BLANCHE Act of 2026

This Act may be cited as the “Block Lawless Agreements and Nullify Corrupt Handouts and Emoluments Act of 2026” or the “BLANCHE Act of 2026”.

(a) In general.— Chapter 161 of title 28, United States Code, is amended by inserting after section 2414 the following:

“2414a. Compromise settlements between the President and the United States.—

(a) Prohibition.— In the case of any administrative claim, civil action, or other claim against the United States filed by the President (including a claim or civil action filed by an individual who assumed the Office of the President while such claim is pending), a covered agreement resolving such claim or action may not be entered into, and no action pursuant to such covered agreement may be taken, if, pursuant to such covered agreement— would receive any payment by the United States, in cash or in kind, including for damages, reimbursement, or attorneys' fees.

(1) the President (including after the President leaves office), or

(2) any third party, at the direction of the President,

(b) Invalidity.— In the case of any administrative claim, civil action, or other claim against the United States filed by the President (including a claim or civil action filed by an individual who assumed the Office of the President while such claim is pending), any covered agreement to resolve such claim or action is void ab initio unless such covered agreement is the subject of a court order giving it effect. A court of the United States may not issue such an order unless—

(1) the President, if no such civil action has been filed, files a civil action before the court and files the proposed terms of the covered agreement with the court; and

(2) the court conducts a hearing on the proposed terms of the covered agreement, with presentation of evidence by the parties, and thereafter enters the order giving effect to the terms of the covered agreement, that includes explicit findings of the court that—

(A) the parties to the action are adverse;

(B) the action was not brought to force a covered agreement with the United States;

(C) the United States made a good faith effort to explore available defenses to the claims at issue and has a reasonable legal basis for its decision to enter into the covered agreement;

(D) the covered agreement is not—

(i) collusive; or

(ii) the perpetration of a fraud on the court; and

(E) the covered agreement is in the interest of justice.

(c) Covered agreement defined.— In this section, the term covered agreement means any settlement agreement, consent decree, compromise settlement, or other agreement to resolve an administrative claim, civil action, or other claim against the United States.

(d) Applicability.— This section shall apply to any covered agreement between the President and the United States concluded before, on, or after the date of enactment of this section.”.

(b) Clerical amendment.— The table of sections for chapter 161 of title 28, United States Code, is amended by inserting after the item related to section 2414 the following: