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Stop Settlement Slush Funds Act of 2026

This bill prevents government officials from directing settlement money to third-party organizations. It ensures that settlement funds go to the United States, directly remedy actual harm, or constitute payment for services rendered in connection with the case.
Key points
Prohibits settlement payments to outside groups unless they directly remedy actual harm caused by the party or pay for services rendered in connection with the case.
Establishes penalties for government officials who violate these restrictions on settlement agreements.
Requires federal agencies to provide annual reports and audits on settlement agreements involving third-party payments.
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Status:
Introduced
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Additional Information
Stop Settlement Slush Funds Act of 2026
Print number: HR 7387
Sponsor: Rep. Gooden, Lance [R-TX-5]
Process start date: 2026-02-05