U.S. Chamber of Commerce Institute for Legal Reform’s Post

The U.S. Supreme Court's Advisory Committee on Civil Rules has taken a significant step towards transparency in third-party litigation funding by proposing the creation of a subcommittee to explore this issue further. ILR has been at the forefront of advocating for transparency in TPLF, highlighting the potential risks and calling for mandatory disclosure requirements. In response to the committee’s decision, Page Faulk, senior vice president of legal reform initiatives at ILR, called on the judiciary “to move forward swiftly in adopting mandatory disclosure requirements.” More from Reuters: https://lnkd.in/gqCx-dRC

We’re hiring! ILR is looking for a Vice President and Special Counsel to lead our state legal reform advocacy program. In this role, you’ll develop strategic campaigns, foster relationships with state officials, and drive legal reform initiatives across the country. You’ll also represent ILR at various forums and work closely with senior leadership to shape policy strategies. Apply now:

We’re hiring! ILR is seeking a Manager of State Legislative Affairs. This role includes managing legal and lobbying projects, and leading state legislative campaigns. You’ll represent ILR at hearings, conferences, and coalition meetings, while building relationships with partners and shaping legal reform strategies. Ready to make an impact? Apply now!

This legislation is an important step toward safeguarding the integrity of our judicial system. Thanks to Rep. Issa for his leadership and strong work on this critical issue.

On Friday afternoon, Rep. Darrell Issa introduced the Litigation Transparency Act. The bill would protect the integrity of our judicial system by requiring third-party litigation funding agreements to be disclosed and produced in all federal civil litigation.   Read our statement: https://lnkd.in/etEczj7W

Third-party litigation funding (TPLF) poses significant national security risks by allowing foreign adversaries to secretly influence U.S. litigation. Our latest research highlights growing concern among policymakers about TPLF’s potential to undermine U.S. national security by enabling foreign entities to exploit the American legal system. Read the report: https://lnkd.in/e8czrNNX

The Wall Street Journal reports that rampant fraudulent claims are escalating insurance costs for ride-share drivers. The state's largest insurer, American Transit Insurance Company (ATIC), which covers 64% of NYC's for-hire vehicles, is at significant risk of failure. Fraudulent claims, often driven by litigation funding by outside financiers, are overwhelming insurers, forcing them to pay out excessive settlements or face costly lawsuits. This could leave tens of thousands of drivers uninsured and force them to seek alternative coverage at higher premiums, which in turn means higher fares for ride-share passengers. A glimmer of hope: The New York Office of Court Administration has proposed requiring plaintiff attorneys to disclose litigation funding in wrongful death and personal injury cases involving infants. As WSJ states, "such transparency would provide useful information to juries about the motive and merits of claims, likely resulting in fewer fraudulent claims." https://lnkd.in/e-z3BGuB

The Texas Supreme Court Advisory Committee is examining possible rules to address third-party litigation funding (TPLF) transparency in Texas state courts. This is potentially an important development for reform, and ILR, Lawyers for Civil Justice, and the Texas Civil Justice League have submitted a letter to the Committee, urging it to take a much-needed step toward enhancing transparency in TPLF in Texas. https://lnkd.in/eD7UHYKa

Myth: “Third-party litigation funders are passive investors who do not exert any control over litigation.” Fact: Funders are driven to make strategic decisions about settlement offers to maximize their return on investment, even if it is not in the best interest of the plaintiff. For example, plaintiffs have been blocked from accepting reasonable settlements in their own antitrust litigation, effectively trapping them in a lawsuit they’d rather settle. Our research shows that there is increasing concern from policymakers about the injurious effects of TPLF on claimants, businesses, and civil justice systems in general. https://lnkd.in/e8czrNNX