Protecting Our Courts from Foreign Manipulation Act of 2025

This bill amends federal law to increase transparency and oversight of third-party litigation funding by foreign persons, and prohibits such funding by foreign states and sovereign wealth funds. It requires disclosure of foreign funders and agreements in civil cases, bans funding from foreign states and sovereign wealth funds, and mandates annual reports to Congress.

Sec. 2, Transparency and limitations on foreign third-party litigation funding: This section adds a new section 1660 to title 28 of the U.S. Code. It defines 'foreign person,' 'foreign state,' and 'sovereign wealth fund.' In any civil action, parties or their counsel must disclose in writing to the court, other parties, the Attorney General, and the Principal Deputy Assistant Attorney General for National Security the name, address, and citizenship or incorporation of any foreign person, state, or sovereign wealth fund (other than named parties or counsel) that has a contingent right to payment from the case or a related portfolio. They must also produce a copy of the funding agreement and submit a certification about whether the money is sourced from a foreign person, state, or sovereign wealth fund. Disclosures and certifications must be made within 30 days of the agreement or case filing, and supplemented if incomplete. It is unlawful to enter into a funding agreement satisfied by money sourced from a foreign state or sovereign wealth fund; any such agreement is null and void. Failure to disclose is subject to sanctions under Federal Rules of Civil Procedure.

Sec. 3, Report to Congress: The Attorney General must submit an annual report to the Senate and House Judiciary Committees, starting one year after enactment, on foreign third-party litigation funding in federal courts. The report must include identities of foreign funders, sources of money, judicial districts involved, an estimate of total foreign-sourced money by country, and a summary of the subject matters of civil actions using such funding.

Sec. 4, Applicability: The amendments apply to any civil action pending on or commenced on or after the date of enactment.