H.R. 2675: Protecting Our Courts from Foreign Manipulation Act of 2025

This bill, known as the Protecting Our Courts from Foreign Manipulation Act of 2025, aims to increase transparency and oversight regarding foreign funding of litigation in United States civil courts. Here are the key components of the bill:

1. Definitions

The bill introduces specific definitions related to foreign funding:

• Foreign Person: Any individual or entity that is not a U.S. person, excluding foreign states and sovereign wealth funds.
• Foreign State: Defined as a government or political unit of a nation.
• Sovereign Wealth Fund: An investment fund controlled by a foreign government or its agencies.

2. Disclosure Requirements

In civil lawsuits, parties involved must:

• Disclose the names and addresses of any foreign persons, states, or sovereign wealth funds that stand to benefit financially based on the outcome of the case.
• Provide copies of any agreements related to these financial interests.
• Submit a certification regarding the source of funds used for litigation, indicating whether they are sourced from any foreign entity as defined.

3. Timing of Disclosures

The required disclosures and certifications must be made:

• Within 30 days of any relevant agreement being signed or when a civil case is filed.
• For any newly joined parties, within 30 days after the party is served.

4. Prohibition on Certain Funding

The bill makes it illegal for civil action parties or their counsel to receive funding agreements where the payments are contingent on the outcome of the litigation if those payments are sourced from foreign states or sovereign wealth funds. Any agreements that violate this prohibition will be considered null and void.

5. Enforcement and Sanctions

Failure to disclose required information or to meet certification standards will subject the parties to sanctions similar to those outlined in federal civil procedure rules.

6. Reporting Requirements

The Attorney General must submit an annual report to Congress detailing:

• The identities of foreign third-party litigation funders.
• The sources of funds used for such financing in federal courts.
• The judicial districts where these funds were utilized.
• An estimate of the total amount of foreign-sourced money used.
• A summary of the types of civil actions funded by this foreign money.

7. Applicability

The provisions of this bill will apply to all civil actions pending or initiated after the bill's enactment.

Relevant Companies

• None found