Litigation Funding for Attorneys

Many people assume that litigation funding is used by people involved in lawsuits, but actually, many firms also fund law firms as well.  Attorneys normally charge a flat or hourly fee for their services, and often may pass on a meritous claim due to a potential client’s inability to pay. By receiving payment in advance or as they work from a litigation funding company, these attorneys can cover their expenses and repay the litigation funding company once the client's case is resolved.   Often, the litigation funding company is only repaid of the lawsuit is successful.

This model of litigation funding isn't uncommon at all.  Many high-profile class action suits have featured investments from an outside source to enable the attorney to represent the client in question. A prominent example where a law firm has borrowed money in order to litigate on a client's behalf is in the case of the lawyers representing most of the ground zero workers suing New York City over health issues, Worby Groner Edelman and Napoli Bern Ripka.

Other firms, like Amerevision Legal Finance, a niche commercial funder based in New York that focuses on funding real estate related matters, provide law firms with direct payment for work performed when their client has a strong case but lacks the ability to cover the costs of litigating.  Other types of private funders may simply cover the attorney retainers, relieving the burden of up-front payment but still leaving court costs in the hands of the client.  Still more advance money to a litigating client to be used as they wish in anticipation of a settlement.

  

In summation, litigation funding is not necessarily a one size fits all industry. Each case is unique, as is each client. Whether the client is a Fortune 500 corporation, a self-starting entrepreneur, or a tenacious lawyer, there are different litigation financing options available.  

Will Litigation Funding Work For My Business Claim? The Answer is Yes!

As the industry continues to boom,  litigation funding companies are beginning to take on more business, typically using a ‘one size fits all’ approach to managing client regardless of individual needs. Amerevision Legal Financing is different. We respect our clients' unique circumstances and concerns. Our revolutionary approach to litigation funding involves top-notch research and a focus on transparency and communication from start to finish. Once your claim has been assessed and accepted, Amerevision will invest its resources to further the goals of your litigation.

Our team invests in sourcing high quality legal resources and tools for each of our client’s disputes. We commit ourselves fully to the success of each claim, although we observe and respect the necessity of attorney-client privilege.  We believe that our involvement enhances transparency between client and attorney, and that a legal case is only as strong as the communication between all parties involved.

What makes Amerevision so exceptional is our willingness to intervene and provide funding at any stages of litigation or mediation. In addition to accepting both plaintiff and defendant clients, Amerevision also works with law firms and in-house counsel. Claimants are generally company owners or stakeholders who may not have the desire or ability to pursue claims with their own capital. Due to the high-risk nature of litigation, these companies frequently forfeit potentially valuable claims. By partnering with Amerevision, business owners have an opportunity to proactively pursue meritous litigation without the risk of financial ruin.

The ability to see a legal claim from start to finish and access to expert representation can make the difference between a business’ successes or failure. Our dedication to our clients and their specialized needs are unparalleled and set us apart from our competitors. If you think Amerevision Legal Finance could be the litigation funding company for your business, visit our website to apply and learn more about what we offer.​

Litigation Funding: A Concise Timeline- by Amerevision

In light of all of the recent media attention given to the litigation funding industry recently, wouldn't it be nice to know more about its history?

·         1765: Litigation funding isn't new.  It was an ancient practice, considered meddling and banned in much of Western society during the 18th century. William Blackstone, an English attorney and politician, calls third party funders “pests of society.”

·         1787: Jeremy Bentham, a British philosopher and the founder of modern Utilitarianism, decided to go against the grain and penned “Defence of Usury” where he articulated that “wealth has the monopoly of justice against poverty” and advocated for lawsuit lending.

Flash-forward to the 20^th century…

·         1908: The American Bar Association cautiously began to allow attorneys to charge contingency fees, which meant that they could perform work in exchange for a share of the potential reward.  This was intended to facilitate representation for people who couldn't afford to pay upfront.

·         1963: Civil Rights! In one of the most important "wins" for litigation funding, SCOTUS ruled that civil lawsuits were protected under the First Amendment as free speech, making it possible for N.A.A.C.P to back plaintiffs in cases regarded civil liberties.

·         1985: Pay attention business owners: Charles P. Hall raises $1 million from investors in order to finance a patent protection lawsuit. This, a strategy that is now popular, was innovative.

·         1992: Ken Polowitz, a mortgage banker, creates the first legal financing firm, Plaintiff Support Services, which offered support to plaintiffs awaiting a settlement from litigation.

