Us Congress 2025-2026 Regular Session

Us Congress House Bill HB1109 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	I
2	2	119THCONGRESS
3	3	1
4	4	STSESSION H. R. 1109
5	5	To amend title 28, United States Code, to provide for transparency and
6	6	oversight of third-party beneficiaries in civil actions.
7	7	IN THE HOUSE OF REPRESENTATIVES
8	8	FEBRUARY7, 2025
9	9	Mr. I
10	10	SSA(for himself, Mr. COLLINS, and Mr. FITZGERALD) introduced the
11	11	following bill; which was referred to the Committee on the Judiciary
12	12	A BILL
13	13	To amend title 28, United States Code, to provide for trans-
14	14	parency and oversight of third-party beneficiaries in civil
15	15	actions.
16	16	Be it enacted by the Senate and House of Representa-1
17	17	tives of the United States of America in Congress assembled, 2
18	18	SECTION 1. SHORT TITLE. 3
19	19	This Act may be cited as the ‘‘Litigation Trans-4
20	20	parency Act of 2025’’. 5
21	21	SEC. 2. TRANSPARENCY AND OVERSIGHT OF THIRD-PARTY 6
22	22	BENEFICIARIES IN CIVIL CASES. 7
23	23	(a) I
24	24	NGENERAL.—Chapter 111 of title 28, United 8
25	25	States Code, is amended by adding at the end the fol-9
26	26	lowing: 10
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29	29	•HR 1109 IH
30	30	‘‘§ 1660. Third-party beneficiary disclosure 1
31	31	‘‘(a) I
32	32	NGENERAL.—Except as provided in subsection 2
33	33	(b), in any civil action, a party or any counsel of record 3
34	34	for a party shall— 4
35	35	‘‘(1) disclose in writing to the court and all 5
36	36	other named parties to the civil action the identity 6
37	37	of any person (other than counsel of record) that 7
38	38	has a right to receive any payment or thing of value 8
39	39	that is contingent on the outcome of the civil action 9
40	40	or a group of actions of which the civil action is a 10
41	41	part; and 11
42	42	‘‘(2) produce to the court and to each other 12
43	43	named party to the civil action, for inspection and 13
44	44	copying, any agreement creating a contingent right 14
45	45	referred to in paragraph (1), including any ancillary 15
46	46	agreement or document, except as otherwise stipu-16
47	47	lated or ordered by the court. 17
48	48	‘‘(b) E
49	49	XCEPTION.—The requirements under sub-18
50	50	section (a) shall not apply with respect to a person that 19
51	51	has a right to receive payment described in subsection 20
52	52	(a)(1) if the right to receive payment is solely— 21
53	53	‘‘(1) the repayment of the principal of a loan; 22
54	54	‘‘(2) the repayment of the principal of a loan 23
55	55	plus interest that does not exceed the higher of 7 24
56	56	percent or a rate two times the annual average 30- 25
57	57	year constant maturity Treasury yield, as published 26
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60	60	•HR 1109 IH
61	61	by the Board of Governors of the Federal Reserve 1
62	62	System, for the year preceding the date on which the 2
63	63	relevant agreement was executed; or 3
64	64	‘‘(3) the reimbursement of attorney’s fees. 4
65	65	‘‘(c) T
66	66	IMING.—The disclosures required by subsection 5
67	67	(a) shall be made not later than the later of— 6
68	68	‘‘(1) 10 days after the execution of any agree-7
69	69	ment described in subsection (a)(2); or 8
70	70	‘‘(2) the time of the filing of the action before 9
71	71	the court. 10
72	72	‘‘(d) D
73	73	UTYTOCORRECT.—A party or counsel of 11
74	74	record that made a disclosure required by this section shall 12
75	75	supplement or correct each such disclosure in a timely 13
76	76	manner— 14
77	77	‘‘(1) if such party or counsel of record learns 15
78	78	that the disclosure is or has become incomplete or 16
79	79	incorrect in some material respect, if the additional 17
80	80	or corrective information has not otherwise been 18
81	81	made known to the other parties during the dis-19
82	82	covery process or in writing; or 20
83	83	‘‘(2) as ordered by the court.’’. 21
84	84	(b) C
85	85	LERICALAMENDMENT.—The table of sections 22
86	86	for chapter 111 of title 28, United States Code, is amend-23
87	87	ed by adding at the end the following: 24
88	88	‘‘1660. Third-party beneficiary disclosure.’’.
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91	91	•HR 1109 IH
92	92	SEC. 3. APPLICABILITY. 1
93	93	The amendments made by this Act shall apply to any 2
94	94	civil action pending on or commenced after the date of 3
95	95	enactment of this Act. 4
96	96	Æ
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