Utah Code 13-57-202. Maintenance funding provider operations
Current as of: 2024 | Check for updates
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(1) A maintenance funding provider may only provide legal funding to an individual if the maintenance funding provider and the individual enter into a maintenance funding agreement that meets the requirements of Section 13-57-301.
Terms Used In Utah Code 13-57-202
- Division: means the Division of Consumer Protection of the Department of Commerce established in Section 13-2-1. See Utah Code 13-57-102
- Health care provider: means the same as that term is defined in Section 78B-3-403. See Utah Code 13-57-102
- Individual: means a person who:(5)(a) resides in this state; and(5)(b) has or may have a pending legal action in this state. See Utah Code 13-57-102
- Legal funding: means a payment of $500,000 or less to an individual in exchange for the right to receive an amount out of the potential proceeds of any realized settlement, judgment, award, or verdict the individual may receive in a civil legal action. See Utah Code 13-57-102
- Maintenance funding agreement: means an agreement between an individual and a maintenance funding provider under which the maintenance funding provider provides legal funding to the individual. See Utah Code 13-57-102
- Maintenance funding provider: means a business entity that engages in the business of legal funding. See Utah Code 13-57-102
- Person: means :
(24)(a) an individual;(24)(b) an association;(24)(c) an institution;(24)(d) a corporation;(24)(e) a company;(24)(f) a trust;(24)(g) a limited liability company;(24)(h) a partnership;(24)(i) a political subdivision;(24)(j) a government office, department, division, bureau, or other body of government; and(24)(k) any other organization or entity. See Utah Code 68-3-12.5- Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
- State: when applied to the different parts of the United States, includes a state, district, or territory of the United States. See Utah Code 68-3-12.5
(2) Before executing a maintenance funding agreement, a maintenance funding provider shall file with the division a template of the maintenance funding agreement.(3) A maintenance funding provider may not:(3)(a) pay or offer to pay a commission, referral fee, or any other form of consideration to the following for referring an individual to the maintenance funding provider:(3)(a)(i) an attorney authorized to practice law;(3)(a)(ii) a health care provider; or(3)(a)(iii) an employee, independent contractor, or other person affiliated with a person described in Subsection (3)(a)(i) or (ii);(3)(b) accept a commission, referral fee, or any other form of consideration from a person described in Subsection (3)(a) for referring an individual to the person;(3)(c) refer an individual or potential individual to a person described in Subsection (3)(a), unless the referral is to a local or state bar association referral service;(3)(d) intentionally advertise materially false or misleading information about the maintenance funding provider’s services;(3)(e) make or attempt to influence a decision relating to the conduct, settlement, or resolution of a legal action for which the maintenance funding provider provides legal funding; or(3)(f) knowingly pay or offer to pay court costs, filing fees, or attorney fees using legal funding.(4) A maintenance funding provider shall provide an individual who enters a maintenance funding agreement a copy of the executed maintenance funding agreement.