·         1998: General Electric turns a $4.2 million dollar profit from funding a lawsuit for a discount retailer against Chase Manhattan.

·         2000: The American Bar Association formally embraces litigation funding.

·         2004: The American Legal Finance Association is created under pressure from NY Attorney General Eliot Spitzer.

So, there you have it: the most important dates in litigation funding history! To learn more, or for any questions about litigation funding, visit Amerevision's website at http://amerevision.com.

Lawsuit Loans versus Litigation Funding: What YOU Should Know

Ever since the practice hit US markets in the early 1990s, third-party lawsuit funding has seen a rapid increase in the legal industry. Now with a growing number of investment firms engaging in litigation funding; the industry has come under scrutiny from the judicial system, legal experts, and potential plaintiffs.  The relative infancy of alternative litigation financing, along with the predatory behaviors demonstrated by a few, has become cause for concern by many.

So how does one decide whether or not to seek out litigation funding? How does an entrepreneur determine whether or not they are being taken for ride with a high-interest lawsuit loan? How can a business owner find a litigation funding service that suits the needs of their company? Amerevision Legal Finance has the answers.

           What is a lawsuit loan, and should I seek one to finance my litigation? Sometimes referred to as a pre-settlement loan, lawsuit loans are typically cash advances given to plaintiffs who are awaiting a settlement, usually to cover living expenses until an offer is reached. These loans are typically reserved for those engaging in personal injury suits, or workplace related litigation. The interest rates and fees for this type of non-recourse debt are usually high, with clients re-paying financiers anywhere from 30 to 120 percent of their loan amount. Most legal experts advise plaintiffs to stay away from this type of funding, as it is often predatory and misleading in nature.

            How is litigation funding, like the type provided by Amerevision Legal Finance any different? Amerevision offers a special kind of non-recourse legal financing, where the plaintiff’s attorney fees and court costs are paid directly by the firm. Instead of providing plaintiffs with a cash advance just to charge steep interest rates at a later time, Amerevision leverages its own capital against the lawsuit; taking the risk of filing a lawsuit off the table for the client. This method is commonly seen in lawsuit matters involving large corporations who choose to shift the cost of litigation to a third-party, however Amerevision offers this same ethical approach for individuals and small businesses.

Which type of alternative legal financing should I seek for my lawsuit? Small business owners and entrepreneurs are advised to stay away from lenders that offer cash-advanced lawsuit loans due to their unregulated practices and high interest rates. Business owners who are considering a lawsuit should research companies like Amerevision that will relieve the burden of litigation costs, allowing them to focus their capitol on already present expenses.  Choosing the litigation funding route may not result in a quick, cash pay-off for filing a suit, however it has been shown that this course of action yields the highest potential for reaching an agreeable settlement.

In short, while lawsuit loans may appear attractive at first sight, as a business owner, you must decide whether or not the large burden of debt is truly in the best interest of your business. The alternative method of direct litigation funding via Amerevision is the best way for entrepreneurs who want to experience positive, long-term results from their litigation.​

Amerevision Debuts Legal Financing Solution for Entrepreneurs

For Immediate Release

NYC Litigation Funders, Amerevison, Debuts Legal Financing Solution for Business Owners

Amerevision Legal Finance CEO Hezi Torati unveils new type of litigation funding to aid business owners with legal disputes and claims.

 April 8, 2014

-Amerevision

 Start-up: Amerevision Capital

 Founder: Hezi Torati

 Employees: Nine full-time

 Location: New York City

 Founded: 2012

 The Pitch:  Amerevision is a litigation financing company that invests in its clients’ cases, paying legal costs directly and providing research and support to increase each client’s likelihood of succeeding.  Its clients are small and medium-sized business owners engaged in commercial disputes ranging from intellectual property to real property, to professional malpractice, to contractual.   “We saw business owners leaving legal claims unresolved, abandoning important lawsuits that would have protected them against liability or competition and made or saved them a significant amount of money.  We also saw lawyers mishandling important litigations and ‘taking clients for a ride’, and that business owners are often ill-equipped know whether they are being properly represented.  Our company solves both problems.”

