House Bill No. 336 introduces the Litigation Financing Disclosure Act, which establishes a framework for financial disclosures related to litigation financing in Louisiana. The Act defines 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, and outlines the conditions under which such disclosures must occur. Additionally, the Act specifies that litigation financers cannot influence the conduct of the civil proceedings, ensuring that decision-making remains with the plaintiff and their attorney.

The bill also includes provisions that exempt nonprofit legal organizations from the disclosure requirements, particularly those representing clients on a pro bono basis. It clarifies that these organizations are not required to disclose their funding sources or donors. Furthermore, any litigation financing contract that violates the provisions of this Act will be deemed absolutely null. The legislation aims to enhance transparency in litigation financing while protecting the interests of nonprofit legal entities.