CNN Report on Personal Injury Advertising Trends - Litigation Finance Journal

Gunnar Larson g at
Wed Feb 1 16:19:05 PST 2023

Check out my new article:

In 1977, the United States Supreme Court ruled that legal advertisements
are protected by the first amendment. The court highlighted that
restrictions on legal marketing hampered access to justice “particularly
for the not-quite-poor and the unknowledgeable.” The 1980s spawned a
renaissance in attorney advertising, and today, the market for legal
advertising tops well over $1.2B a year in the United States.

CNN Business reports (
that many personal injury firms are seeking to advertise to the public, in
a bid to attract attention with clever TV commercials and newspaper
promotions. Direct response methods are even engaged to target potential
clients who are currently in the hospital recovering from injury. Hedge
funds and savvy litigation investment networks invest vast sums of capital
to attract business in the personal injury market, according to CNN.

The U.S. Chamber’s Institute for Legal Reform (a longstanding opponent of
the litigation funding industry) claims that aggressive attorney
advertising is problematic and can increase the number of frivolous
lawsuits. In contrast, CNN reports that the overall amount of claims filed
in the United States is declining, partly due to stricter state laws to
curb social inflation, and also due to the increasing cost of bringing
cases to court. That latter point is exactly why consumer legal funding
exists in the first place.
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