CRESSKILL, N.J., May 15, 2013 /PRNewswire/ -- Several news organizations have reported that Fannie Mae, one of the largest U.S. companies in the secondary mortgage market, and its former auditor KPMG LLP have reached a settlement with shareholders who filed a class action lawsuit against both companies. According to the Blog of Legal Times, a recent motion filed for preliminary court approval stated that both companies are expected to pay $153 million to settle litigation that has dragged out for over eight years.
For plaintiff's attorneys waiting to get paid, RD Legal Funding, LLC ("RD Legal") can provide a post-settlement advance. RD Legal specializes in attorney fee financing and can advance funds as soon as fees are finalized. For plaintiff's attorneys, there is no need to wait for judge's final approval to get paid. RD Legal can quickly monetize any legal fees associated with slow-paying settlements.
The class action lawsuit contends Fannie Mae manipulated financial figures with regards to earnings and issued misleading financial reports in the early 2000's. Those actions violated established accounting principles. Shareholders filed a lawsuit in 2004 after regulators accused Fannie Mae of violating accounting rules.
Fannie Mae and its brother organization Freddie Mac are defined as government sponsored entities, which means they were created by Congress for a specific purpose: to encourage more lending in the housing market and promote the idea that everyone should own a home. Both companies have a huge impact on the mortgage market. Therefore anything that affects them creates waves in the housing and financial markets.
For plaintiff's attorneys involved in class actions, including the Fannie Mae and KPMG litigation, there can be serious cash flow challenges. Even after your hard-earned fee is awarded, it can often take months before you actually receive your money. RD Legal can provide interim post-settlement funding, which provides immediate capital on settlements. Attorney fee financing does not require any kind of payments until the fee is paid. There are no monthly interest payments, principal payments, or upfront points or fees. The funding process is fast and easy. Once the necessary documentation is received, RD Legal can wire funds within several days.
For more information about RD Legal's cash flow solutions, call Joseph Genovesi at 1-800-565-5177, ext. 140. To begin the application process, visit http://www.legalfunding.com.
SOURCE RD Legal Funding, LLC