The author of legislation broadly targeting the litigation financing industry narrowed her bill late Tuesday, addressing the chief complaints of the plaintiffs bar.

State Sen. Anna Caballero’s SB 581 will now apply only to so-called nonrecourse financiers, those companies that provide money to small-scale litigants to cover personal expenses in exchange for a percentage of any judgments or settlements they secure. The bill had previously not distinguished between consumer financing companies and larger lawsuit investors, such as Burford Capital.

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