The bill H. 5004 aims to amend Section 39-5-39 of the South Carolina Code of Laws, which addresses attorney advertising practices. It defines false advertising and establishes specific requirements for legal advertisements. Notably, any advertisement referencing a settlement must disclose the amount of attorney fees and litigation costs deducted from the recovery. Additionally, it mandates that advertisements clarify that results mentioned are not representative of all cases and that outcomes depend on the specific facts of each case. Furthermore, if an advertisement suggests that a lawsuit is against an insurance company or third party, it must disclose that the lawsuit would actually be filed against a named individual or business, with the insurance company merely providing coverage.
The bill also stipulates that violations of these advertising requirements constitute an unfair trade practice, which can be enforced by the Department of Consumer Affairs, allowing for both monetary and injunctive relief. However, it specifies that violations do not create a private cause of action. The bill is currently residing in the House Committee on Judiciary and will take effect upon approval by the Governor.
Statutes affected: 01/22/2026: 39-5-39
Latest Version: 39-5-39