State rules
Case Equity, state by state.
Every state regulates this differently. Licensing in some, rate caps in others, and one outright ban. Each state page carries the facts on top, dated and sourced, and where ClaimAngel stands below. ClaimAngel funders are active in 40 states.
ClaimAngel active in
40 of 50 states
Funders activeNot availableBan in effect
Latest
When a state moves, we publish the updates and our opinions quickly.
All fifty states
The law, state by state.
Every state in one scroll: the statute or its absence, the caps, and when we last checked. Open a state for the full facts layer, sources, and our opinion where we have one.
- AlabamaFunders activeNo funding statute, and funding is practiced in Alabama today. The one public-policy case on the books (Wilson v. Harris) dates to 1996, before the modern market. Bills to regulate the field did not pass in 2025.As of Jul 2026
- AlaskaFunders activeNo funding statute. Champerty is recognized in principle but applied narrowly (Deal v. Kearney, 1993). Agreements stand on contract law.As of Jul 2026
- ArizonaFunders activeArizona's litigation financing law (SB 1215, effective January 1, 2026) requires party disclosure of covered financing but expressly excludes money provided exclusively for personal and family use. Living-expense funding sits outside the statute.As of Jul 2026
- ArkansasNot availableArkansas's consumer lawsuit lending statute (Ark. Code § 4-57-109) pulls funding into the constitutional 17% usury limit, and the entire return counts as interest. Funders do not operate at that price.Cap: 17% (Amendment 89)As of Jul 2026
- CaliforniaFunders activeThe California Consumer Legal Funding Act (AB 931) applies to contracts from January 1, 2026: interval-based pricing only, no percentage-of-recovery charges, charges stop at 36 months, five days to cancel.As of Jul 2026
- ColoradoNot availableColorado treats funding as consumer lending (Oasis v. Coffman, 2015): supervised-lender license and tiered finance-charge caps of 36%, 21%, and 15% by amount. The 2025 foreign-funder law expressly carves out living-expense funding.Cap: 36% / 21% / 15% by tierAs of Jul 2026
- ConnecticutNot availableConnecticut's Small Loan Act (PA 23-126, effective October 2023) covers outcome-contingent advances up to $50,000 at APRs above 12%: a license from the Banking Commissioner is required, with tiered rate caps. Enforcement is active: a 2022 Banking Commissioner cease-and-desist pushed many companies out of the state, and 2025 enforcement ordered restitution from an unlicensed funder. Connecticut courts also test funding agreements against public policy, and refused to enforce one where the funder shared in the proceeds (Rice v. Farrell, 129 Conn. 362, 1942).As of Jul 2026
- DelawareFunders activeNo funding statute. Delaware courts enforce funding agreements where the funder takes no control of the case (Charge Injection v. DuPont, 2016).As of Jul 2026
- FloridaFunders activeNo funding statute; agreements are enforceable under Florida case law if the funder does not influence the litigation. A 2026 bill to regulate the field died on the Senate calendar in March 2026.As of Jul 2026
- GeorgiaFunders activeSB 69 (2025): funders register with the Department of Banking and Finance from January 1, 2026, funding agreements are discoverable in the funded case, five days to cancel, and recovery cannot exceed the consumer's net.As of Jul 2026
- HawaiiFunders activeNo funding statute. Hawaii declined champerty over a century ago (Van Gieson v. Magoon, 1910). Agreements stand on contract law.As of Jul 2026
- IdahoFunders activeNo funding statute. A 2026 bill with rate caps and registration died in committee at adjournment. Expect a refile in 2027.As of Jul 2026
- IllinoisFunders activeThe Consumer Legal Funding Act (815 ILCS 121) caps charges at 18% of the funded amount per six-month period plus a $75 document fee, cuts all charges off at 42 months, licenses funders, and gives consumers fourteen business days to cancel.Cap: 18% per 6 months, 42-month maxAs of Jul 2026
- IndianaFunders activeIndiana's Civil Proceeding Advance Payment statute (IC 24-12) licenses funders through the Department of Financial Institutions and caps charges at 36% annually plus a 7% servicing charge and $500 total document fees. 2023 amendments made CPAP contracts discoverable with notice to insurers; a 2024 law added a separate commercial litigation financing chapter (IC 24-12-11).Cap: 36% + 7% servicingAs of Jul 2026
- IowaFunders activeNo funding statute. A 2026 consumer funding bill (SF 2419) advanced through committee and died at adjournment. Expect a refile in 2027.As of Jul 2026
