It is not uncommon that people associate lawsuit financing with a lawsuit loan. But this kind of financial funding is different from the regular concept of a typical loan. It is much rather a form of cash advance, or to put it in a broader sense, we could look at it as an investment. And there is a reason for this distinguished characterization, because otherwise this type of funding would become subject to state law interest charges.

Lawuit financing is typically a non recourse agreement. ...