RapidFunds has been a long-time provider of post-settlement funding to plaintiffs’ attorneys since 2004. RapidFunds watched as the industry grew from its off-beat nascent beginnings to one that has become mainstream. Litigation Funding colloquially known as legal funding is now one of the biggest topics of discussion in the legal world today.
Post-Settlement Funding differs from other kinds of legal finance in that it is a way for plaintiffs’ attorneys to access part of their legal fee from a settled case. Pre-Settlement funding, verdict funding, case cost finance, appeal funding, judgment funding, structured settlement funding, and litigation finance all help plaintiffs’ attorneys at different parts of the litigation lifeline. When an attorney decides to use post-settlement finance, they are waiting for payment from a settled case, so it is easier for the funder and the attorney to get a transaction done. Certain cases are prone to have administrative and other miscellaneous delays that can delay payment. Class actions and multi-district litigations (MDLs) are examples where legal fees on settled cases can be significantly delayed. While a settlement indicates a legal fee is expected to be paid, the next question becomes how long before payment is disbursed. Law firms need to be careful how many cases they are handling and how much money they can devote to each case. Personal injury, employment law, social security disability claims, veterans’ disability claims and product liability cases are just some of the kinds of cases plaintiffs’ attorneys are known to handle. Each of these kinds of cases have their own unique trends and each specific case can take on a unique lifeline. Once a plaintiff attorney accepts a case, there will be many associated expenses. Depositions, travel costs and documents are just some expenses associated with litigating a case.
A settled case allows lawyers to earn a contingent fee and reinvest all or part of that fee back into their practice. Post-settlement funding was created to help plaintiffs’ attorneys who find themselves in need of cash between pending contingent fees. Post-Settlement finance can be a very critical tool for plaintiffs’ law firms. Access to funds can help attorneys advertise for clients in big name cases, add partners who specialize in specific kinds of law like maritime and aviation, add associates and staff, and build their brand so they can compete with big name firms. For national plaintiffs’ law firms, post-settlement funding can help them maintain their competitive advantage, increase their presence on all media channels, and expand their footprint to help increase business. Post-Settlement Funding has been and continues to be one of the strongest tools in a plaintiffs’ attorneys toolbox.