- KansasNot availableThe Kansas Transparency in Consumer Legal Funding Act (HB 2518) took effect July 1, 2026: Secretary of State registration, interval-based pricing, ten days to cancel, and a declaration that compliant funding is not a loan. A 2025 law separately requires court disclosure of funding agreements.As of Jul 2026
- KentuckyFunders activeKentucky's champerty statute (KRS 372.060) governs agreements supporting another's suit, and federal courts have applied it to funding contracts (Boling, 2019). Agreement structure matters here.As of Jul 2026
- LouisianaFunders activeLouisiana's 2024 law (Act 765) requires foreign-funder disclosure to the Attorney General and makes financing agreements discoverable, but it expressly excludes funds for personal and familial expenses such as food, rent, and medical bills.As of Jul 2026
- MaineNot availableMaine's Consumer Credit Code (Article 12, since 2008) requires registration with the Bureau of Consumer Credit Protection, front-page cost schedules through 42 months, and cuts fees off at 42 months. No percentage rate cap.As of Jul 2026
- MarylandNot availableNo funding statute; Maryland regulators treat funding advances as loans under the Consumer Loan Law, with licensing and tiered rate caps of 33% and 24%. A 2026 bill to codify the regime died.Cap: 33% / 24% by tierAs of Jul 2026
- MassachusettsFunders activeNo funding statute yet. Champerty was abolished in 1997 (Saladini). S.680, a full consumer funding act with a 36% cap and Division of Banks registration, is in Senate Ways and Means now.As of Jul 2026
- MichiganFunders activeNo statute in force. Michigan courts have recharacterized advances as usurious loans where repayment was effectively certain (Lawsuit Financial v. Curry, 2004); true non-recourse structure is the line. A regulation bill (HB 5281, 36% cap) passed the House in May 2026 and is pending in the Senate.As of Jul 2026
- MinnesotaFunders activeNo funding statute. The Minnesota Supreme Court abolished champerty (Maslowski, 2020) and held funding charges are not subject to the usury statute (Maslowski, 2023). A regulation bill (SF 2929) was introduced in 2025 and has not passed.As of Jul 2026
- MississippiFunders activeMississippi's SB 2747 (effective July 1, 2026) requires foreign-funder disclosure to the Attorney General but excludes funding solely intended for costs of living and personal or familial expenses. Champerty remains a criminal statute with case-by-case reach.As of Jul 2026
- MissouriFunders activeThe Missouri Consumer Legal Funding Act (SB 103, effective August 2023) licenses funders through the Division of Finance, requires interval-based flat pricing, caps contracts at 48 months, gives ten business days to cancel, and declares compliant funding is not a loan.As of Jul 2026
- MontanaNot availableMontana's Litigation Financing Transparency and Consumer Protection Act (effective 2024, amended 2025) requires Secretary of State registration, caps charges at the greater of 15% or prime plus 6 and at 25% of any recovery, and requires automatic disclosure of the contract to courts and opposing parties.Cap: 15% or prime+6; 25% of recoveryAs of Jul 2026
- NebraskaFunders activeThe Nonrecourse Civil Litigation Act (2010) requires Secretary of State registration with a bond, front-page repayment schedules through 36 months, a fee cutoff at 36 months, and five business days to cancel.As of Jul 2026
- NevadaNot availableNRS Chapter 604C (SB 432, 2019): license from the Commissioner of Financial Institutions, charges capped at 40% annually with interval-based pricing, funding capped at $500,000 per claim, and five business days to cancel.Cap: 40% annuallyAs of Jul 2026
- New HampshireFunders activeNew Hampshire's Third-Party Litigation Funding Transparency Act (Chapter 226, signed July 2, 2026, effective January 1, 2027) requires automatic disclosure of commercial financing agreements but excludes consumer legal funding.As of Jul 2026
- New JerseyFunders activeNo funding statute; champerty does not exist in New Jersey, so agreements stand on contract law. A registration bill died in January 2026; a pending disclosure bill targets commercial funding and excludes living-expense funding.As of Jul 2026
- New MexicoFunders activeNo funding statute; a 2025 transparency bill died in committee. No champerty prohibition identified. Agreements stand on contract law.As of Jul 2026
- New YorkFunders activeNew York's litigation funding law (Financial Services Law Article 10) took effect June 17, 2026: charges capped at 25% of gross recovery, ten days to cancel, DFS registration from February 2027.Cap: 25% of gross recoveryAs of Jul 2026
- North CarolinaFunders activeThe Prohibit Litigation Investments Act (Session Law 2026-14) took effect June 22, 2026 and bans outcome-contingent funding of litigation costs. Separately, the state's usury statute (G.S. 24-1.1) caps rates on loans of $25,000 or less. ClaimAngel funders remain active in North Carolina for draws of $25,000 and over.As of Jul 2026
