Glossary of Legal Terms

Explore common legal and lawsuit funding terms to better understand your case and funding options.

When you’re injured and waiting for your lawsuit settlement, time feels heavier — bills pile up, medical expenses grow, and the pressure to settle early can be overwhelming.

Adjudication

Adjudication is a legal process that resolves disputes between parties by applying the rules of law through a formal decision made by a neutral third party. It plays a key role in many areas of law, including personal injury claims, insurance disputes, and administrative hearings.

Affidavit

An affidavit is a sworn written statement confirmed by oath and used as evidence in legal proceedings. It plays a key role in courts, family law, estate planning, and other legal matters.

Appellant

An appellant is the party who challenges a trial court’s decision by filing an appeal. They ask a higher court to review the case and seek to overturn or modify the ruling.

Arbitration

Arbitration is a legal process that resolves disputes outside the courtroom through a neutral arbitrator. It’s faster, private, and often more cost-effective than traditional litigation.

Bench Trial

A bench trial is a legal proceeding where a judge — not a jury — decides the outcome of a case. In other words, the judge is responsible for hearing the evidence, making rulings, and issuing the final judgment.

Cause of Action in Law

A cause of action is the legal reason to file a lawsuit. It combines facts and law that give a plaintiff the right to seek justice.

Civil Case

A civil case is a legal process where one party (the plaintiff) files a lawsuit against another party (the defendant), often another person or business, to resolve a dispute that does not involve criminal charges.

Collateral

Collateral is an asset you pledge to secure a loan, like a house, car, or savings. It helps borrowers get better terms while protecting lenders from risk.

Complaint

A complaint is a formal legal document that starts a lawsuit in civil court. It outlines the plaintiff’s allegations, the legal reasons for the claim, and the relief being sought.

Contingent Claim

A contingent claim is a right or obligation that only arises if a specific future event happens. In law and finance, it explains conditional contracts, liabilities, and derivatives like options.

Conviction in Law

A conviction is the official finding of guilt in a criminal case. It carries not only sentencing but also long-term consequences for a person’s future.

Court

A court is a government institution that resolves disputes, enforces rights, and interprets laws. In the U.S., courts range from local trial courts to the Supreme Court, ensuring fairness and justice.

Court Filing

Court filing refers to the process of submitting legal documents, such as complaints, motions, petitions, or supporting evidence, to the clerk of the court for inclusion in the official court record.

Debtor

A debtor is a person or business that owes money to a creditor. This guide explains the debtor’s role, key differences with creditors, and legal implications.

Defendant in Court

A defendant is the person or entity accused in a court case, whether civil or criminal. Learn their rights, responsibilities, and role in the legal process.

Deposition

A deposition is sworn testimony taken outside the courtroom during the discovery process. It helps preserve evidence, test credibility, and prepare both sides for trial.

Disclosure Statement

A disclosure statement is a document that reveals key information in law, business, and finance to ensure transparency. It protects all parties, prevents conflicts, and builds trust in legal and financial transactions.

Dismissed With Prejudice

Dismissed with prejudice means a case is permanently closed and cannot be brought again. This final ruling protects defendants and ensures efficiency in the legal system.

Disposable Income

Disposable income is the money left after paying taxes and mandatory deductions. It shows your real purchasing power and helps with budgeting.

Evidence

Evidence is the backbone of any legal case, helping prove facts and support claims in court. Learn why strong evidence matters in personal injury lawsuits and lawsuit loans.

Home Confinement

Home confinement, or house arrest, is an alternative to jail that requires strict curfews and monitoring. It allows offenders to stay at home while serving their sentence under court supervision.

Indictment

An indictment is a formal charge, not proof of guilt. It marks the start of a criminal case, while the trial decides innocence or guilt.

Judgment

A judgment is the final decision of a court that resolves a dispute and makes obligations legally enforceable. It can order payment, property transfer, or other actions, shaping both civil and criminal cases.

Jurisdiction

Jurisdiction is a court’s authority to hear and decide a case. It’s crucial in personal injury claims and can even impact lawsuit funding.

Legal Brief

A legal brief is a formal document lawyers submit to present facts, issues, and arguments in court. It serves as a persuasive tool to guide judges toward a decision.

Legal Claim

A legal claim is a formal assertion of a right recognized by law, and its legal definition highlights the requirement that it must be supported by facts and legal grounds.

Liability

Liability means being legally or financially responsible for harm, damages, or obligations. From civil and criminal cases to business and financial debts, liability defines who must answer under the law.

Lien

A lien is a legal claim on property that secures payment of a debt or obligation. This guide explains the main types of liens, simple examples, and how they can be removed.

Liquidation

Liquidation is the process of converting assets into cash, often to repay debts or close a business. This guide explains how liquidation works, its types, and who gets paid first.

Motion

A motion in law is a formal request asking a court to make a ruling or take action. It is a key legal tool that can shape the outcome of civil and criminal cases.

Oral Argument

Oral arguments are spoken presentations by lawyers before judges to explain legal points and answer questions. They play a key role in appeals where clear reasoning can influence the court’s decision.

Settlement Release Form

A settlement release form ends your personal injury claim and waives future rights. Learn what it includes and what to check before signing.

Testimony

Testimony is sworn evidence given in court that can strongly impact the outcome of a case. Learn its meaning, types, and why it’s so important in trials.

Underwriting

Underwriting is the process of assessing financial risk in loans, insurance, and investments. It ensures fair decisions for both institutions and customers.

Venue

Venue in law means the correct court location where a lawsuit should be filed. It ensures fairness, convenience, and a clear connection between the case and the court.

Wage Garnishment

Wage garnishment happens when part of your paycheck is withheld to repay debts like taxes, child support, or loans. This guide explains how it works, your rights, and what steps you can take to manage it.