What Happens If My Case Takes Longer Than Expected?

If your case takes longer to resolve, interest continues to accrue — but no payments are due during the case. The non-recourse structure means you never owe more than your net settlement can cover.

If litigation extends beyond the original timeline — due to discovery disputes, court scheduling delays, appeals, or negotiation complexity — interest continues to accrue on your pre-settlement advance. This is disclosed in your funding agreement and reviewed by your attorney before signing. There are no penalties for cases that take longer than expected, and no payment is due at any point during the case.

The practical consequence of a longer case is a higher total repayment amount at settlement. A case that was expected to take one year but takes three years will accrue significantly more interest. Reputable funders use simple interest (not compound), which limits the growth of the repayment obligation compared to compound interest structures — but the cost does increase with time.

The non-recourse structure provides a meaningful protection in extended cases: you will never owe more than what your net settlement can cover. If repayment at settlement would consume your entire net recovery, your attorney and the funder will negotiate the final payoff amount. Your attorney is a critical advocate in this process — they have an interest in ensuring you receive a meaningful net distribution.

If your case timeline changes significantly after you receive an advance, consider contacting your funder to request an updated repayment estimate. Understanding what you will owe at different settlement dates helps you and your attorney make more informed decisions about whether and when to settle.

Source: ALFA Consumer Litigation Funding Code of Conduct. Repayment modeling at different case horizons is standard practice for well-represented plaintiffs.

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