Financial institutions: other; third-party litigation funding transparency; provide for. Creates new act.
Key claim: HB5281 would create a new Michigan act requiring transparency for third-party litigation funding arrangements.
Abstract
(HB5281 · 103rd Legislature) Financial institutions: other; third-party litigation funding transparency; provide for. Creates new act. Sponsor: Rep. Mike Harris ® + 24 co-sponsors In committee: S Regulatory Affairs Latest vote: House Third Reading: Given Immediate Effect Roll Call #137 — 60-45 (passed, 2026-05-12) Latest action (2026-05-14): Referred To Committee On Regulatory Affairs
Why this matters
Third-party litigation funding is a growing financial-market practice where outside investors bankroll lawsuits in exchange for a share of any recovery. A Michigan transparency act would affect litigants, funders, insurers, and defendants by requiring disclosure of these arrangements, shaping the state’s civil litigation and consumer-finance landscape.