes, the psychological relief of having bills covered helps people participate more effectively in their case and focus on recovery.
These advantages could help create a level playing field against well-funded insurance companies with unlimited resources to drag out litigation. Perhaps, a lawsuit settlement loan can neutralize the imbalance by giving you staying power.
You Can Recognize the Financial Impact of Taking Your Time
There is growing recognition of funding as a critical tool for plaintiffs nationwide. Research from The Business Research Company showed the pre-settlement lawsuit funding market to be at around $17.48 billion by 2024 and predicted a compound annual growth rate of 11.9%. Market analysis from SNS Insider also predicted that the global litigation funding investment market will hit around $53.6 billion by 2032.
If your attorney needs time to gather documentation, consult witnesses, and build irrefutable proof of your losses, each additional week of preparation is valuable. A developing back injury case might first advise initial treatment and a few weeks of recovery, but then discover a herniated disc that requires major surgery and permanent lifestyle modifications. Lawsuit funding provides the plaintiff with the time to uncover the full truth about their injury and the extent of care needed.
How Lawsuit Funding Benefits Your Attorney’s Strategy
The U.S. Government Accountability Office’s research into portfolio financing trends confirmed that third-party litigation financing gained substantial traction in the United States between 2017 and 2021. For example, in the category of portfolio agreements, formal requests for funding increased by around 27%. Funders attributed this trend to larger corporations or law firms becoming more familiar with this option.
If you are unable to work while facing enormous medical bills, funding bridges the gap. Your personal injury lawyer can schedule depositions strategically, wait for favorable court rulings in similar cases, and demand more reasonable settlement discussions. The impact of lawsuit funding in these situations can be transformative.
Contact Apex Legal Funding LLC About Your Options in New York
Financial pressure should not force you into a desperate settlement. Understanding lawsuit cash advances and how they can benefit your case in New York could give you more options and extend the time your attorney has to work on a stronger case.
Would you like more information about lawsuit funding solutions? When you are ready to explore your legal options in New York, call Apex Legal Funding LLC’s toll-free number at 1-800-377-4934 to schedule your consultation.
Frequently Asked Questions
Here are answers to common questions about lawsuit funding and how it may help you build your personal injury case.
How Quickly Can I Receive Lawsuit Funding?
Typically, you can receive funding for a lawsuit within 24 to 48 hours after your application’s approval. The idea is that funding allows you to address urgent financial needs during your case proceedings.
Do I Need Good Credit To Qualify for Help From Lawsuit Funding Companies in New York?
No. You do not typically need good credit to qualify for funding ahead of your lawsuit because the application’s approval depends entirely on your case’s strength and potential settlement value. Your credit history is not usually part of a funding company’s assessment.
How Could Lawsuit Funding Help Me Achieve a Better Settlement?
You might use lawsuit funding to eliminate some of the financial pressure during your case and negotiations. A desperate financial situation may force you to accept an inadequate settlement offer. With adequate funding, your attorney can have more time to fully develop your case, and you can negotiate from a position of strength.
What Happens If I Lose My Case After Receiving Funding?
If you lose your case in court, and you have a non-recourse advance from the fund, you will owe nothing. With this type of funding arrangement, repayment only comes out of your settlement or award.