On December 19, 2025, New York Governor Kathy Hochul signed the Consumer Litigation Funding Act (A804-C/S1104A) into law. The new statute takes aim at abusive third-party litigation funding practices statewide.

The New York LLC Transparency Act (NYLTA) became effective January 1, 2026, and requires the disclosure of information concerning the beneficial owners of certain limited liability companies (LLCs) authorized to do business in New York. The NYLTA requires LLCs formed under the laws of a foreign country that are authorized to conduct business in New York to make certain beneficial ownership disclosures or to file an exemption form if they are deemed exempt from the disclosure requirement. At present, New York LLCs and LLCs that are formed in another state in the United States or in a U.S. territory, including Puerto Rico, that are authorized to do business in New York State, are exempt from the reporting requirements under the NYLTA.

2025 brought new developments to Connecticut labor and employment law. Changes have been made to the Connecticut Fair Employment Practices Act (CFEPA) as well as the Paid Sick Leave Law (CGS § 31-57r). The minimum wage in Connecticut has increased. Multiple impactful decisions were also issued this year by the Connecticut Appellate Court. An overview of these key updates is below.

2025 brought significant changes for Illinois employers, driven by new legislation and regulatory updates that will soon be in effect or were recently implemented. These developments will have a substantial impact on workplace policies and practices.

On December 19, 2025, Governor Kathy Hochul signed the “Avoiding Vexatious Overuse of Impleading to Delay (AVOID) Act” into law, drastically changing third-party practice in New York (see L 2025, ch 704; 2025 N.Y. Senate Bill S8071A; 2025 N.Y. Assembly Bill A08728). The AVOID Act amends Civil Practice Law and Rules (CPLR) § 1007 – the primary statute regulating third-party practice – by establishing new time limits for the commencement of third-party actions. The new law does not take effect for a few months, however, as discussed in further detail below. Attorneys, insurers, and risk management professionals should all familiarize themselves with the new standards before the effective date, so as to avoid potentially negative consequences flowing from a failure to comply.

On December 8, 2025 the Federal Trade Commission (“FTC”) sent what it is describing as a “Warning Letter” to companies that provide property management software to landlords (“Software Providers”). While the letter does not speak specifically to landlords, landlords can still use the information contained in the letter to adopt best practices to avoid potential enforcement action.