Section 2 of this bill defines the term “third-party litigation funding agreement” to mean a written agreement pursuant to which a person provides money to a party to a civil action or proceeding in exchange for a contingent right to receive an amount of the potential proceeds of a settlement, judgment, award or verdict obtained in a legal claim of the party to whom money is provided. Section 2 requires a party to a civil action or proceeding to promptly: (1) produce for inspection and copying any third-party litigation funding agreement into which the party has entered without formal discovery; and (2) make available for inspection and copying any updated version of any such agreement under certain circumstances. Existing law authorizes the prevailing party in a civil action to recover attorney's fees and certain costs related to the litigation under certain circumstances. (Chapter 18 of NRS) Section 3 of this bill defines the term “third-party litigation funding company” to mean a person who provides money to a party to a civil action or proceeding in exchange for a contingent right to receive an amount of the potential proceeds of a settlement, judgment, award or verdict obtained in the legal claim of the person. Section 3 makes a third-party litigation funding company jointly and severally liable for any reasonable attorney's fees or costs awarded by the court against a party to a civil action or proceeding. Section 3 also authorizes the court to impose against a third-party litigation funding company any reasonable costs or fees incurred by a nonparty in responding to a subpoena or order related to discovery. Existing law defines various activities that constitute deceptive trade practices and provides for the imposition of civil and criminal penalties against persons who engage in deceptive trade practices. (Chapter 598 of NRS) Section 4 of this bill makes it a deceptive trade practice to publish or cause to be published an advertisement for legal services concerning prescription drugs or medical services that does not comply with certain requirements. Sections 1 and 5-14 of this bill make conforming changes to indicate the proper placement of section 4 in the Nevada Revised Statutes.

Statutes affected:
As Introduced: 11.245, 598.0903, 598.0955, 598.0963, 598.0967, 598.0971, 598.0973, 598.09735, 598.0985, 598.0993, 598.0999
BDR: 11.245, 598.0903, 598.0955, 598.0963, 598.0967, 598.0971, 598.0973, 598.09735, 598.0985, 598.0993, 598.0999