On April 6, 2022, HB 2771 was passed by Missouri’s Special Committee on Litigation Reform. The bill establishes the Consumer Legal Funding Model Act and the Civil Litigation Funding Act.
The Missouri bill, supported by the American Property Casualty Insurance Association, would require that any third parties actively providing loans to finance lawsuits be regulated by the Missouri State Department of Commerce and Insurance. The current proposed date for the bill to go into effect is 8/28/2022.
The bill will require that all parties involved in personal injury litigation financing disclose their involvement during the discovery process. The bill aims to provide protection to plaintiffs regarding their third-party financing. You can learn more about the bill by going to this article from Business Insurance or visiting the Missouri House of Representatives website.
Advocate Capital is proud to support plaintiff attorneys that pursue justice for their clients and community. Our AdvoTrac Case Expense Funding Service has helped countless firms to achieve even better results for their clients. Have questions? Please don’t hesitate to contact us today to see how we may be able to help your firm.