Litigation Finance Regulatory Bill Signed by Louisiana Governor

A bill in Louisiana that brings more scrutiny to the litigation finance industry was signed into law, several months after the governorship changed hands to the Republican party.

The measure (SB 355) bars outside funders from controlling cases in which they invest including whether to settle, appointing or changing counsel, choosing expert witnesses, and anything related to litigation strategy. The bill also requires parties in lawsuits to disclose funding from “countries of concern” to the state attorney general and makes litigation finance contracts subject to discovery in civil cases.

It was introduced by the state Senate majority ...