Over the last few years, for many people funding family and divore proceedings has proved difficult; squeezed house hold incomes, lower asset values and uninterested banks. Combined with an un-cooperative spouse, the outcome can be one party forced to accept an inappropriate settlement or to become a litigant in person.
Historically, some solicitors may have helped clients to fund their divorce or family matter by deferring their fees and entering into what is called a ‘Sears Tooth’ agreement. In today’s world however, solicitors now have to watch their own cash-flow more than ever.As you can imagine, the extended time needed to sell properties, combined with the risk of cases not running as envisaged, means fewer and fewer solicitors will entertain deferred fee arrangements.
It was against this background that Novitas was launched in England and Wales at the start of 2011. Novitas is a specialist family litigation lender now used by most leading firms of solicitors, including the Law House.
• Pre-approval of funding – loan approved all the way to final hearing, but interest only due on what is drawn down to pay your solicitor fees
• Rapid lending decisions – clearly defined, simple lending criteria
• Flexible timing – use the loan at any point during the proceedings
• Limited outlay – the interest and set-up fee are rolled into the loan
• A simple and transparent charging structure – regular statements will keep you informed of what you owe at any point so there are no surprises
• A lending rate that is fixed for the whole duration of the loan
• No exit or early redemption penalties
Importantly, the Novitas loan, in addition to divorce and family proceedings, can be used to fund a wide range of proceedings whether contentious or using dispute resolution such as arbitration, mediation and collaborative. As well as the financials, Novitas will also fund children proceedings where they are running in parallel with the financials.
If you would like to talk to one of our consultants about litigation funding please contact The Law House on 020 8899 6620 or email firstname.lastname@example.org