Frequently Asked Questions
Why does GLOBAL call its, cash advances, Lawsuit
Insurance ™
Insurance protects you against loss or damage
by a contingent event. Our Lawsuit
Insurance™ cash advances protect you against no recovery in your lawsuit or
claim and provide you cash now.
Why do other companies not explain their fees
upfront?
Some companies choose to hide their fees until
you are approved and are unlikely to want to go through the process
again so you accept their extremely high fees. We tell you our fees upfront before you even apply.
How is your company able to charge more affordable fees?
With low overhead and a highly motivated staff,
GLOBAL is able to provide good customer service and very low fees.
Every business has a low cost leader and that is our goal at Global
Is it legal to get a cash advance against a legal case?
Yes, the claim or lawsuit is yours and you own
it, just like you own your car. After paying your attorney and medical
liens, the potential remaining money is yours. You may sell or assign
it.
Can I get a bank loan?
Conservative financial companies, including
banks, do not generally lend against a lawsuit. It is our experience
that they think the business is too risky and choose only to lend
against tangible assets.
Is possible for my attorney to lend me money?
The American Bar Association does not allow
attorneys to lend cash to clients for anything but case expenses.
This prohibition was established to prevent a conflict of interest
from arising. If you owed your attorney money you might feel obligated
to accept your attorney's advice to settle your case when you really
did not want to accept the amount offered.
In what types of cases will GLOBAL advance money?
GLOBAL will invest in many different types of
cases including: Personal Injury Vehicle, Personal Injury Premises,
Personal Injury Assault, Workers Compensation, Wrongful Death, Medical
Malpractice, Sexual Harassment and FELA and Jones Act.
What can I use the money for?
GLOBAL does not place limitations on use of
proceeds; we look more favorably upon those cases where the proceeds
are used to pay bills or case expenses such as expert witnesses,
economists or case enhancing costs.
Does it take a long time to get my money?
After reviewing your file GLOBAL can usually
have an advance in your hands within 24-48 hours. There are no lengthy
applications or credit checks.
Does GLOBAL use its own funds or is it a broker?
GLOBAL uses its own funds; however, we may sell
these investments to institutional investors in order to raise additional
capital to fund future legal cases.
Is there a Bar Association Ethics Committee Opinion regarding
an attorney referring a client to GLOBAL?
We believe there are no states that prohibit
referrals so long as they result in arms-length transactions. In
fact if an attorney knows that GLOBAL has more advantageous terms
than other companies it may be his obligation to inform the client
of our services.
Is there an Ethics Committee Opinion regarding an attorney signing
a pre-settlement funding lien?
This of course, varies from state to state
but GLOBAL is not aware of any ethics opinions which prohibit attorneys
from signing a pre-settlement funding lien. In most cases we issue
a Letter of Instructions from the client to the attorney instructing
the attorney to place a lien in the file.
Will you try to manage my case or encourage me to settle?
We do not manage legal cases we simply advance money
against them.
If my case is lost, then what happens?
You owe us absolutely nothing. That is why this is such
a risky business.
What amounts will GLOBAL advance against a claim or lawsuit?
GLOBAL will invest between $500 and $500,000 in a single
claim or lawsuit.
How does the whole process work?
We advance money by purchasing a portion
of the anticipated settlement. We do not loan you money. We advance
money now in return for a portion of your potential proceeds, whenever
that may be. Just like yourself and your attorney, we take the risk
of a successful resolution. If the case is lost, we lose our money.
Does it matter how long the case takes to be resolved?
No. The percentage of the cases we invest into is not
affected in any way by the time it takes for a case to settle. Whether
you settle in 2 months or obtain a verdict in 5 years, their is
no financial obligation until resolution of the case.
Do I have to repay the advancement if the case has no settlement
or verdict?
No. There is no recourse against you and we will not
try to collect the money from you. Once we advance cash it is yours
to keep. This is called non-recourse funding.
Can i pre pay my advance before my case settles?
Absolutely . You can pa any amount advance which will
reduce your monthly fee.
Will GLOBAL advance against a claim before a suit has been filed?
Yes. Assuming there is sufficient information and documentation
in the file for us to make a determination as to the approximate
value of the case.
Do Usury Laws apply to these advancements?
No. Because we take the risk of settlement together with
the claimant and attorney, courts have continuously ruled that our
advance is not a loan. Therefore, our advancements and fees are
not subject to usury laws.
Does the advance that I receive affect my attorney's fee?
Nope.
Can I seek my attorney's advice regarding your service?
Of Course! Although your attorney does not specialize
in financial transactions it would be a good idea to have him/her
review our simple three page agreement before you sign it.Categories: lawsuit loan FAQ