Section 202 – Maintenance funding provider operations.

• (1) A maintenance funding provider may only provide legal funding to an individual if the maintenance funding provider and the individual enter into a maintenance funding agreement that meets the requirements of Section 13-57-301.

• (2) Before executing a maintenance funding agreement, a maintenance funding provider shall file with the division a template of the maintenance funding agreement.

• (3) A maintenance funding provider may not:
  • (a) pay or offer to pay a commission, referral fee, or any other form of consideration to the following for referring an individual to the maintenance funding provider:
    • (i) an attorney authorized to practice law;
    • (ii) a health care provider; or
    • (iii) an employee, independent contractor, or other person affiliated with a person described in Subsection (3)(a)(i) or (ii);
  • (b) accept a commission, referral fee, or any other form of consideration from a person described in Subsection (3)(a) for referring an individual to the person;
  • (c) refer an individual or potential individual to a person described in Subsection (3)(a), unless the referral is to a local or state bar association referral service;
  • (d) intentionally advertise materially false or misleading information about the maintenance funding provider’s services;
  • (e) make or attempt to influence a decision relating to the conduct, settlement, or resolution of a legal action for which the maintenance funding provider provides legal funding; or
  • (f) knowingly pay or offer to pay court costs, filing fees, or attorney fees using legal funding.

• (4) A maintenance funding provider shall provide an individual who enters a maintenance funding agreement a copy of the executed maintenance funding agreement.

Enacted by Chapter 118, 2020 General Session