House Bill No. 336, known as the Litigation Financing Disclosure Act, aims to establish a framework for financial disclosures related to litigation financing in Louisiana. The bill introduces definitions for key terms such as "attorney," "litigation financer," "litigation financing," and "litigation financing contract." It mandates that parties involved in civil actions disclose any litigation financing agreements to all other parties, including insurers, within a specified timeframe. Additionally, the bill stipulates that litigation financers cannot influence the conduct of the civil proceedings, ensuring that decision-making remains with the plaintiff and their attorney.

The legislation also includes specific provisions for class action lawsuits, requiring attorneys to disclose any relationships with litigation financers to all parties and the court. Notably, the bill exempts nonprofit legal organizations from the disclosure requirements, particularly those representing clients pro bono, and ensures that these organizations are not required to disclose their funding sources. Any litigation financing contract that violates the provisions of this Act will be deemed absolutely null. Overall, the bill seeks to enhance transparency in litigation financing while protecting the interests of nonprofit legal entities.