A growing concern in Washington is drawing new attention to how lawsuits are funded in the United States — and how much that funding is costing American families.

New economic research estimates that third-party litigation funding adds more than $54 billion each year to the U.S. economy, driving higher legal costs, higher insurance premiums, and higher prices for consumers. Those costs do not stay in the courtroom. They are passed along to families and employers across the country through the hidden tort tax

In November, federal lawmakers advanced legislation out of committee to limit foreign involvement in U.S. civil litigation. The proposal would restrict foreign governments and sovereign wealth funds from financing American lawsuits and increase transparency around third-party litigation funding.

Key provisions under consideration include:

• Banning foreign states and sovereign wealth funds from funding U.S. lawsuits

• Requiring disclosure of foreign funders in federal civil cases

• Mandating reporting on foreign involvement in third-party litigation

At a time when lawsuit abuse is already driving up costs for Texas families and employers, allowing foreign adversaries to quietly profit from U.S. courts only compounds the problem. Transparency and accountability matter — and Texas shouldn’t wait to act.