The Delaware federal court imposed third-party funder disclosure in 2022, contributing to a 41% decline in patent filings in its district over the following two years, compared with a 15% nationwide decrease. Yet the Delaware Court of Chancery has not adopted a comparable general rule, leaving judges and litigants unaware of funders’ identities and possible influence over litigation strategy or settlements. The global market, estimated at $20.6 billion in 2025, can prolong cases, distort competition and introduce foreign interests, including Chinese interests, creating national security concerns as well. The article concludes that the Court of Chancery should require disclosure at the outset of every case of whether a funder exists, its identity and whether it controls strategy or settlement, following the example set by Chief Judge Colm Connolly.
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