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Can my attorney prevent me from getting pre-settlement funds?



Can my attorney prevent me from getting pre-settlement funds?

Pre-settlement funds

People who are injured in accidents or due to the negligence of others can quickly rack up thousands of dollars in unexpected bills and expenses.

While civil lawsuits can result in money for such costs, the bills will often begin to come due long before plaintiffs can expect to see a fair settlement or trial. Guaranteed pre-settlement funding can provide plaintiffs with the cash they need while they and their attorney see their cases through to the end.

But how does the pre-deal funding request work? Do you need a lawyer? Can your attorney prevent you from getting funding if you need it? This is what you need to know.

What role does your attorney play in obtaining pre-settlement funds?

One of the most common pre-settlement financing questions plaintiffs ask is, “Why do I need a lawyer before I can apply for legal financing?”

To understand the role attorneys play in obtaining pre-settlement funding, it is important that you first understand two concepts of pre-settlement financing:

What is pre-settlement financing?

What pre-settlement financing is not?

When you win a civil lawsuit or settle out of court, you receive damages or compensation. You can use that money to pay:

  • your lawyer
  • medical bills
  • living expenses
  • Other costs as you see fit

In order to qualify for pre-settlement funding, you must be in the process of obtaining monetary compensation for your injuries and damages. Without a possible settlement or trial award, companies that finance lawsuits cannot provide you with a cash advance for settlement.

Having a claim or lawsuit for your loss is only one of the two main requirements for a pre-settlement retainer. Having a lawyer represent you is the other necessary requirement to receive funds.

How Your Lawyer Can Prevent You From Getting Funds

While having an attorney is the first step in obtaining funds, it is not a guarantee of success. To complete the application process, you must have your attorney or an authorized member of your law firm’s staff speak with the financing company.

You may think this extra step is an unnecessary delay, but it is a safeguard built into the pre-settlement financing process to protect and benefit you, the client.

Talking to your attorney ahead of time allows the financing company to make sure your legal advisor is aware of your application and the number of funds you may qualify for. Your attorney should help with the following:

  • Report how much money you can safely accept without negatively affecting your case
  • Inform the financing company when they propose the most effective moment for financing your settlement.
  • Provide information on the recommended amount and your pre-settlement advance.
  • Together, these things can result in your attorney getting you the fairest and largest settlement or judgment.

However, the important role of your attorney means that he or she can prevent you from getting much-needed funds by not speaking to financing companies when you have requested that they do so.

What you can do?

What can you do if your attorney doesn’t answer or call back the financing company and prevents you from receiving pre-settlement funding? The first step is to call your attorney.

Explain to your lawyer:

  • That they should talk to the financing company about their case
  • What financial pressures are driving you to seek pre-settlement financing right now
  • What do you think the consequences will be if you don’t get funding
  • Keep in mind that your attorney works for you, so you should listen to them and address their concerns.

In many cases, making this phone call is enough to resolve the issue. Your attorney can agree to make the call and speak with the legal finance company of your choice.

If your attorney has concerns or objections to you receiving legal funding, a phone call is a great way to discuss those thoughts with you. Then they can help you identify options or alternatives for moving forward that you can both agree on.