1:34 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:

Tort, noun: (1) wrongful act that injures another and for which the law imposes civil liability. Torts include all negligence cases as well as intentional wrongs which result in harm. Tort law is one of the major areas of law (along with contract, real property and criminal law) and results in more civil litigation than any other category. Lawsuit loan example: for a plaintiff to receive a lawsuit loan, the plaintiff has to hire an attorney with significant experience in tort law. See pre settlement funding, lawsuit funding, tortfeasor, lawsuit loan and lawsuit cash advance.

Trust Account, noun: (1) bank account established by the plaintiff’s attorney for the receipt of cash from the resolution of the lawsuit where the plaintiff’s attorney will hold the funds in trust for (or on behalf of) the plaintiff. The plaintiff’s attorney cannot mix funds in the trust account with funds from other bank accounts used to pay the expenses of the law firm. Lawsuit loan example: because the pre settlement funding company relies on the plaintiff’s attorney to repay the lawsuit loan, most pre settlement funding companies will make a lawsuit loan only if funds from the resolution of the lawsuit are paid directly to the attorney’s trust account. See pre settlement funding, lawsuit funding, trust, lawsuit loan and lawsuit cash advance.

Truth in Lending Act, noun: (1) federal statute which requires a consumer lender to give a borrower exact information on interest rates and a three-day period in which the borrower may compare and consider competitive terms and cancel the loan agreement. Lawsuit loan example: all credible lawsuit loan companies follow the disclosure requirements of the Truth in Lending Act. See lawsuit funding, lawsuit loan, interest rate, lawsuit cash advance and pre settlement funding.

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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