Georgia approves new restrictions on third-party litigation funding

Republican Senator John Kennedy, a sponsor of new Georgia legislation placing restrictions on third-party litigation funding as part of a broader "tort reform" package, said the bill is designed to establish safeguards for a growing industry. Under the bill, third-party litigation funders must register with the Georgia Department of Banking and Finance and receive authorization to operate in the state (businesses affiliated with foreign entities are prohibited from registering), and are restricted from influencing legal strategies or decisions in the cases they finance.