Updated on 8/9/2021
This article helps plaintiffs and attorneys alike learn more about lawsuit loans and alternatives in Nevada. Below you will find the following information:
Lawsuit loan alternatives in Nevada
Lawsuit loans are expensive. Plaintiffs in Nevada should exhaust all other options before seeking legal funding. Check out the local resources below for some ideas:
- Nevada’s Division of Welfare and Supportive Services – this government agency assists low-income families with affordable child care resources to facilitate parental employment.
- Nevada’s Child Care Subsidy Program – the Child Care Subsidy Program is a feature of the Division of Welfare and Supportive Services and offers a subsidy to parents with children in approved daycare programs.
- Medical Payment Assistance and Insurance Information – this program offers health insurance assistance to Nevada residents making less than 133% of the poverty line as well as select individuals receiving other forms of aid, like Supplemental Security Income (SSI) recipients.
- Office of Food Security – this program provides nutritional assistance for low-income Nevada residents to reduce hunger and improve food security.
Lawsuit funding laws, regulation and relevant ethics opinions in Nevada
Nevada state law regulates consumer lawsuit loans (consumer litigation funding). The state requires registration and enforces a maximum interest rate of 40% for lawsuit loans to Nevada residents. The state bar prohibits lawyers from lending to their clients, but does not give an opinion on lawsuit loans from a third-party.
Laws regarding lawsuit loans in Nevada
Nevada’s statute – Chapter 604C – Consumer Litigation Funding – regulates pre-settlement lawsuit loans in the state. The statute requires a maximum interest rate of 40% annually and a maximum one-time fee structure of $500 per advance. The statute requires prominent disclosure of funding terms and conditions.
Source: Chapter 604C – Consumer Litigation Funding
Legal funding case law in Nevada
In Schwartz v Eliades the Supreme Court of Nevada stated “to maintain the suit of another is now, and always has been, held to be unlawful, unless the person maintaining has some interest in the subject of the suit.” However, statutory law now allows for lawsuit loans as seen above.
Source: Schwartz v. Eliades
Can a lawyer lend money to a client in Nevada?
In relation to a pending litigation, Nevada attorneys cannot help clients with living expenses. However, they can advance court expenses to the end of the case or, if the client is indigent, cover the court related fees entirely.
Source: Nevada Rules of Professional Conduct 1.8(e)
Lawsuit loan companies serving Nevada
Recommended lawsuit loan companies funding Nevada residents
US Claims 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 US Claims. to see for yourself.
Lawsuit loan companies located in Nevada
Compare Lawsuit Loans does not currently cover any local lawsuit lending companies in Nevada. Local funding companies interested in being included on this page may contact us at [email protected]