A lawsuit is basically defined as any suit, cause or action that are being enacted or instituted by two different individuals in the law court, and the other definition for this is any proceedings in the courts of law created by a party or parties against another party. Litigation is the term used by the people that refers to the conduct of a lawsuit or to criminal trial, and the plaintiffs and defendants are called as litigants, while their lawyers or attorneys are called as litigators. It is definitely very expensive in filing a lawsuit and facing a trial, since it includes any other fees like fees for attorneys and because of that the people who lacks financial resources are not capable of filing such cases in court, however, in the most fortunate events there are some third party funding companies that can help them by offering legal financing or lawsuit funding.
Legal financing is also known as lawsuit funding, professional funding, litigation funding, third party funding and settlement funding, and it is defined as the process or the mechanism in which the litigants and law firms can pay for their litigation and any other legal costs through the help of a funding company. The services offered by funding companies include providing their clients with cash advance or any financial assistance in exchange for obtaining a percentage share of the money acquired in settlements or judgment after winning a trial, but if their client loses the funding company will lose money as well, since their clients are not obligated to pay them. The benefits of obtaining a lawsuit funding from a funding company includes having the ability to level the playing field by acquiring lawsuit funding from large funding companies, especially when they are against wealthy defendants; and having the ability to use the money not just for litigation fees, court filings, and attorney’s fees, but they can also use it for their personal finances and their living expenses. The different qualifications of acquiring a legal financing or lawsuit funding from third party funding companies includes that the client already hired an attorney, that the client’s case is either a personal injury from a motor vehicle accident or a case of negligence or a violation of civil rights at work, that the defendant is financially stable and is part of a large corporation, the state of residence, the background of the applicant, the sufficient margin for investment, the total amount of the damages sought, and the liability of the defendant. Third party funding companies can be found in every parts of the globe, and the people who wants to find them and needs their assistance can find them through the recommendations of colleagues or through the use of the internet.