Wednesday, August 18, 2010

For Funding Purposes, When is a Case Considered Settled?

In the world of funding, a settled case will almost always give rise to a lower funding rate than a non-settled case. Makes perfect sense, since there is now finality and the risk of loss is all but removed from the equation. So what documents will support that the case is settled in a funder's mind;
1. Release-of course;
2. Inf's compromise or Death Compromise-confirming letter from the carrier as to settlement together with a draft of the petition or
3. Statement on the record regarding settlement by counsel, or a
4. Stipulation of Settlement.
Now, I suppose today even an email between counsel, or the defendant's carrier and plaintiff's counsel will suffice.
For all intents and purposes , without any of the above , for funding consideration the matter will not be considered settled.
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