Minnesota (MN) Lawsuit Loans

Updated on 3/26/2024

This article helps plaintiffs and attorneys alike learn more about lawsuit loans and alternatives in Minnesota. Below you will find the following information:

Lawsuit loan companies serving Minnesota

Below you will find a list of companies that provide funding in Minnesota. We highlight lawsuit loan companies we recommend, as well as local and regional funding companies where applicable.

Recommended lawsuit loan companies funding Minnesota residents

We recommend the following companies for plaintiffs residing in Minnesota.

Our pick for low rate lawsuit loans

USClaims offers some of the lowest, non-compounding rates in the industry. Many companies claim to offer “the lowest rates in the industry” – we recommend comparing them against an offer from USClaims to see for yourself.

View USClaims’ profile

See our full list of recommended companies here.

Lawsuit funding laws, regulation, and relevant ethics opinions in Minnesota

Before 2020, Minnesota prohibited lawsuit loans based on the champerty doctrine. In 2020 however the court decided that lawsuit loans were not champertous. Some pre-settlement funding companies now provide advances to Minnesota residents.

Legal funding case law in Minnesota

Prospect Funding Partners provided pre-settlement funding to Maslowski. At the conclusion of the case, Prospect Funding Partners was not repaid. Though common law prohibited lawsuit loans in the past, the Minnesota Supreme Court reversed precedent. This reopened the door to lawsuit funding for MN residents.
Source: Maslowski v. Prospect Funding Partners LLC

Can a lawyer lend money to a client in Minnesota?

Lawyers cannot subsidize or pay for lawsuits brought on by clients. A lawyer can advance the costs of litigation to the end of the trial, with repayment being based on the success of the case.
Source: Minnesota Rules of Professional Conduct 1.8(e)

Lawsuit loan alternatives in Minnesota

Lawsuit loans are expensive. Plaintiffs in Minnesota should exhaust all other options before seeking legal funding. Check out the local resources below for some ideas: