2019 West Virginia Code
Chapter 46A. West Virginia Consumer Credit and Protection Act
Article 6N. Consumer Litigation Financing
§46A-6N-1. Definitions
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.
