WA HB2255

Requires disclosure of third-party litigation funding arrangements to all parties in a lawsuit, including the funder's identity, citizenship, and a complete copy of the financing agreement within 35 days of execution

Prohibits litigation funders from influencing legal strategy, settlement decisions, or attorney conduct, reserving those rights solely to parties and their attorneys

Caps funder recovery at 25% of any judgment, settlement, or award, and limits interest rates to those allowed under RCW 19.52.020

Bans litigation financing directly or indirectly financed by foreign countries or entities of concern, including those on federal blocked persons lists or designated as foreign terrorist organizations

Violations constitute unfair or deceptive trade practices under the Consumer Protection Act, with penalties including $10,000 per violation and disgorgement of funds; effective July 1, 2026