Introduction: Funding as a Strategic Lever
In high-value personal injury and medical malpractice cases, time and resources—not just legal strategy—often determine the outcome. Defense teams know this and frequently use delay tactics to starve the plaintiff of capital and force a low, premature settlement.
Litigation funding (or pre-settlement funding) from a partner like Golden Pear shifts that balance of power. It's not a Hail Mary; it’s a strategic lever for maximizing recovery.
If you’re wondering when to introduce funding into a case, look for these four key indicators that your personal injury claim is ready for non-recourse capital.
Sign 1: Clear Liability and Significant Damages
The first and most critical sign is the merit of the case. Funders are passive investors, and like any investment, they prioritize a strong likelihood of success and a sizable return.
- What Funders Look For: We seek high-merit claims that demonstrate clear liability and significant potential recovery. Your case should be well-documented with evidence that establishes the defendant's negligence and clearly links it to substantial plaintiff damages (medical bills, lost wages, pain and suffering).
- The Bottom Line: If you, the attorney, are highly confident in the case's ultimate success and project a significant final settlement or verdict, it is a prime candidate for funding.
Sign 2: The Client is Facing Financial Duress
A client's urgent financial need can destroy a strong case. When a plaintiff is unable to pay for rent, utilities, or continued medical care, they become desperate for any immediate cash, making them susceptible to the defense's lowball offers.
- The Funding Solution: Funds are used to create Client Stability. By covering essential living expenses, Golden Pear removes the financial pressure that often leads to settling too early.
- The Litmus Test: If your client is calling you frequently, anxious about bills, or expressing a desire to take the first settlement offer just to end the process, funding is necessary to protect the case value.
Sign 3: You Need a Top-Tier Expert Witness (Case Resourcing)
Winning complex cases often hinges on the credibility and specialization of your expert witnesses. However, the cost of securing a leading expert—especially in fields like medical malpractice or complex auto litigation—can quickly deplete a firm's litigation budget or stall the case altogether.
- The Strategic Use of Capital: Funding enables Case Resourcing. Non-recourse capital can be used specifically to finance these critical, high-cost litigation expenses, ensuring your case is presented with the strongest possible evidence, maximizing the potential case value.
- The Go/No-Go Decision: If your case merits a costly expert report but your current budget won't allow it, funding is the clear path to unlocking that higher recovery potential.
Sign 4: The Case is Entering a Prolonged Stage (Defense Delay)
If you've identified that the defendant is employing common delay tactics—such as excessive discovery requests, slow responses, or filing motions to postpone—you know the resolution is months, or even years, away.
- The Power of Patience: This prolonged timeline is precisely when funding becomes most valuable. It gives the lawyer the breathing room to fight the delays without compromising the client's financial stability.
- The Non-Recourse Advantage: Since the client and the firm owe $0 if the case is lost, the firm can commit fully to the long-haul strategy required by the case, knowing that the financial risk of the delay is mitigated.
Conclusion
Litigation funding is not a sign of weakness; it's a sign of strategic strength and confidence in the case's merits. By recognizing these four signs, you can proactively secure the time and capital necessary to litigate the case to its maximum value, ensuring both a better outcome for your client and a higher fee for your firm.
Ready to determine if your case qualifies?
Contact us! https://goldenpearfunding.com/