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Litigation Funding Transparency: Disclosing Third-Party Financial Interests in Lawsuits.

This new law requires the disclosure of identities of individuals or entities that fund civil lawsuits and have a right to a share of the outcome. It aims to increase transparency in civil proceedings and prevent manipulation. Citizens involved in civil cases will gain access to information about external funding sources of opposing parties.
Key points
Mandatory disclosure of third-party entities funding civil lawsuits if they have a financial stake in the outcome.
Funding agreements must be provided to the court and other parties, subject to certain protections.
Exceptions to disclosure include standard loans, reimbursement of legal fees, and grants.
The goal is to enhance transparency and protect legal proceedings from manipulation.
These changes apply to all ongoing and future civil actions.
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Introduced
Citizen Poll
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Additional Information
Print number: 119_HR_7015
Sponsor: Rep. Issa, Darrell [R-CA-48]
Process start date: 2026-01-12