- North DakotaFunders activeNo funding statute; a 2025 regulation bill failed the House 1 to 91. A separate 2025 law lets the Department of Financial Institutions designate alternative financing products as loans by order; no order covers funding today.As of Jul 2026
- OhioFunders activeR.C. 1349.55 governs today: disclosures, five business days to cancel, attorney acknowledgment. HB 105, signed July 7, 2026, replaces it this fall with AG registration, a 7% service-fee ceiling, ten days to cancel, and public posting of redacted funding agreements at resolution.As of Jul 2026
- OklahomaFunders activeOklahoma has licensed consumer litigation funders since 2013 (14A O.S. §§ 3-801 to 3-817): Department of Consumer Credit license with a bond and a five-business-day right to cancel. The 2025 foreign-funder law (HB 2619, effective November 1, 2025) covers commercial funding agreements; consumer funding sits outside its scope.As of Jul 2026
- OregonFunders activeNo funding statute. Champerty survives only narrowly against stranger intermeddling (Groce, 1968; Gregory v. Lovlien, 2001). Agreements stand on contract law.As of Jul 2026
- PennsylvaniaFunders activeNo funding statute, and champerty remains a live defense: WFIC v. LaBarre (Pa. Super. 2016) voided a funding agreement. Enforceability is case by case; a proposed discovery rule is pending.As of Jul 2026
- Rhode IslandFunders activeNo funding statute. Maintenance remains a recognized doctrine (Toste Farm, 2002). Two 2026 regulation bills were held for study and died at adjournment.As of Jul 2026
- South CarolinaFunders activeNo funding statute, but the Department of Consumer Affairs ruled in 2014 that funding transactions are loans under the Consumer Protection Code: supervised-lender licensing and filed maximum-rate schedules apply rather than a numeric cap.As of Jul 2026
- South DakotaFunders activeNo funding statute; a 2025 regulation bill failed in the House. Whether money-lender licensing reaches non-recourse funding is an open question no South Dakota authority has answered.As of Jul 2026
- TennesseeFunders activeThe Litigation Financing Consumer Protection Act (2014) requires Secretary of State registration and caps fees at 10% of the funded amount annually plus charges up to $360 per $1,000 per year. Public Chapter 1005 (signed May 19, 2026) adds commercial financing rules and revises the consumer provisions.Cap: 10%/yr + $360 per $1k/yrAs of Jul 2026
- TexasFunders activeNo funding statute. Texas never adopted champerty, and courts treat non-recourse funding as an investment rather than debt. A 2025 disclosure bill died in committee.As of Jul 2026
- UtahFunders activeUtah's Maintenance Funding Practices Act (2020) requires registration with the Division of Consumer Protection, interval-based pricing with no percentage-of-recovery charges, six-month payment schedules, and five business days to cancel. No rate cap.As of Jul 2026
- VermontNot available8 V.S.A. chapter 74 requires registration with the Department of Financial Regulation, a bond of at least $50,000, front-page disclosures including APR, and five business days to cancel. No rate cap. Fees updated by Act 142, approved June 16, 2026.As of Jul 2026
- VirginiaFunders activeNo funding statute. Virginia's century-old champerty doctrine (Roller v. Murray, 1907) has not been tested against modern funding. Agreements are assessed case by case.As of Jul 2026 · full review pending
- WashingtonFunders activeNo funding regulatory regime, and the 2024 Predatory Loan Prevention Act expressly exempts non-recourse litigation finance from the Consumer Loan Act. A 2026 regulation bill died in Rules; expect a refile.As of Jul 2026
- West VirginiaNot availableW. Va. Code § 46A-6N (amended 2024): Secretary of State registration with a $50,000 bond, an 18% annual fee cap on the funded amount, no fees beyond 42 months, and five business days to cancel.Cap: 18% annually, 42-month maxAs of Jul 2026
- WisconsinFunders activeWisconsin requires automatic disclosure of any funding agreement to all parties in civil actions (Wis. Stat. § 804.01(2)(bg), 2017 Act 235), the broadest disclosure rule in the country. No caps or registration; a rate-cap bill died in March 2026.As of Jul 2026
- WyomingFunders activeNo funding statute found, and no Wyoming authority addresses champerty. Effectively the least-regulated state in the country.As of Jul 2026 · full review pending
For educational purposes only, not legal advice. Laws change and courts reinterpret them. Check the dated sources on this page, and talk to a lawyer licensed in your state about your own case.
Facts layers are dated per state and verified against primary sources. If a state has not been through full statute review yet, its page says so.