MI HB5281

Requires consumer litigation funding companies and commercial litigation financiers to register with the Michigan Department of Insurance and Financial Services, paying $10,000 initial and renewal fees every two years

Caps charges on consumer litigation funding at 36% annually and prohibits prepayment penalties, mandatory arbitration clauses, and waivers of the right to a jury trial

Mandates detailed disclosure requirements in consumer litigation funding contracts, including funded amounts, itemized charges, payment schedules, and a 10-business-day cancellation period

Prohibits litigation funding companies from influencing legal strategy, settlement decisions, or attorney selection, and bars them from paying referral fees to attorneys, law firms, or healthcare providers

Bans foreign entities of concern and persons from foreign countries of concern (including those on federal sanctions lists) from participating in litigation funding agreements in Michigan