Income Sources For Attorneys

The economic downturn means many are looking for alternative income sources. Many attorneys are also looking for new income sources. Most civil lawyers make money winning judgments. Every year more and more lawyers are also starting to enforce judgments as a way of increasing their income.

Anyone that recovers judgments needs to find judgment leads. Anyone that enforces judgments must also turn away judgments not right for them, for example when the debtors are too far away, in another state or country, or when there are not enough assets available, etc.

Most people with judgments would prefer a contingency attorney to enforce their judgment, because most have already paid plenty to get and keep their judgment, and don't want to pay more for a retainer or per hour. Most lawyers will only recover judgments on contingency when the debtor has sufficient assets available to satisfy the judgment. Usually, lawyers can only pay other lawyers for client leads, and cannot pay anyone else (who is not a lawyer) for leads. Lawyers can refer leads to anyone and get paid. How can attorneys compensate a (non-attorney) judgment lead provider? Most cannot, but the lawyer's clients can. This makes sense when the lead provider is a Judgment Broker that finds the right contingency collections lawyer for the judgment owner, who may then become a client of the referred lawyer in a one-time arms-length referral transaction.

A Judgment Broker makes money by helping judgment owners find the right contingency lawyer. A Judgment Broker gets paid only if and when money is recovered on the judgment. The way that a Judgment Broker helps contingency attorneys find judgments, and judgment owners find the right contingency lawyer is:

1) The judgment creditor sends a copy of their judgment and what they know about their debtor to the Judgment Broker.

2) The Judgment Broker screens the debtor for bankruptcy, makes sure the debtor can be found, and appears to have current or future assets.

3) The Judgment Broker finds the right contingency collections attorney for the judgment situation. The lawyer signs a one-time, simple attorney-approved agreement with the Judgment Broker, and agrees to reduce their contingency fees, for each referred judgment lead. The lawyer gets free judgment leads matched to their location and preferences.

If the lawyer accepts the judgment lead, they agree to discount their contingency fee by 10%. For example instead of 50%, they charge 45% to the client. The client sends the extra 5% they may get upon a successful recovery to the Judgment Broker.

4) The Judgment Broker contacts the judgment creditor, and has the judgment creditor sign a simple one-time agreement, to send any extra money they may get because of the discount from the referred contingency attorney. The judgment owner gets the best possible chance of recovering money on their judgment, at no extra cost.

5) The Judgment Broker refers the judgment creditor to the lawyer and is no longer involved, except to be notified if the judgment is enforced, and money is paid to the judgment owner.

Judgment Brokers are good for attorneys when they have judgments that they need enforced, but don't have time to personally recover. The lawyer can make money referring unwanted (or time consuming) judgments in an arms-length transaction, to a third-party Judgment Broker. Lawyers can also find judgments to recover from a broker. Judgment Brokers are good for judgment owners because they find the right lawyer with no obligation, cost, or hassle.

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