Our Constitution, our representative government, our right to live as free people. Memorial Day reminds us of those who have given their lives for our country—died defending us, and defending the tenants which we live by.

Choice is a big part of the American way of life, and maintaining that right has been important from its founding. Our nation’s seventh president said, “The duty of government is to leave commerce to its own capital and credit as well as all other branches of business, protecting all in their legal pursuits, granting exclusive privileges to none.” Andrew Jackson

That is why we work so hard to maintain access to consumer legal funding and people’s right to seek justice for years to come.

We at ARC thank the members of the military and their families for giving that opportunity.

Middle class families are supposed to have achieved some degree of financial stability, but in America, most are still likely to be left with few options when faced with an emergency. According to the recent Atlantic article, The Secret Shame of Middle-Class Americans, half of respondents a recent Fed survey said that to come up with $400 for an emergency they would have to borrow or sell something, or they would not be able to come up with the money at all. Like the award-winning author of the article referenced above, Neal Gabler, you can be successful in your career, appear reasonably prosperous, and be down to your last $5 in the days before payday. “’If anyone says he’s sailing through, he’s lying.’ That might not be entirely true, but then again, it might not be too far off.”

And it’s not just an issue of liquidity—people not having enough cash in their checking or savings accounts. Edward Wolff, an economist at New York University found that there isn’t much net worth to draw on. Net worth has declined steeply in the past generation—down 85.3% from 1983 to 2013 for the lowest income households, down 63.5% for lower-middle class households, and down 25.8% for the middle and upper-middle class households.

Research funded by the Russell Sage Foundation shows that the inflation-adjusted median net worth of the household was $87,992 in 2003. By 2013, it had declined to $54,500—a massive 38% drop. Though the recession and bursting of the housing bubble in 2008 may have contributed, the decline for the lowest earners began as early as the mid-1980s.

Emergencies and accidents have the potential to combine the loss of income, medical bills, mortgage and miscellaneous costs to rock a family to the core and chip away even further at net worth. If you’ve been in an accident, when you are going through a financial crisis, the long wait for an insurance provider to settle fairly can be impossible to weather alone, even for those who appear successful.

Having financial options like legal funding empowers middle class families and gives them an option. Financial insecurity may not be talked about as much as it should be, but it’s affecting more people than ever. Middle class families need to be empowered, not shamed. They need lifelines. Having $5 left before payday is a reality—and a reality that’s being experienced regularly.

America has a reputation of being a melting pot, filled with diverse people. Our country is made up of those differing in race, ethnicity, religion, education, economic opportunity. Yet, there is one thing that most of us all have in common: we aren’t prepared to deal with a financial crisis.

Savings or no savings – the average household remains ill-prepared to withstand a financial setback, according to a recent study released by The Pew Charitable Trusts. Setbacks don’t discriminate—they affect families of all races similarly. Even those with higher incomes can be financially disrupted when facing an emergency.

Unfortunately, many families don’t plan for the unexpected expenses or lost income that could come from being involved in an accident.

The median household does not have enough savings to replace even one month’s income. So, time and time again, families affected by a crisis need options. Consumer legal funding is the lifeline many people need to stay afloat.

A common denominator of American families—we need to be able to access to consumer legal funding if disaster strikes.

Steve Jobs used to say there are downsides to everything; unintended consequences to everything. But, in public policy, unintended consequences can be minimized by looking at its potential results—not solely at its intentions. Too often, well-meaning legislation ends up crushing those it was supposed to help. You’ve seen it a thousand times before. And now, it could happen again—to the detriment of everyday people in this state.

State Rep. Chris Pringle is sponsoring HB 395 which aims to enact consumer protections. But, it would have the opposite effect—inflicting massive harm on consumers and consumer choice. Its industry-destroying price controls would force legal funding providers from the state, leaving everyday people in the lurch.

Here’s some background: You probably know someone who’s been given the run-around by an insurance carrier after an accident. For people who’ve been in an accident and are pursuing a legitimate legal claim, consumer legal funding can be an alternative to taking an unfair, lowball settlement offer from an insurance company just because day to day expenses can’t be met.

Legal funding can help pay for rent, utilities, or a car payment—giving people time to settle fairly. With 76% of Americans living paycheck-to-paycheck, a lot of us couldn’t make the bills for months on end, and fight for what’s fair, on our own.

Janet from Mobile needed the option when an insurance company dragged out her claim. “Without access to consumer legal funding, I would have to choose to pay my bills or continue healing… It helped me get my life back,” she said. Will from Huntsville needed it, too. “My lights would have been cut off and I wouldn’t have been able to afford my medicine… When I needed help, legal funding provided it.”

Rep. Pringle’s legislation would unintentionally eliminate people’s ability to access this lifeline by eliminating legal funding providers’ ability to operate. This is not consumer protection. This would hurt everyday working people like Janet and Will.

People need more choices, not less. Eliminating the option doesn’t eliminate the need.

As a former state lawmaker, I know how hard it can be to find ways to protect consumers, implement sensible regulations, and support free market principles at the same time. But, when it comes to legal funding, we did it in Oklahoma.

We brought comprehensive regulation to an industry that had operated without regulation for years by making sure proper consumer protections were put in place, that consumers were empowered to make informed financial decisions, and that bad actors couldn’t operate.

And, it worked. People now have access to a highly competitive market where people can find affordable legal funding if they need it.

Good public policy focuses on outcomes and minimizes unintended consequences. Real consumer protection and maintaining options—Rep. Pringle, these are the results you want.

Rob Johnson is the Executive Director of the Alliance for Responsible Consumer Legal Funding (ARC). He is a former Republican member of the Oklahoma State Legislature who served in the Oklahoma State Senate and Oklahoma House of Representatives.

From our press release: Games aren’t just being played in Nashville’s Bridgestone Arena—a game of the strong verses the weak is being played just down the street, in the state capitol building. Big Insurance is using its influence and power to prevent consumers access to an important financial tool called legal funding. And in the end, the people of Tennessee are the ones losing out and getting crushed.

Kathleen Wisnewski of Mount Juliet went in search of legal funding after her husband was injured in 2013. With over $30,000 in medical bills, Wisnewski has been under enormous stress to make ends meet. “Everything has a co-pay or deductible. One medicine costs $700, and we’ve started just forgoing treatments. We have no family to lean on. I don’t know how we are going to make it.”

For people who have been in an accident and are pursuing a legitimate legal claim, consumer legal funding can be an alternative to taking an unfair, lowball settlement offer from an insurance company just because they can’t meet their daily living expenses. Insurance companies know legal funding can help normal people settle fairly. So, motivated by profit, they have used their immense lobbying power to quash this consumer-friendly option.

Last month, Tennessee lawmakers refused to forward House Bill 1161, which intended to roll back improper regulation passed in 2014. That legislation effectively barred consumer legal funding from the state by making it all but impossible for providers to operate. The bill, sponsored by Rep. Susan Lynn (R- District 57), would have provided a lifeline to injured consumers inTennessee.

Wisnewski was dismayed when she found out that legislators didn’t forward the bill. “It’s just cruel to refuse us the option. We need someone to help!”

To read more, and check out or other press releases, click HERE.