1:17 p.m. - 2006-03-07
Lawsuit Loan Dictionary/Definitions
Beacon Legal Finance has expanded our first of its kind lawsuit loan dictionary to help consumers better understand the technical aspects of lawsuit loans. In a lawsuit loan, a plaintiff receives a cash advance in exchange for paying a portion of the future cash proceeds of the plaintiff’s legal settlement. To understand this new type of consumer finance, plaintiffs need to be familiar with the terminology in both the legal and financial fields, but until now have been unable to find a single dictionary on the Internet that explained concepts and terms for both the law and finance. To make the growing litigation finance market more transparent, Beacon Legal Finance has developed and updated a free lawsuit loan dictionary as a service to the consumer. A plaintiff may access the lawsuit loan dictionary at the following link: http://www.legalfundingdictionary.com/

Here is a sample of the new terms added to the lawsuit loan dictionary:

Accident Funding, noun: (1) transaction between a plaintiff and a pre- settlement funding company where the plaintiff receives cash today in exchange for paying a higher amount back in the future when the lawsuit resolves. Lawsuit loan example: to receive accident funding from a lawsuit loan company, a plaintiff will need cooperation from the plaintiff’s attorney. See accident lawsuit funding, lawsuit loan, lawsuit cash advance, lawsuit funding and pre-settlement funding.

Acknowledgement, noun: (1) declaration or avowal of one’s act or a fact to give it legal validity. Lawsuit funding example: for a lawsuit loan or lawsuit cash advance, the plaintiff’s attorney may have to sign an acknowledgement at the end of the lawsuit funding contract that states that the attorney has explained the lawsuit funding to the plaintiff and has agreed to pay the lawsuit funding company from the cash proceeds of the lawsuit. See pre-settlement funding, lawsuit funding, acknowledgement from borrower’s counsel, lawsuit loan and lawsuit cash advance.

Annual Percentage Rate, noun: (1) (also know as APR) a measurement that shows the total cost of a lawsuit loan as a yearly rate, including brokerage fees, application fees and other upfront fees. APR allows a plaintiff to compare different types of lawsuit loans based on the annual cost for each lawsuit loan. Lawsuit loan companies are required by law to show a lawsuit loan’s APR, but not all lawsuit loan companies use the same formula to calculate the APR. Lawsuit loan example: a plaintiff should make sure that the annual percentage rate calculation for a lawsuit loan includes all of the upfront costs of the lawsuit loan. See pre-settlement funding, lawsuit funding, APR, lawsuit loan and lawsuit cash advance.

Beacon Legal Finance is a leader in the litigation finance industry. Beacon Legal Finance is an affiliate of Lawsuit Cash Advance and is found at www.beaconlegal.com. For questions about pre-settlement funding (also known as a lawsuit loan, lawsuit funding or lawsuit cash advance), call toll free 1-800-781-0777.

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