In Chicago, a lawyer can typically hold your settlement check for a short period, usually up to 30 days, to handle necessary legal and administrative tasks like verifying liens, deducting fees, and preparing a final disbursement statement. However, the exact time can vary depending on the difficulty of your case and how quickly all outstanding matters are resolved. If your lawyer is holding your check longer than expected, it’s a good idea to ask for an update to ensure there are no unnecessary delays.
The Standard Timeline for Settlement Checks in Chicago
After a case is settled, the process of receiving a settlement check involves several steps. First, the defendant agrees to pay the settlement amount. This is typically documented in a written agreement that outlines the payment terms.
Once the agreement is signed, the funds are sent to the plaintiff’s lawyer. The lawyer holds the money in a trust account until any outstanding legal obligations, like lien payments or legal fees, are cleared. Finally, the remaining amount is released to the plaintiff. While this process can take a few weeks, it’s important to know what to expect so you can identify if something is taking longer than it should.
Legal Obligations of Lawyers Regarding Settlement Checks
In Illinois, lawyers are bound by strict rules when it comes to handling client funds. They must place settlement money in a dedicated trust account, ensuring it is not mingled with their own finances. This protects the client’s money until it’s ready to be disbursed.
Ethical guidelines also require lawyers to act promptly and transparently when handling settlement checks. They must keep their clients informed and provide a detailed breakdown of any deductions, such as legal fees or liens. Deliberately delaying a payment without a valid reason is not just unethical—it’s against the law.
Common Reasons for Settlement Check Delays
Settlement checks can be delayed for several reasons, many of which are administrative. One common reason is pending lien payments, such as medical bills or insurance claims, which need to be settled before the plaintiff receives their portion of the funds.
Other delays can stem from insurance companies or courts taking longer than expected to process the payment. Sometimes, simple clerical errors or miscommunications between parties can hold up the process. While these delays are frustrating, understanding the cause can help you take the right steps to resolve the issue.
What to Do If Your Settlement Check Is Delayed
If you’re facing a delay, the first step is to contact your lawyer and ask for a clear explanation. Sometimes, delays are due to factors outside their control, but they should be able to provide a timeline or update on the situation.
If the delay seems unreasonable or you’re not getting clear answers, you can escalate the matter. In Illinois, you can file a complaint with the state’s legal ethics board or consult another attorney to understand your options. Taking these steps ensures your lawyer remains accountable and you receive the money you’re owed.
Can a lawyer legally hold my settlement check in Chicago?
Lawyers can only hold a settlement check for valid reasons, like clearing liens or finalizing paperwork. If they’re holding it without a valid explanation, it could be a violation of legal or ethical rules.
What are my options if my lawyer refuses to release the funds?
If your lawyer refuses to release the funds without a good reason, you can file a complaint with the Illinois Attorney Registration and Disciplinary Commission (ARDC) or hire another lawyer to intervene on your behalf.
How long is too long for a settlement check to be delayed?
While every case is different, delays beyond a few weeks without a clear explanation should raise concerns. If the delay stretches into months, it’s time to seek legal advice or take action.
Get the Compensation You Deserve: Contact Our Personal Injury Lawyer Today
If you’ve been injured in a vehicle or workplace accident in Chicago, you deserve to get the compensation you rightfully need to recover. Contact our experienced personal injury attorney today for a free consultation. We understand the challenges you’re facing and are dedicated to fighting for your rights. Our team will guide you through the legal process, ensuring you receive the maximum compensation possible for your injuries and losses. Call us now (312) 598-0917 and take the first step towards getting the justice you deserve!
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