What is Legal Terms Legal Funding?

Legal Funding Information: Legal Funding is sometimes called advance funding, or litigation money. Simply put, Legal Funding is a means of financing the claimant while his or her claim goes through the legal system, which can be time consuming. The legal funding comes when someone purchases a portion of a future recovery or settlement. The portion is generally a defined amount, usually to cover living expenses pending settlement, rather than a percentage of the future settlement. In some legal funding schemes there is no payback of the pre-settlement money unless money is ultimately received in settlement of the case. The attorney involved should be mindful of ethical rules impacted by legal funding issues.