MO HB853

Establishes the "Missouri Consumer Litigation Loan Act" to regulate consumer litigation loans by capping finance charges at the rate applicable to section 408.030 transactions and limiting origination fees to $50 per loan.

Requires written contracts that include cancellation rights (15-day period), terms of payment, annualized interest rate, and lender's principal business address and registered agent for service of process.

Prohibits consumer litigation loan companies from instigating or controlling litigation, requires funds be used only for personal living expenses, and guarantees consumers retain at least 25% of proceeds exclusive of attorney's fees.

Bars practicing attorneys in Missouri from having direct or indirect interests in consumer litigation loan companies or receiving referral fees from such companies.

Requires disclosure of consumer litigation loan transactions in civil actions and allows discovery of facts related to such transactions; violations constitute unlawful acts under consumer protection law with remedies including double interest recovery and attorney's fees.