Pravati Capital forms coalition to promote responsible litigation funding regulation nationwide after passage of Arizona law

Pravati Capital has launched a new national coalition of funders, attorneys, and policy advocates to promote responsible litigation funding regulation across the United States, following the passage of Arizona’s Senate Bill 1215 (SB1215)—a law that positions the state as a model for balancing transparency, investor participation, and plaintiff protection.

SB1215, which takes effect January 1, 2026, establishes a framework aimed at protecting plaintiffs’ equitable access to justice while curbing foreign influence and ensuring that funding arrangements align with US legal and ethical standards. The legislation prohibits control of litigation by funders, enhances transparency in legal proceedings, and restricts involvement by foreign countries or “entities of concern.”

Pravati Capital, one of the oldest litigation finance firms in the US, worked alongside the Arizona Chamber of Commerce and Industry and legal stakeholders to support the measure, which founder and CEO Alexander Chucri described as the result of “months of negotiations and bipartisan compromise.” The firm’s newly announced coalition seeks to build on that consensus to guide similar legislative efforts in other states such as California and Georgia, where lawmakers are weighing litigation finance reforms.

“It closes the door on bad actors while ensuring responsible litigation finance firms can continue to help plaintiffs pursue meritorious claims,” said Chucri. “At Pravati, we welcome this as part of an ongoing dialogue.”

SB1215 also preserves Arizona’s pioneering stance on Alternative Business Structures (ABS), which allow non-lawyers to hold decision-making authority in law firms and partner with litigation funders to expand access to legal services. Senate Majority Whip Frank Carroll, a key supporter, called the bill “a powerful signal nationally” and a product of “constructive negotiation” that demonstrates how all sides can collaborate to “preserve access to justice.”

Chucri added that Pravati’s mission—“to befriend, help and protect”—extends beyond capital provision to industry education and regulatory engagement. “We will continue to engage constructively in conversations to advance fair, responsible access to justice,” he said.