Frequently Asked Questions
1.What is a lawsuit advance?
2.What are the benefits of a lawsuit cash advance?
3.Will my case qualify for an advance?
4.What does "non-recourse" mean?
5.How is an advance different from a loan?
6.How much money can I receive?
7.How much can I expect to pay for an advance from LawMax?
8.Is a non-recourse advance more expensive than a bank loan?
9.Should I use my advance to pay off my credit cards?
10.How long does it take to receive an advance?
11.What is an "out-of-court settlement"?
12.May an attorney refer a client to LawMax?
13.What is the "risk premium"?
14.Does LawMax participate in the lawsuit once I receive an
15.What does "identifiable" injuries mean?
16.Can LawMax represent me in my lawsuit?
1. What is a lawsuit advance?
If your case qualifies, LawMax will advance you immediate
cash against the proceeds from your lawsuit when it is resolved through
settlement or trial.
2. What are the benefits of a lawsuit cash advance?
An advance will replace lost income, and help you cover
living expenses and pay medical bills while you wait for your case to settle.
3. Will my case qualify for an advance?
LawMax considers each request for an advance on a
case-by-case basis. We will thoroughly review your case, and our underwriters
will make a decision within 48 hours of receiving the required documentation
from your attorney.
4. What does "non-recourse" mean?
It means that repayment of the advance is only required if
you win your case or reach an out-of-court settlement. Should you fail to reach
a settlement, you owe us NOTHING. LawMax invests in your case, and so we share
the risk with you. A "non-recourse" advance is also sometimes
referred to as a "contingent" advance.
5. How is an advance different from a loan?
Loans must be repaid, regardless of your circumstances.
Loans are issued based on your credit and employment history, and loans require
monthly payments. A lawsuit advance is NOT based on your credit history or
employment, and there are no up-front fees and no monthly payments. Your
lawsuit advance is repaid in one lump payment from the proceeds of your lawsuit
6. How much money can I receive?
The amount of money you can receive depends on the probable
value of your claim and its chances for a favorable outcome. You are free to
request any amount.
7. How much can I expect to pay for an advance from LawMax?
Our rates are based on several factors, including the amount
of the advance and the level of risk associated with your case. The risk
premium on a lawsuit advance will generally be higher than the interest rate on
a conventional loan.
8. Is a non-recourse advance more expensive than a bank
Yes, because non-recourse advances and bank loans are very
different. You are not required to repay your non-recourse advance if you do
not receive a payment from the defendant. A bank loan will cost you less, but
it has to be repaid regardless of the outcome of your case, and you will have
to make monthly payments until your lawsuit is resolved.
9. Should I use my advance to pay off my credit cards?
You are probably better off making monthly payments until
you receive the proceeds from your lawsuit.
10. How long does it take to receive an advance?
We cannot evaluate your request until we receive
documentation from your attorney so we can thoroughly review your case.
However, once we have the documentation we need, we will evaluate your request
immediately and make a decision within 48 hours.
11. What is an "out-of-court settlement"?
Many lawsuits are settled out of court when all parties to
the lawsuit agree on a resolution to the dispute. This usually involves the
defendant compensating the plaintiff for his or her damages without going to
12. May an attorney refer a client to LawMax?
Yes. In fact, several state bar associations have issued
favorable ethics opinions regarding an attorney's ability to refer clients to
an institution that will provide non-recourse funding.
13. What is the "risk premium"?
The "risk premium" is the amount of money that
will be paid to LawMax out of the proceeds of your lawsuit settlement in
addition to the funds already advanced to you.
14. Does LawMax participate in the lawsuit once I receive an
We do not participate in your lawsuit in any way whatsoever.
15. What does "identifiable" injuries mean?
It means that your injury can be seen or diagnosed by
objective means such as MRI, X-Ray, CT Scan or other technology. Calculations
of property and commercial damages must have a sound basis.
16. Can LawMax represent me in my lawsuit?
Apply for a lawsuit cash advance now.
No. We do not practice law and do not provide legal
services. If you are having a hard time finding an attorney, we will do our
best to refer you to an attorney with whom you will feel comfortable.
We understand the importance of quickly meeting our clients' financial needs. Most decisions are made within 48 hours of receiving all the requested documents from your attorney. We always welcome your inquiries. Call us today at 1-877-788-CASH for a confidential, no-obligation evaluation of your case, or apply online now.
Check if your case is eligible for financing here.