Can I get a cash advance on my lawsuit in Mississippi, and what does Mississippi law say?

By Michael Shemtoub, trial attorney, Beverly Law. Updated November 2026.

SB 2747 (2026): a foreign-funder disclosure law

The legislature’s title for SB 2747, by Senator Brice Wiggins, is “Foreign Third-Party Litigation Funders; require disclosure to the Attorney General.” The bill history shows it passed the Senate 52-0 on February 12, 2026, passed the House as amended 89-24 on March 10, went through conference, and was approved by the Governor on April 8, 2026, as chapter 488, effective July 1, 2026 (bill history).

The bill’s long title says it requires a foreign third-party litigation funder to disclose certain information to the Attorney General in writing, no more than 30 days after the agreement is executed.

We describe the law only as far as its official title and bill history go. The title says nothing about caps on charges, contract disclosures to the consumer, or cancellation rights. If you are offered an advance, ask the company whether it claims SB 2747 applies to your contract and, if so, which section.

Mississippi interest law

Miss. Code § 75-17-1 is the starting point.

• Subsection (1) sets the legal rate “on all notes, accounts and contracts” at 8 percent a year.
• Subsection (2) lets a borrower agree to a “contract rate” up to the greater of 10 percent a year or 5 percent above the Federal Reserve discount rate on 90-day commercial paper.
• Subsection (5) lets any borrower agree in writing to any finance charge on credit whose principal “originally exceeds Two Thousand Dollars ($2,000.00),” whatever its purpose.

So for credit over $2,000, the general interest statute appears to set no rate ceiling once the borrower agrees in writing. Read the whole section, since its subsections have their own conditions.

Licensing is separate. Under the Small Loan Regulatory Law, § 75-67-105(1) says “No person shall engage in the business of lending money except as authorized by this article,” and only with a valid license under the Small Loan Privilege Tax Law.

All of this assumes the advance is a loan. A non-recourse advance is repaid only from a recovery, and we found no Mississippi appellate decision on whether that makes it something other than a loan. Courts in other states have gone both ways; is a lawsuit cash advance a loan covers their reasoning. We also found no Mississippi decision voiding a consumer advance as champerty.

Mississippi lawyers may advance minimal living expenses

Most states bar a lawyer from paying a client’s living costs during a case. Mississippi’s Rule 1.8(e) is different. Paragraph (e)(1) lets a lawyer advance court costs and litigation expenses. Paragraph (e)(2) adds two more categories: “Reasonable and necessary medical expenses associated with treatment for the injury giving rise to the litigation,” and “Reasonable and necessary living expenses incurred.” Those advances “shall be repaid upon successful conclusion of the matter.”

The rule sets firm limits on paragraph (e)(2) money:

• It “can only be advanced to a client under dire and necessitous circumstances,” and is “limited to minimal living expenses of minor sums.”
• Nothing may be paid under (e)(2) until 60 days after the client signs the employment contract.
• Payments are capped at $1,500 to any one party, counting all lawyers in the same litigation, unless the Standing Committee on Ethics of the Mississippi Bar approves more on an ex parte application. Payments within the cap must be reported to that committee within seven days.
• The payments “cannot include a promise of future payments,” and counsel “cannot promise any such payments in any type of communication to the public.”

A lawyer may choose whether to offer this. If your need is small and urgent, it is worth asking about. See can my lawyer give me money before settlement and alternatives to pre-settlement funding.

Your three-year deadline

Miss. Code § 15-1-49(1) says actions with no other prescribed limitation period “shall be commenced within three (3) years” after the cause of action accrues. Subsection (2) delays accrual for latent injury or disease until the injury is discovered or reasonably should have been. Claims against government bodies and some others have different rules, so check early. An advance does not pause the clock.

Where to complain in Mississippi

The Attorney General’s office takes consumer complaints through its online complaint form. Its general office number is 601-359-3680, and its mailing address is P.O. Box 220, Jackson, MS 39205 (Consumer Protection Division).

What to ask before you sign

• Is the amount over $2,000? If the company treats the deal as credit, § 75-17-1(5) may allow whatever finance charge you agree to in writing.
• Does the company hold a Mississippi small loan license, or say it does not need one?
• Does your lawyer offer advances under Rule 1.8(e)(2), and would $1,500 or less cover the gap?
• Does any foreign entity have a stake in the company’s funding? SB 2747 is built around that question.

Common questions

Related pages

Cash advance on a lawsuit · Laws by state · Injury law FAQs

Important: This page is general information, not legal or medical advice, and reading it does not create an attorney-client relationship. Every case is different; talk to a lawyer about yours. Texas cases are handled by the firm’s Texas-licensed attorneys, Joyce Ondich and John Efstathiou. Last reviewed: November 7, 2026.