 How It Works:  When a business owner has a legal claim they want to pursue and applies to Amerevision for legal financing, the claim’s merits undergo extensive review.  A minority of applicants are accepted.  A client may have already selected an attorney, in which case Amerevision reviews the attorney’s background, references, and legal writing samples and interviews the attorney as part of the application process.  If they have not, they may choose from a list of attorneys that Amerevision has already vetted that practice the appropriate area of law.

Amerevision provides the extensive research it has performed on the case during application review to the client’s chosen attorney.  In addition to paying the client’s legal costs, Amerevision continues to provide back office research and support services to the attorney and keep the client informed as mediation, litigation, or arbitration proceeds. Amerevision’s success depends on the successful outcome of its client’s cases, so Amerevision’s ongoing engagement with all parties is comprehensive and meticulous.  This third party involvement encourages creative problem solving, transparency and positive results.  “Business owners face enough obligations and risks related to the running of their core business without those added by litigation,” says Mr. Torati.   “We allow them to stay focused on growing their company.”

 Financing: Clients pay Amerevision an agreed upon percentage of their settlement, whether it comes in the form of an award or savings.    In many cases, the fee is paid in installments.

 Traction:  Amerevision has over one hundred active clients in New York and surrounding areas.

 Client Example:  Mr. Roberts has a New York based paint distribution company, which has been in business for over twenty years.  He is currently working with Amerevision on a real estate related claim in Suffolk County.  When he thinks about the many claims he chose not to pursue because of the expense and time doing so would have required, he wishes that such a solution would have been available to him earlier.  He intends to call Amerevision first when such issues, which he now considers “opportunities,” emerge in the future.

 ##end###

Amerevision Capital LLC is based in New York City and provides litigation funding on behalf of persons and small businesses, optimizing its clients’ likelihoods of obtaining expedient and favorable outcomes and maximizing their awards or savings.  It was founded in 2011 by Hezi Torati, who has successfully pioneered several innovative and varied niche models of financing in the United States and internationally.

For Press Inquires contact:          Mia A. Logan       The Amerevision Group LLC    media@amerevision.com

Way to Reduce Your Overhead: Litigation Funding

Amerevision Legal Finance

In today’s recovering economy, small business owners, start-ups, and entrepreneurs are looking for new ways to outsource certain overhead costs while protecting their company and intellectual property. The most commonly outsourced services are marketing, IT services, and tech support; but what if companies could relieve some of their overhead by outsourcing the investment in legal representation to companies like Amerevision Legal Financing?

Amerevision Legal Finance is the only third party litigation funding agency that offers the lawsuit financing model popular among large corporations and companies to small business owners with minimum annual revenue of $300,000. The benefits of this type of litigation funding are vast, but importantly, they help to reduce an owner’s overhead expenses. Are you a business owner? Here is how Amerevision can help you.

1.) No Legal Fees, No Retainer, No Hassle Amerevision offers non-recourse litigation funding, which means that the plaintiff is only responsible to pay the finance agency an agreed upon percentage of their potential award or settlement if their case is successful. Simply put, Amerevision will cover your legal fees and litigation costs, and is only paid from your settlement or award if you win. Letting a third party hedge the risk of loss for you alleviates the stress that comes with litigating an issue and allows you to focus your time and capital on the development of your core business. This is particularly valuable because most business owners do not have room in their budget for unanticipated litigation costs, which can be high and drain their business’ resources.

2.) Better Understanding, Better Outcome: By providing and paying for legal services directly, Amerevision equips both clients and attorneys with a clear understanding of each party’s expectations and obligations. For litigants, there is no high retainer fee or lack of control over how they are billed. For attorneys, there is no monetary incentive to draw out legal proceedings. Eliminating the need for back and forth bartering and bantering, attorneys are able to focus solely on the case at hand, increasing productivity and the likelihood of a favorable outcome for all.

3.) A More Proactive Approach: Not having to worry about out of pocket expenses enables you to be able to meet all of your company’s legal needs. Having a go-to firm that can provide legal assistance and representation at your disposal and not having to worry out of pocket expenses keeps you prepared and equipped for any litigation issues that may pop-up.

No business owner, big or small, should have to spend valuable time worrying about how they will be able to handle legal issues they may not be able to control, or forgo a winning legal claim because they do not have the capital required to succeed. Reduce your budget by utilizing Amerevision third-party litigation, and spend your time and money on growing your business. 

Our website offers a full explanation and overview of our services, along with our application for litigation financing. Also, for up to date news and advice about the growing litigation finance industry, you can follow us on our Twitter, and Facebook pages.