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Read. Follow. Verify.Kansas Bill Establishes Transparency and Conduct Rules for Consumer Legal Funding Companies
Last action · March 20, 2026: Stricken from Calendar by Rule 1507
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What This Bill Would Do
This bill regulates agreements in Kansas by establishing mandatory contract disclosures, prohibiting specific company practices like influencing legal strategy or paying referral fees, and setting civil penalties for violations. Civil litigation plaintiffs receiving cash advances against their settlements are subject to these new rules, which take effect upon publication in the statute book.
Kansas residents involved in civil lawsuits who use third-party funding advances will gain standardized contract terms, a 10-day cancellation window, and explicit caps on what they owe if their lawsuit fails. Funding companies will face statutory damages, contract forfeitures, and civil penalties up to $10,000 per violation for failing to comply.
Who It Would Affect
Groups the bill's text would affect if enacted, as described in the record. Being affected is not a position for or against it.
Kansas consumers involved in civil claims
Consumers entering into legal funding agreements receive mandatory contract disclosures, a 10-day cancellation window, and protections limiting their repayment obligations if their legal claim fails.
Consumer legal funding companies
Funding companies must register with the secretary of state, adhere to strict advertising and contract disclosure rules, abstain from influencing legal cases, and face statutory damages or civil penalties for violations.
Attorneys representing civil claimants
Attorneys must review mandatory disclosures with clients, sign a written acknowledgment, disburse funds through trust accounts, and refrain from holding financial interests in funding companies.
Key Facts
You don't have to trust us. Each fact below is taken straight from the official document - click any one to see the exact passage, highlighted in the original.
Frequently Asked Questions
What happens if a Kansas consumer loses their civil lawsuit after receiving legal funding?
Can a legal funding company tell a consumer when to settle a lawsuit?
Are legal funding contracts considered loans under this legislation?
What else do you want to know?
News Coverage
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Votes, people, money & the original sourceWhere This Stands
Currently passed both. The next step in the legislative lifecycle is Law.
Procedural history
16 actions- Mar 20, 2026HouseStricken from Calendar by Rule 1507
- Mar 18, 2026HouseCommittee of the Whole - Now working on
- Mar 18, 2026HouseFloorCommittee of the Whole - Passed over and retain a place on the calendar
- Mar 12, 2026HouseFloorCommittee Report recommending bill be passed as amended by
- Mar 10, 2026HouseHearing: Tuesday, March 10, 2026, 3:30 PM — Room 582-N
- Mar 3, 2026HouseHearing: Tuesday, March 3, 2026, 3:30 PM — Room 582-N — CANCELED
Show 10 earlier actions
- Feb 24, 2026HouseIntroducedReceived and Introduced
- Feb 24, 2026HouseCommitteeReferred to House Committee on Judiciary
- Feb 18, 2026SenateFloorFinal Action - Passed as amended
- Feb 17, 2026SenateCommittee of the Whole - Now working on
- Feb 17, 2026SenateFloorCommittee of the Whole - Committee Report be adopted
- Feb 17, 2026SenateFloorCommittee of the Whole - Be passed as amended
- Feb 12, 2026SenateFloorCommittee Report recommending bill be passed as amended by
- Feb 11, 2026SenateHearing: Wednesday, February 11, 2026, 10:30 AM — Room 346-S
- Jan 30, 2026SenateCommitteeReferred to Senate Committee on Judiciary
- Jan 29, 2026SenateIntroducedIntroduced
Version history
Only one version on file - nothing to compare yet. As later stages (committee substitute, engrossed, enrolled) are captured, the redline appears here.
View official text →Lobbying Activity
No state lobbying filings in our records match this bill. Federal lobbying reports (LDA) cover Congress, so they are not listed on state bills.
Full breakdown
Who this bill affects and the strongest case for and against it, written only from the bill’s own text.
Connected Entities
Sources
www.kslegislature.gov
Analysis Score
0–100- Significance65How much this matters to a regular citizen
- Controversy50Intensity of disagreement among stakeholders
- Entertainment10Compellingness for a non-policy-wonk reader
- Buzz30Current news / social attention level
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