§46A-6N-1. Definitions

WV Code § 46A-6N-1 (2019) (N/A)

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For purposes of this article:

(1) "Consumer" means any natural person who resides, is present, or is domiciled in this state;

(2) "Litigation financier" means a person, entity, or partnership engaged in the business of litigation financing; and

(3) "Litigation financing" or "litigation financing transaction":

(A) Means a nonrecourse transaction in which financing is provided to a consumer in return for a consumer"s assigning to the litigation financier a contingent right to receive an amount of the potential proceeds of the consumer"s judgment, award, settlement, or verdict obtained with respect to the consumer"s legal claim; and

(B) Does not include:

(i) Legal services provided on a contingency fee basis, or advanced legal costs, where such services or costs are provided to or on behalf of a consumer by an attorney representing the consumer in the dispute and in accordance with the West Virginia Rules of Professional Conduct;

(ii) A consumer loan, as defined by §46A-1-102 of this code;

(iii) A commercial tort claim, as defined by §46-9-102 of this code;

(iv) A claim under the Workers" Compensation Law, compiled in chapter 23 of this code; or

(v) Normal or course of business lending or financing arrangements between an attorney or law firm and a lending institution.

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§46A-6N-2. Litigation Financier; Registration; Bond; Public Record; Rules