Lawsuit Loans | Attorneys and Law Firms | Attorneys Recommend Lawsuit Loans

Attorneys and Law Firms

Many attorneys recommend that their clients consider lawsuit loans as a way to provide living expenses while their claim works its way through the courts. In most jurisdictions, attorneys may not loan money to their clients, but they want to help those clients who face financial hardships. Just as plaintiffs do not see any cash from a lawsuit until it is resolved, attorneys do not earn any fees or receive compensation for their expenses until the case is settled. As a result, many attorneys use lawsuit loans to finance their expenses.

Benefits of Lawsuit Loans to the Attorney

While a lawsuit loan to a plaintiff does not appear to have an immediate benefit for the attorney, it actually does. First of all, the plaintiff is no longer calling you every two weeks asking about money. Also, a client who ends up homeless and careless is no good. Finally, by securing a lawsuit loan for a client, you can prevent that client from accepting a low-ball offer from the defendant. In fact, a lawsuit loan can help a plaintiff reject low-ball offers, hang tough, and work with you to get the larger, fairer settlement the client deserves!

Lawsuits Loans for Attorneys and Law Firms

Just as plaintiffs wait until the outcome of a lawsuit to see any cash in their pockets, so do their attorneys. Lawsuit loans are also available to attorneys. However, rather than make a lawsuit loan against a single lawsuit, the lawsuit loan to the attorney is made against a package of cases. As those cases close, the lawsuit loan, and the accumulated risk premium on that lawsuit loan, is paid back from the proceeds of the lawsuit.