Bill > SB2101

This bill amends Tennessee law concerning litigation financing, which is when a company provides funds to a party in a lawsuit in exchange for a portion of any potential settlement or judgment. Primarily, it extends the timeframe from 30 to 35 days for a litigation financier, a company that provides such funding, to update its registration with the secretary of state if any of its registration information becomes inaccurate or incomplete. Beyond this key change, the bill also clarifies definitions, strengthens regulations on commercial litigation financiers by prohibiting them from controlling legal proceedings or settlements and capping their recovery, mandates disclosure of financing contracts to courts and opposing parties, establishes joint and several liability for financiers regarding adverse costs and sanctions, requires financiers to indemnify parties against certain losses, and limits annual fees charged by commercial litigation financiers to 10% of the original funding amount.