Article 33: Nonrecourse Civil Litigation Act · Last amended 2010 · Last verified July 22, 2026
In one sentenceThis section requires a civil litigation funding company to register with the Secretary of State before doing business in Nebraska, submitting organizational records, proof of a Nebraska registered agent, and a surety bond or letter of credit sized to its funding volume, and allows renewal on similar terms.
Full Text of § 25-3307
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(1) Unless a civil litigation funding company has first registered pursuant to the Nonrecourse Civil Litigation Act, the civil litigation funding company cannot engage in the business of nonrecourse civil litigation funding.
(2) A civil litigation funding company shall submit an application of registration to the Secretary of State in a form prescribed by the Secretary of State. An application filed under this subsection is a public record and shall contain information that allows the Secretary of State to make an evaluation of the character, fitness, and financial responsibility of the company such that the Secretary of State may determine that the business will be operated honestly or fairly within the purposes of the act. For purposes of determining a civil litigation funding company's character, fitness, and financial responsibility, the Secretary of State shall request a company to submit: A copy of the company's articles of incorporation, articles of organization, certificate of limited partnership, or other organizational documents; proof of registration with a Nebraska registered agent; and proof of a surety bond or irrevocable letter of credit issued and confirmed by a financial institution authorized by law to transact business in the State of Nebraska that is equal to double the amount of the largest funding in the past calendar year or fifty thousand dollars, whichever is greater.
(3) A civil litigation funding company may apply to renew a registration by submitting an application for renewal in a form prescribed by the Secretary of State. An application filed under this subsection is a public record. The registration shall contain current information on all matters required in an original registration.
Source
Laws 2010, LB1094, § 7.
Plain-English Summary
Before a civil litigation funding company can engage in the business of nonrecourse civil litigation funding in Nebraska, section 25-3307 requires it to register with the Secretary of State. The application, which becomes a public record, has to give the Secretary of State enough information to evaluate the company’s character, fitness, and financial responsibility — whether the business will run on a level, above-board footing consistent with the purposes of the act.
To make that evaluation, the Secretary of State asks the company for its articles of incorporation, articles of organization, certificate of limited partnership, or other organizational documents; proof that it has registered a Nebraska registered agent; and proof of a surety bond or an irrevocable letter of credit from an authorized financial institution equal to double the amount of the company’s largest funding transaction in the past calendar year, or fifty thousand dollars, whichever is greater. A company can later apply to renew its registration using a form the Secretary of State prescribes, and that renewal application — also a public record — must contain current information covering everything an original registration requires.
Frequently Asked Questions
Can a company fund Nebraska consumers’ lawsuits without registering first?
No. Section 25-3307 states that a civil litigation funding company cannot engage in the business of nonrecourse civil litigation funding unless it has first registered under the act.
What has to be included in a registration application?
Enough information for the Secretary of State to evaluate the company’s character, fitness, and financial responsibility, including its organizational documents, proof of a Nebraska registered agent, and proof of a qualifying surety bond or letter of credit.
How large a bond or letter of credit does the section require?
An amount equal to double the company’s largest funding transaction in the past calendar year, or fifty thousand dollars, whichever is greater.
Is the registration application available to the public?
Yes. Both the original registration application and any renewal application are public records under this section.
How does a company renew its registration once it expires?
By submitting a renewal application, on a form the Secretary of State prescribes, containing current information on everything an original registration requires.
Who reviews a company’s character and fitness to be registered?
The Secretary of State, based on the materials submitted with the application.
Source & verification. Section text and the amendment-history citation are
reproduced verbatim from the Nebraska Legislature, Revisor of Statutes, enacted by the
Nebraska Legislature. Last verified July 22, 2026. ·
Official source
Also known as:lawsuit funding company registration Nebraskasecretary of state litigation funding licensesurety bond litigation funding companyregistered agent civil litigation funding