The Billion-Dollar Shadow Behind Nuclear Verdicts: Why HR 1109 Got Cut from the 2025 Tort Reform Bill
Let’s talk about a major reason trucking insurance is out of control. And no, it is not just bad driving or claim counts.
It is something most people have never even heard of.
It is called third party litigation funding, or TPLF.
What Is TPLF?
TPLF is when outside investors pay for lawsuits they have nothing to do with. Think hedge funds and private equity firms.
They fund the case. If it wins, they get a cut of the settlement. If it loses, they walk away with zero risk.
And here is the kicker. No one has to tell the court they were ever involved!
That means trucking companies are walking into court completely unaware that a major investor is sitting quietly in the background, waiting to profit off the outcome.
Why It Matters to Trucking
Because this is how we end up with nuclear verdicts.
When there is big money backing the plaintiff, the case drags on. The other side hires expensive experts. Emotional courtroom tactics ramp up. And the goal is no longer fairness. It is a payout.
And who pays?
You do. Through higher premiums. Fewer carrier options. More risk of getting dropped.
HR 1109 Tried to Fix It
The Litigation Transparency Act of 2025, also known as HR 1109, was a simple solution.
If someone is funding a lawsuit, they must disclose it.
That is it. No bans. No punishments. Just basic honesty.
The bill had bipartisan support. But it never got a vote.
What Happened?
The same thing that always happens when money is involved.
Trial lawyers and litigation funders lobbied hard to keep things hidden. They did not want the courts or the public knowing who was really behind these cases.
So HR 1109 got pulled. Quietly. No headlines. No transparency.
What That Means for Trucking
You are still walking into lawsuits blind.
The other side could be backed by millions. You have no idea. And the jury does not know either.
When the verdict hits, the funder collects. And you are the one left holding the bag.
Premiums go up. Some companies close. Others downsize just to survive.
The Bottom Line
HR 1109 did not pass. But it should have.
Because TPLF is not about fairness. It is about profit. And until it is brought into the light, trucking companies will keep paying the price.
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What You Can Do
If you drive, own a fleet, or insure one, this affects you.
We need to speak up.
Find your elected officials:
https://www.house.gov/representatives
https://www.senate.gov
Email them directly. Use this template:
Subject: Support Litigation Transparency in Civil Cases
Dear [Representative or Senator Last Name],
I am writing to ask you to support legislation that requires transparency in third party litigation funding.
As someone in the trucking industry, I have seen how undisclosed lawsuit funding drives up nuclear verdicts and insurance costs. These investors are not involved in the case, but they profit when verdicts are inflated. And they never have to disclose their role.
The Litigation Transparency Act of 2025 (HR 1109) offered a simple fix. If someone funds a lawsuit, they should have to disclose it. That kind of transparency is long overdue.
Please support any future legislation that brings fairness and accountability to civil litigation.
Sincerely,
[Your Name]
[City, State]
[Optional: Business name or role]
Every voice matters. If we want the rules to change, we have to call out what is broken.
Because lawsuits should not be investment opportunities. And the courtroom should not be a business model.
Email us: info@trucku.biz
