Updated on 6/9/2021
This article helps plaintiffs and attorneys alike learn more about lawsuit loans in Utah. Below you will find the following information:
Lawsuit funding laws, regulation and relevant ethics opinions in Utah
Utah regulates pre-settlement lawsuit loans in the state but does not impose a maximum interest rate. The Utah State Bar has issued an ethics opinion for attorneys, allowing them to assist their clients with obtaining a loan from a third-party. However, lawyers are not allowed to lend directly to their clients for living expenses. Many pre-settlement cash advance companies are registered in and service the state of Utah.
Laws regarding lawsuit loans in Utah
Utah’s Maintenance Funding Practices Act regulates lawsuit loans in the state. The law requires pre-settlement funding companies to register in the state. The statute further requires funding contracts to contain certain disclosures, a payment schedule and a right of rescission. Lawsuit funding contracts that give the funding company a percent stake in the recovery from the claim are prohibited.
Source: Maintenance Funding Practices Act
Can a lawyer lend money to a client in Utah?
While representing a client, an attorney cannot cover any living expenses for clients. The attorney can however advance the cost related expenses for the client, as stated in the Utah Rules of professional conduct.
Source: Utah Rules of Professional Conduct Rule 1.8(e)
Can attorneys help clients receive lawsuit loans in Utah?
In Utah attorneys can ethically help clients get pre-settlement loan, so long as the attorney is the obligor and not the client.
Source: Utah State Bar Ethics Advisory Opinion Committee Opinion No. 02-01
Lawsuit loan companies serving Utah
Recommended lawsuit loan companies funding Utah 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.
Thrivest Link Legal Funding offers fair terms with a fast, efficient funding process. Many companies claim to offer same-day or 24-hour lawsuit loans but Thrivest Link Legal Funding often actually makes it happen.
Lawsuit loan companies located in Utah
Compare Lawsuit Loans does not currently cover any local lawsuit lending companies in Utah. Local funding companies interested in being included on this page may contact us at [email protected]