13-57-202. Consumer maintenance funding provider operations -- Prohibited acts.

461 words·~2 min read·/ut/title-13/chapter-57/13-57-202

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

Effective 5/6/2026

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

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

(3)A consumer 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 a consumer to the consumer 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 a consumer to the person;

(c)refer a consumer or potential consumer 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 consumer 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 consumer maintenance funding provider provides legal funding;

(f)knowingly pay or offer to pay court costs, filing fees, or attorney fees using legal funding;

(g)attempt to obtain a waiver of a remedy or right from the consumer, including the right to trial by jury.

(h)represent that the division or the state endorses the consumer maintenance funding provider;

(i)omit from a filing with the division a material statement of fact that this chapter or a rule the division makes in accordance with this chapter requires; or

(j)include in a filing with the division a material statement of fact that the consumer maintenance funding provider or consumer maintenance funding provider's principal knows or should know is false, deceptive, inaccurate, or misleading.

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

(5)A consumer maintenance funding provider may not offer maintenance funding to a consumer who has retained, or been referred by, an attorney or law firm that has a financial interest in the consumer maintenance funding provider.

(6)A consumer maintenance funding provider may not enter into a consumer maintenance funding agreement directly or indirectly with a foreign entity of concern or a foreign country or person of concern.

Amended by Chapter 121 , 2026 General Session