LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
200 W. Washington St., Suite 301
Indianapolis, IN 46204
(317) 233-0696
iga.in.gov
FISCAL IMPACT STATEMENT
LS 6780 NOTE PREPARED: Jan 31, 2024
BILL NUMBER: HB 1160 BILL AMENDED: Jan 29, 2024
SUBJECT: Civil Proceeding Advance Payment Contracts and Commercial Litigation Financing.
FIRST AUTHOR: Rep. Lehman BILL STATUS: 2
nd
Reading - 1
st
House
FIRST SPONSOR:
FUNDS AFFECTED:XGENERAL IMPACT: State & Local
XDEDICATED
FEDERAL
Summary of Legislation: This bill prevents a CPAP provider from making any decision, having any
influence, or directing the consumer claimant or the consumer claimant's attorney with respect to the conduct
of the underlying civil proceeding.
The bill provides that a commercial litigation financier may not provide funding to a commercial litigation
financing agreement that is financed by a foreign person. It prevents a party from sharing certain privileged
information with a commercial litigation financier. It provides that a commercial litigation financier may not
make any decision, have any influence, or direct the plaintiff with respect to the underlying civil proceeding.
It also specifies that a commercial litigation financing agreement is subject to discovery.
Effective Date: July 1, 2024.
Explanation of State Expenditures: Department of Financial Institutions (DFI): To the extent that the DFI
enforces the provisions in the bill, the DFI could have an increase in workload and expenditures. However,
any increase is likely to be minimal.
Explanation of State Revenues: CPAP Providers: For CPAP providers who are investigated for potential
violations of regulations contained in the bill, the provider could be subject to (1) reimburse any DFI costs
of investigating allegations, (2) court fees, (3) a maximum $5,000 civil penalty per violation, and (4) an
additional maximum $10,000 civil penalty on top of any court-ordered penalties.
Court Fee Revenue: If additional civil cases occur and court fees are collected, revenue to the state General
Fund will increase. The total revenue per case would range between $100 and $122. The amount deposited
HB 1160 1 will vary depending on whether the case is filed in a court of record or a municipal court. The following
linked document describes the fees and distribution of the revenue: Court fees imposed in civil, probate, and
small claims cases.
Explanation of Local Expenditures:
Explanation of Local Revenues: Court Fee Revenue: If additional cases occur, revenue will be collected
by certain local units. If the case is filed in a court of record, the county will receive $32 and qualifying
municipalities will receive a share of $3. If the case is filed in a municipal court, the county receives $20,
and the municipality will receive $37. The following linked document describes the fees and distribution of
the revenue: Court fees imposed in civil, probate, and small claims cases.
State Agencies Affected: Department of Financial Institutions.
Local Agencies Affected: Trial courts, city and town courts.
Information Sources: Indiana Supreme Court, Indiana Trial Court Fee Manual.
Fiscal Analyst: Nate Bodnar, 317-234-9476.
HB 1160 2