Litigation Finance Disclosure Requirement Advancing in Louisiana

Louisiana is advancing legislation to require disclosure of litigation finance agreements, making it the latest in a string of states to clamp down on the lawsuit funding tool.

The bill is more comprehensive than legislation in other states as it requires litigants to produce a copy of litigation finance agreements, which are rarely viewed and highly secretive.

The legislation requires the disclosure within 60 days of an agreement and can be part of the legal discovery process. If litigants do not comply, then the contract becomes unenforceable, according to the bill.

The legislation underscores how states are pushing to restrict ...