Letter: Lawsuit lending a form of legal loan sharking

A response written by LRANY Executive Director, Thomas B. Stebbins, was recently shared in the Albany times Union.  This piece highlighted how lawsuit lending is a form of legal loan sharking. Under this deceptive practice, lawsuit lenders insist that because borrowers are not required to repay if they lose their case, their products are not [...]

New York Daily News: Shark Patrol

The New York Daily News recently ran a piece written by LRANY Executive Director, Thomas B. Stebbins on the dangers of lawsuit lending.  The piece recognizes the Daily News for writing about this topic then calls for further action to prevent this predatory practice. An excerpt: “Kudos to the Daily News Editorial Board for rightly [...]

Hurricane Sandy Litigation Round-Up

Our hearts and prayers go out to all of those impacted by the horrible events of Hurricane Sandy. To all the first responders, members of the armed forces, and good Samaritans across the state, we express our deepest appreciation for your courage and sacrifice. Unfortunately, in the aftermath of Hurricane Sandy, it is only a [...]

Sharks Strike Brooklyn Yet Again

After netting a paltry $111 from his $150,000 settlement, Elwin Francis of Brooklyn has filed a lawsuit against his lawyers seeking compensation for not looking after his interests, the New York Law Journal reports (subscription required).  His attorneys took to 33% of the settlement for their contingency fee, while an astonishing $98,415 went to litigation finance companies; Francis had borrowed [...]

Denver Lawsuit to Make Decision on Lawsuit Lending

A recent article in The Denver Post highlights a lawsuit which will soon determine if firms advancing money to plaintiffs must register as lenders.    The manipulative lawsuit lending industry, also known as non-recourse civil litigation advance contracts, provides a way for plaintiffs to borrow off their potential settlements, prior to and judgment actually being [...]

Fidler Firm Under Fire for Lawsuit Lending

According to an article in Crains New York Business, Brooklyn Councilman Lew Fidler’s part time job with a lawsuit lending firm could become a campaign liability as he seeks Carl Kruger’s former Senate seat. Colorado Attorney General John Suthers has sharply criticized Fidler’s firm, Law Cash, for charging rates as high as 215% annually in [...]

Brooklyn Man Bitten by “Lawsuit Loan Shark”

The New York Post recently published an article highlighting a case in which a Brooklyn man, Joseph Gill, was the victim of an attack by lawsuit loan sharks.  Gill borrowed $4,000 from lawsuit lenders to pay for medical expenses and surgeries in 2006 after a false arrest left him with serious back injuries.  Now five years later, the [...]

Lawsuit Lenders on the Prowl During the Holiday Season

A recent press release on Market Watch revealed that consumers looking for extra cash during the holiday season may be lured into taking out a “lawsuit loan.”  The manipulative lawsuit lending industry provides a way for plaintiffs to borrow off their potential settlements, prior to and judgment actually being made – but at a steep cost. Lawsuit [...]

Crain’s New York – Legal tactic or loan sharking?

“The Lawsuit Reform Alliance of New York is fighting Sean Coffey’s new venture to fund high-stakes litigation cases in exchange for a percentage of the lawsuits’ winnings. “This is lawsuit loan-sharking, plain and simple,” said Tom Stebbins, executive director of the alliance. He added that “alternative litigation funding” skirts the state’s consumer protection laws and will drive [...]

Former AG candidate now a lawsuit lender

Sean Coffey, a lawyer who last year ran unsuccessfully for New York’s Attorney General in the Democratic Primary, has co-founded a firm that will fund lawsuits.  This is further proof that relationship between financing firms and lawyers must end. The LRANY has taken a strong stand against this practice, often called “Non-recourse civil litigation financing”, [...]