Committee approves measure to compel disclosure and bar some foreign‑state funded litigation

The Judiciary Committee reported H.R. 2675, the Protecting Our Courts From Foreign Manipulation Act, after adopting an amendment in the nature of a substitute. Sponsors described the measure as a narrowly targeted transparency and prohibition regime aimed at foreign governments and sovereign wealth funds that use litigation funding to pursue strategic objectives in U.S. courts.

Rep. Klein, the bill's sponsor, said the measure would require disclosure of foreign monetary support to litigation and would bar third‑party litigation funding arrangements where the source is a foreign state or sovereign wealth fund. He argued courts need that information so judges can evaluate whether discovery requests or litigation strategy are being driven by a foreign state rather than a bona fide domestic litigant.

Opponents, including the ranking member and several Democrats, urged caution, saying third‑party litigation funding is, in many cases, the only way individuals and communities can afford to sue large corporations. They warned that compelled disclosure of funders to corporate defendants, and outright prohibitions, could chill funding and deprive workers, consumers, and victims of viable claims.

Committee debate referenced reported cases where foreign actors used litigation to seek intellectual property or move funds, and sponsors emphasized that the bill targets state actors and sovereign funds, not ordinary private investors. The committee adopted the substitute and recorded a roll call (transcript notes 15 ayes and 11 noes) and ordered the measure reported favorably to the House.