DE SCR127

Encourages the Delaware Judiciary to study disclosure requirements for third-party litigation funding arrangements in Delaware courts.

Requests the judiciary recommend revisions to court rules of procedure or statutes, if needed, to implement third-party funding disclosure requirements.

Notes that third-party litigation funding is largely unregulated in most states and poses potential conflicts of interest when funders have direct or indirect control over litigation.

References that federal courts in Northern California and New Jersey, as well as the U.S. District Court for the District of Delaware, have already implemented third-party funding disclosure requirements.

Cites Wisconsin and Virginia as states that have enacted laws regarding third-party financing arrangements to support transparency and allow informed decision-making by all parties.