Legislation Reintroduced for Disclosure of Third-Party Funding in Lawsuits
Legislation has been introduced by a group of U.S. Senators, including Texas Senator John Cornyn, to require transparency in third-party funding of lawsuits.
“I am pleased to see Congress take note of these backroom funding deals and work to bring transparency to third-party litigation funding,” said Tiger Joyce, president of the American Tort Reform Association. “The Litigation Funding Transparency Act will help bring fairness back to our courts and shine a light on the behind-the-scenes workings of those who wish to steer litigation outcomes by funding certain court cases.”
Lisa A. Rickard, the president of the U.S. Chamber Institute for Legal Reform, said in a statement supporting the bill that “Congress also sees the dangers that secretive lawsuit funding deals pose to fairness and justice in our courts. It’s time for the lucrative business of betting on other peoples’ lawsuits to get examined in the light of day, and the Litigation Funding Transparency Act will do just that.”