Furthermore, the economic crisis puts increased pressure on internal legal budgets, and corporations are becoming increasingly more cautious before initiating arbitral proceedings. Some are even likely to withdraw from the proceedings due to the costs.

Such environment has led to a situation where the decision to litigate is taken in consideration of other elements than the mere meritorious character of the legal claim. Considering that the right to receive compensation for an injured party was granted in Europe a fundamental value, it is effective access to justice which is at stake.

Litigation financing enables corporations to unlock the value of their commercial claims that are otherwise too expensive or risky to pursue. As a result of funding, the risk profile of pursuing litigation changes significantly and the short-term cash flow position is improved, thereby enabling a more strategic use of capital to create shareholder value. For a funded claimant, a funded case becomes a true valuable financial asset.

This explains why third-party funding (TPF) is growing and will continue to grow, even more so in Europe and in France where French lawyers are being forbidden from offering “no win no fee” arrangements.

TPF is well developed in many countries such as the United States, United Kingdom, Germany, and Australia. Until very recently and the launch of Alter Litigation in January 2013 it had received very little attention in France.

Arbitration: Costs are a Catalyst for the Shift

Even though major corporations continue to affirm the benefits of arbitration to resolve transnational disputes, they are increasingly focused on getting value from the arbitration process, which costs and delays have increased. Still, the cost involved in arbitration proceedings can be detrimental for those less inclined to afford it or for those who are no longer willing to take such a financial risk.

I see the development and success of arbitration in Europe and worldwide as a great avenue for the development of Alter Litigation.

However, even though TPF of international arbitration has been a growing phenomenon, receiving increasing attention from the international arbitration and litigation communities, it still remains relatively uncommon, as recent surveys show. Clients need to know about TPF and lawyers have a duty to tell.

This guest blog post was written by Frederic Pelouze of Alter Litigation, a French third-party litigation finance company. They fund a wide spectrum of claims throughout France and Europe, including commercial disputes, cartel damage claims, and international arbitration.

The world economy entered a recession in late 2007 mainly because the housing market froze. Lenders who borrowed money at teaser interest rates faced new steeper rates. Lending standards increased and investors stopped buying mortgage backed securities because news about the quality of the mortgages became public. Once investors found out, numerous class action lawsuits were filed against the huge banks, and many of them are still being litigated in court. This settlement is another in what seems to be an endless amount of lawsuits concerning mortgage backed securities.

RD Legal Funding, LLC (“RD Legal”) can provide interim post-settlement financing to plaintiff’s attorneys with Bank of America-Countrywide Financial settlements, which provides immediate capital on slow-paying settled legal fees. Lawsuit funding does not require any kind of payments until the fee is paid; there are no monthly interest or principal payments, no upfront points or fees. Once the necessary documentation is received, RD Legal can wire funds within several days. RD Legal provides personalized service and quick turnaround.

To find out more about RD Legal’s law firm funding solutions, please call Joseph Genovesi toll-free at 1-800-565-5177. For more details about RD Legal’s Fee Acceleration program, please visit our attorney fee funding page.

Written by Lulaine Compere

General Electric is one of the most successful companies in the world. Mostly known as a builder of items like air conditioners and light bulbs, its subsidiary, GE Capital, is a huge force in the world of finance. News stories about the settlement detail the plaintiffs’ accusations against GE Capital and their involvement in a 2008 stock offering which threatened the company’s financial position. That move caused them to lose their “AAA” credit rating, resulting in a dividend cut of almost 70%. GE is one of many companies who faced lawsuits because of their exposure to subprime loans.

Plaintiff’s attorneys with General Electric settlements are eligible for post-settlement attorney fee financing from RD Legal Funding, LLC (“RD Legal”) which provides immediate capital on settlements. Lawsuit financing does not require any kind of payments until the fee is paid; there are no monthly interest or principal payments, nor are there any upfront points or fees. Once the necessary documentation is received, RD Legal can wire funds within several days. RD Legal provides personalized service and quick turnaround.

For more information about RD Legal and their cash flow management solutions, please call Joseph Genovesi, Senior Vice President of Business Development and Origination, at 1-800-565-5177, ext. 140. To begin the application process, please fill out our brief online application.

Written by Lulaine Compere

The Georgia Trial Lawyers Annual Convention is the largest gathering of trial attorneys in the state of Georgia, where ideas will be shared, issues concerning trial attorneys will be discussed, and networking opportunities will be available for the attendees. The Vermont State Bar’s Solo and Small Firm Conference is a series of panels and events geared toward helping small law firms build their practices. The Georgia Trial Lawyers Conference is taking place at the Loews Hotel Midtown and the Vermont State Bar’s Solo and Small Firm Conference is taking place at the Basin Harbor Club.

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Hurricane Rita and Hurricane Katrina caused a tremendous amount of damage to the Gulf coast, especially in states like Louisiana and Texas. The cost of both storms was estimated to be over $100 billion with Katrina causing the most damage. For plaintiff’s attorneys involved in this litigation, it can take a long time to receive your hard-earned fees, even after a settlement has been reached. RD Legal Funding, LLC (“RD Legal”) is ready to help bridge the gap between time of settlement and case payout to help plaintiff’s attorneys better manage their cash flow. RD Legal is one of the nation’s leading providers of lawsuit funding to attorneys.

Hurricane Rita Coverage:

Hurricane Katrina Coverage:

During the aftermath of Hurricane Katrina, it became clear that the measures implemented to prevent flooding failed. The combination of a huge storm, defunded projects, and poorly maintained infrastructure devastated the Gulf Coast region. Hurricane Rita followed a month later adding even more devastation.

The damage from both storms was immense and caused many people to evacuate their homes. A class action lawsuit was filed against several districts in Louisiana and their insurance company. The suit was partially settled for about $20 million. According to the website established for plaintiffs seeking a claim, there are three settlement funds established with over $20 million as of November 2012. Approval of the settlement will be determined in September of 2013 by the United States District Court for the Eastern District of Louisiana.

RD Legal can provide plaintiff’s attorneys with Hurricane Rita and Hurricane Katrina settlements with interim post-settlement funding, which provides immediate capital on settlements. Legal funding does not require any kind of payments until the fee is paid; there are no monthly interest or principal payments, no upfront points or fees. Once the necessary documentation is received, RD Legal can wire funds within several days. RD Legal provides personalized service and quick turnaround.

For more information about Fee Acceleration, please call Joseph Genovesi at 1-800-565-5177, ext. 140.