Interview: Case Expense Financing with Michael J. Swanson
In today's video we focus on how plaintiff lawyers can finance the expenses of a case, such as videographers, witnesses and experts. Editor in Chief Larry Bodine interviews Michael J. Swanson, President and CEO of Advocate Capital, Inc. in Nashville, TN, about case expense financing.
How does it work? The company solves the case expense problem by setting up a line of credit for a law firm, just as a bank does, and uses custom software to track the line of credit. Advocate Capital is providing funding now for 325 law firms, funding 41,000 cases in all 50 states.
The availability of funding makes it more likely that a lawyer will take on a costly case. The funding allows law firms to push forward aggressively with hiring experts needed, setting trial dates an adding value for client.
Expense funding is available for cases taken on a contingency fee basis, but also Social Security Disability Insurance (SSDI) and employment cases -- any case where an individual is being represented against a corporate defendant or insurance company.This also includes expensive litigation such as mass tort cases against car or pharmaceutical manufacturer.
A minimum line of credit is $75,000 and the maximum is $4 million, which can be used for one or many cases.
Swanson is the author of a popular book "How David Beats Goliath," which has sold thousands of copies. It is in three sections:
- The introduction is for non lawyers, giving a background on a citizen's 7th amendment right to trial.
- Part two discusses the challenges plaintiff lawyers face. The book breaks down the 10 most common forms of capital that contingent law firms use to fund their cases, and ranks them from most expensive to least expensive.
- Part three offers general financial advice for contingency fee law firms, plus specific advice about capital transactions, including does and don'ts when seeking out capital.
To buy a copy of Swanson's book, please visit HowDavidBeatsGoliath.com. To learn more about Advocate Capital, visit Advocatecapital.com or call toll free: 877.894.9724. Swanson has created and informative channel of 125 videos on YouTube discussing case expense financing.