Factors Determining Length of Wait For Settlement Check

An attorney’s client might think that he or she should expect arrival in the mail of a settlement check, soon after signing the required release form. Yet that is not always the case. Various circumstances could delay delivery of that small but highly anticipated piece of paper.

One delay is out-of-the-picture.

At this point, the process that entails obtaining the release form from the insurance company, and then returning a signed form has been completed. The insurance company has sent a check to the claimant’s lawyer. Unfortunately, some clients discover that other delays could slow the process that allows a deserving claimant to receive his or her awaited compensation.

Liens must be paid, using some of the money in the settlement check.

If the claimant had used money from a health insurance provider to cover the cost of the medical expenses, then that same provider would expect to receive a reimbursement. The claimant’s lawyer would need to handle that transaction.

If the claimant were someone that was supposed to be making child care payments, then some of the money in the check that was sent to the attorney could be used to honor the need for such a payment. Personal Injury Lawyer in Fergus does have the right to make an attempt at negotiating a reduction in the payment’s size.

The attorney would hold the check in trust or escrow.

The attorney’s experience has shown that it does not make sense to disperse any of the check’s money until that same check has cleared.

Once the check has cleared, the lawyer should feel comfortable about removing the agreed-upon fee, along with the amount of money that could cover the same lawyer’s expenses.

How some claimants manage to create an additional delay

Sometimes, a client a attorney have become good friends. As a result of that friendship, the attorney might address the client by using his or her nickname. That practice could function as the reason for a delaying action.

If the attorney had put the client’s nickname on the check that held the awaited compensation, then the client would have trouble cashing the same check at his of her chosen banking institution. In other words, the client would have reason for taking or sending the check back to the retained lawyer, in order to obtain one that held a name that the client’s bank should recognize.

Naturally, that process would consume a fair amount of time. It would slow the rate at which the client’s awaited compensation could make its way to a deserving claimant. So claimants should accept certain delays, since a claimant’s actions might serve as the reason for an additional and unnecessary hold-up in what should be a simple process.