Claim Finance funding scheme is designed to be offered to anyone, whether individual or corporate, that has commenced proceedings for damages arising out of a legal wrong, whether a personal injury claim, financial claim on divorce, contractual dispute, Insolvency Disputes and contentious probate etc.
Claim Finance will fund in circumstances where, having assessed the merits and value of your claim and the credit standing of the defendant/insurance company, we believe the prospects of success are sufficiently great to cover at least the amount being funded and the fees.
The funding can only be used for disbursements that can be recovered from the defendant.
We will fund depending on the specific circumstances of your case. The money is paid to your solicitor.
The funding contract is between you and Claim Finance, although your solicitor has obligations to us as part of your funds, namely:
a) to pay off the funds from any proceeds they receive as part of the settlement before the remainder is passed to you;
b) to communicate anything material to the funding that happens during the conduct of the litigation.
No, the litigation is pursued in your name and you will have the sole conduct of the case.
The funding itself is unsecured, although we will require an undertaking from your solicitor to repay the fund plus fees out of the proceeds of the case.
Fees charged are transparent and straightforward and will be clearly outlined on the Repayment Schedule of the Funding Agreement. Administration Fees, Case Monitoring Fees and Application Fees are repaid with Capital only when the Case settles and if it is successful. Capital and fees are not repayable if the claimants case is unsuccessful
No, the funding is non-recourse. If the claim fails, Claim Finance will write off the debt and fees and there will be no further recourse to you. In the event that the proceeds of the claim are insufficient to discharge the amount of the funding and the fees, Claim Finance will write off the balance and, again, there will be no recourse to you.
Once we have received the funding application, we will ask you to request that your solicitor provide us with all relevant paperwork in relation to your case. Once all of the required paperwork has been received, we will undertake our own assessment of the case and make an offer to you accordingly. This will take no more than 7 days. Provided we receive the paperwork from your solicitor quickly, we anticipate that the whole process should take no more than 4 weeks.
No, you need to be represented by a solicitor in order to apply for a funding from Claim Finance. If you disinstruct your solicitor after we have made the funds to you or act in ways which undermine the good faith nature of the relationship, you will be in breach of the funding agreement and the amount of the funding plus fees becomes repayable immediately.
The first step is to contact us and complete a one page Case Review Sheet, We will then contact your Solicitor for information on your case. When this is received it will be reviewed at our Committee Meeting , they may need to contact you or your Solicitor for further information. If approved a Funding Agreement will be drawn up and sent to your Solicitors office where you and your Solicitor will review and complete your respective parts of the document. When this has been received back by us a payment will issue within three business days
No, there is no requirement for this but you are free to take independent legal advice if you wish. Our procedures are simple and transparent and all of our documentation is written in clear and straightforward English.
We are primarily making a decision to fund based on our assessment of your claim. Fundamentally, we need to know that you are not insolvent and that you therefore have the right to bring the claim. However, we will ask additional questions to understand more about your financial circumstances, for example, are you in an Individual Voluntary Arrangement, do you have any Court or other judgments?
All information will be assessed, although the merits, value and collectability of the claim will be the overriding consideration.
All information will be assessed, although the merits, value and collectability of the claim will be the overriding consideration.
The period of the funding lasts for the length of time it takes for the litigation to be concluded, either by the Court or by negotiated settlement. However, Claim Finance reserves the right to demand immediate repayment in the event that you act in such a way as to undermine the good faith nature of the relationship, for example, by disinstructing your solicitor or failing to assist the solicitor in the furtherance of the case.
If you are dissatisfied with your solicitor for good reason, you may instruct a new firm. However, as your solicitor will have given Claim Finance an undertaking regarding repayment, any new solicitor would have to be prepared to give the same undertaking on taking over the conduct of the case. If the new solicitor is not willing to replace the undertaking you will be in breach of the terms of the funding agreement and the funds and fees will become repayable to us immediately.
If you discontinue the proceedings for no good reason, apart from having to pay the other side’s costs, the funding plus fees will become repayable by you. If, however, during the course of the litigation, the circumstances change so that a successful outcome is no longer achievable, you may be advised that the best outcome is to continue the proceedings on the basis that each party bears their own costs. Provided we are satisfied that this is the only possible outcome, the funding plus fees will be written off.
No, your solicitor does not recommend the scheme. The scheme is one funding option potentially available to you and you should explore other sources of borrowing to ensure this is the best choice for you. Your solicitor may refer you to Claim Finance if our product meets your requirement but the solicitors receive no financial incentive from us for doing so.
There is no requirement to tell the other side about the funding. However, if the funding is being used to pay for your legal disbursements, your solicitor may want to notify the other side because you may be able to recover those disbursements from the Defendant as part of your claim for damages. You will need to discuss this with your solicitor.
The funding period is linked to the timing of the outcome of the claim, whether it is determined at trial or settled at an earlier stage.
Yes, there are no penalties for paying off the funding early.
Yes, but only in the event that you decide to repay the funding before the outcome of the case is known. Once the outcome of the case is known, assuming it is successful, then in accordance with the solicitors’ undertaking, the funding and fees (assuming there are sufficient proceeds) must be repaid in full from the proceeds of the claim.
The funding will remain in place for as long as it takes the case to be heard or to settle. No extensions beyond this time will be given.
Once you have read these FAQs, if you are interested in the scheme, then please contact us to make an application.