Why are we raising this legal fund?
Let's say you find yourself in a legal dispute with some company you do business with--a landlord, your ISP, your bank--any of those. You have tried to resolve the issue, but the opponent company refuses to grant your request. What are your remaining options?
At some point, you might find that the only option is to sue the opponent company. The problem: how are you going to pay for that lawsuit?
If this is a low-value claim--an issue with, say, $15,000 or less at stake--you will probably do a cost-benefit analysis to decide if you can justify spending your money on that lawsuit.
- How much is at stake?
- How much will it cost me to pursue this?
- How much of my time will it sap?
- What is my probability of winning?
That is the second half of the "low-value claim problem."
(The first half is the time it takes you initiate the dispute at all, which usually happens well before you find yourself on the brink of filing a lawsuit; and with the launch of this new legal fund, Veeto will now solve both halves of that problem--or, to put it simpler, now, Veeto solves steps 2 and 3 of this infographic).
This legal fund removes economic barriers to justice
If the Veeto app makes it fast and easy to initiate claims, and the legal fund covers the cost of following through on your stated intention if your demands are not met, then what deterrents would remain to stop you from pursuing that thing you believe you are entitled to?
In most cases, the answer would be: nothing. If you are a Veeto member, and you get access to the legal fund, then you could theoretically pursue any claim you feel strongly about, without any economic barriers to you personally.
How the legal fund works
Simple. For any "veetoed" case that the opponent refuses to resolve, Veeto can offer to "bankroll" the lawsuit for the member, according to the following terms:
- If the member wins the case, from the amount won, Veeto will take back its costs and 35% of the remaining balance, leaving the member with 65% of the balance.
- And if the member loses, the member pays nothing; the legal fund just eats that loss.
How big is the legal fund?
Our target for launching the legal fund is $2 million. And that is based on a campaign target of $4 million. But we recognize the chance that we will not hit our $4 million campaign goal. So to keep it simple and transparent, we are committing to take 50% of whatever amount we raise through our crowdfudning camapign and start the legal fund.
So that could be $2 million, or it could $50K. Either way, the planned use of the legal fund will be the same. And we look forward to launching this new benefit for Veeto members.
Not a Veeto member yet?
Note: to be clear, this legal fund is not yet available to Veeto members. We are raising the fund now and will announce when it is available, which we estimate will be in about 60-90 days.