When faced with legal problems, people seek justice in the court of law. Settling cases in court is anything but cheap, however, and paying the expenses for long court proceedings can drain a person’s finances. For this reason, many people hesitate to initiate lawsuits, even when they have been wronged by someone else’s negligence.
However, financial limitations should not discourage anyone from taking up a case in court. There is a way to access financial aid for people entering legal proceedings, which is known as pre-settlement funding or legal funding.
Let us take a look at what pre-settlement funding is, and what types of cases are most likely to qualify for it.
What is Pre-Settlement Funding?
Pre-settlement funding is the process of awarding a certain amount of financial aid to plaintiffs who file lawsuits. This amount is credited to the plaintiff at the beginning of the court proceedings. If the plaintiff wins the case and receives settlement money, then he or she pays off the awarded amount along with interest. In simplest terms, it is a type of loan given to people specifically for lawsuit expenses.
The biggest benefit of legal funding is that the plaintiff has to return the amount only if they win the settlement. If they lose, they may not have to pay anything. Because of such a system, companies that provide legal funding will carefully scrutinize your case details and ask for various documents.
There are certain cases where you are more likely to receive legal funding. These include:
If you are involved in an accident through no fault on your part, your chances of qualifying for pre-settlement funding are high. Of course, companies that provide the funding will go through your case details, but as long as there is clear evidence that you were not at fault, you will likely win the settlement. Based on this confidence, car accidents typically qualify for legal funding.
Medical Negligence Cases
One of the most common types of cases that make use of legal funding are medical negligence claims. If you suffer any discomfort or sustain injuries due to the fault of a medical professional, your case may qualify for legal funding. Lawsuits based on medical negligence can take a long time to settle, and pre-settlement funding provides financial relief to the patient.
Workplace Negligence Cases
Just as with medical negligence, you also have better chances of qualifying for legal funding for workplace negligence cases. Workplace negligence cases are most prevalent in construction work where an employee gets injured due to a lack of safety measures by the employer. In addition to construction site accidents, you may get legal funding if you are injured due to your employer or company’s fault.
Personal Injury Cases
Personal injury cases are also likely to qualify for legal funding, but there are many strings attached. As there are countless possibilities for people to sustain personal injuries, the chances of getting legal funding are case-specific. The legitimacy of your claim, your financial condition, and the probability of winning the case are all taken into consideration before providing the funds.
Contact Capital Financing Today
If you are considering personal injury financing or have questions whether it could benefit you, contact Capital Financing today and let us help you determine if your claim is eligible for financing.