ARE  LITIGATION FUNDING AGREEMENTS DISCOVERABLE? 

(Updated: August 13, 2018)

• In the State of Wisconsin, yes. See 2017 Wisconsin Act 235
• The Advisory Committee on Rules of Civil Procedure, which has been studying the issue, has declined to take a position, citing the need for further examination and finding that any attempt to craft disclosure rules in this nascent area was premature.  See December 2017 Report of the Advisory Committee on Civil Rules
• Federal legislation introduced which would require disclosure: Litigation Funding Transparency Act of 2018
• For the contra view, see, “Common Sense vs. False Narratives about Litigation Finance Disclosure.”  
• Meanwhile, what are courts doing? See Judge Polster Order Regarding Litigation Funding

ARE LITIGATION FUNDING AGREEMENTS ETHICAL?

• In the view of the New York City Bar Association, such agreements may violate ABA Model Rule 5.4. See the NYCBA Formal Opinion 2018-5: Litigation Funders' Contingent Interest in Legal Fees