SB 977
Prohibits the funding of legal actions by foreign individuals and legal entities
LR Number:
Last Action:
1/25/2024 - Second Read and Referred S Insurance and Banking Committee
Journal Page:
Effective Date:
August 28, 2024

Current Bill Summary

SB 977 - This act provides that no party in an action filed on or after August 28, 2024, shall receive funding from a foreign individual or foreign legal entity, as those terms are defined in the act, that is not a party to the action for some or all of the expenses, including attorney's fees, for the action. The provisions of this act shall not apply if:

(1) The party is an individual receiving funding from a foreign individual within the third degree of affinity or consanguinity;

(2) The party is a legal entity that is owned or controlled, in whole or in part, by a foreign legal entity which is providing the funding;

(3) All parties agree to allow funding by foreign individuals or foreign legal entities; or

(4) The court determines that in the interest of justice or in the interest of the parties there is good cause for the funding of the action by a foreign individual or foreign legal entity.

A party may seek discovery on information regarding the funding of the action upon a showing of good cause. Upon a showing that another party to the action has received funding for the action in violation of this section, the party may file a motion to dismiss and the court shall conduct a hearing within thirty days. Upon a determination that the provisions of this act have been violated, the court shall dismiss the action without prejudice and may order any other relief as may be appropriate.



No Amendments Found.