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Bill > SB54
KS SB54
KS SB54Substitute for SB 54 by Committee on Judiciary - Limiting discovery and disclosure of third-party litigation funding agreements and requiring reporting of such agreements to courts.
summary
Introduced
01/21/2025
01/21/2025
In Committee
03/13/2025
03/13/2025
Crossed Over
02/25/2025
02/25/2025
Passed
04/10/2025
04/10/2025
Dead
Signed/Enacted/Adopted
04/10/2025
04/10/2025
Introduced Session
2025-2026 Regular Session
Bill Summary
AN ACT concerning the code of civil procedure; relating to litigation funding by third parties; limiting discovery and disclosure of third-party litigation funding agreements; requiring reporting of such agreements to the court; amending K.S.A. 2024 Supp. 60-226 and repealing the existing section.
AI Summary
This bill modifies Kansas civil procedure law by introducing new requirements for third-party litigation funding agreements, which are financial arrangements where a non-party agrees to fund a lawsuit in exchange for a portion of the potential recovery. The bill requires parties involved in a legal action to disclose details of such funding agreements to the court within 30 days of commencing the lawsuit or executing the agreement. The mandatory disclosure includes identifying all parties to the agreement, describing any control or approval rights granted to the funder, revealing potential conflicts of interest, explaining the financial structure of the agreement, and disclosing whether any funding comes from a "foreign country of concern" (such as designated foreign adversaries or terrorist organizations). The bill limits discovery of these agreements, specifying that the funding agreement details cannot be used as evidence at trial and provides protections for nonprofit organizations. Additionally, the bill defines key terms like "foreign person" and "third-party litigation funding agreement" and includes a severability clause to ensure that if any part of the provision is found unconstitutional, the remaining portions can still be enforced. The primary goal appears to be increasing transparency around litigation funding while preventing potential misuse of such agreements.
Committee Categories
Justice
Sponsors (0)
No sponsors listed
Other Sponsors (1)
Judiciary (Senate)
Last Action
Senate Approved by Governor on Monday, April 7, 2025 (on 04/10/2025)
Official Document
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