Pre-Settlement Funding
Case Law
Attorneys-Duties-Pre-Settlement-Finance
The Attorney’s duties are to his client not to the lender.
Pre-Settlement-Creditor-Violates-Automatic-Stay
This case is a Chapter 13. The Court holds that failure of the lender to turn-over the settlement to the trustee after notice of its requirement to do so under Sec. 362 (turn over), 541 & 1306 (property of the estate) was actionable as a violation of the automatic stay.
No-Estate-No-Lien-No-Jurisdiction
This case is a no asset Chapter 7. The Court holds that since the Trustee abandoned all assets there was no estate and that the loan was not a lien; so, the Bankruptcy Court had no jurisdiction to decide whether the pre-settlement funding was against the state’s public policy.
Assignment-Created-Lien
In this Chapter 13 the assignment was held to create a lien on proceeds that were property of the estate.
Possible South Carolina Law Protecting
Workers Compensation
SECTION 42-9-360. Assignments of compensation; exemptions from claims of creditors and taxes
http://www.scb.uscourts.gov/MessageWebService/ViewOpinion.aspx?id=688