Navigating the Legal Landscape of Surrogacy: What Agencies Must Know

Surrogacy is more than a legal process—it’s a deeply human journey filled with hope, resilience, and the profound desire to build families. At International Reproductive Law Group (IRLG), we recognize the incredible dedication of surrogacy agencies in guiding intended parents and surrogates through this life-changing experience. Our role is to support you in that mission by ensuring the legal side is not a barrier, but a bridge to a successful and joyous outcome.

The absence of federal surrogacy laws in the United States has created a complex patchwork of state regulations. But rather than seeing this as a challenge, we see it as an opportunity—to craft tailored legal solutions that honor each family’s unique path to parenthood. With decades of experience, our team has worked hand-in-hand with surrogacy professionals, celebrating the victories of parents and surrogates alike as they navigate these legal landscapes with confidence.

This guide distills our knowledge into practical insights, helping you anticipate legal nuances, avoid common pitfalls, and create a seamless experience for the families you support. With the right preparation and legal partnership, surrogacy agencies can empower intended parents to focus on what truly matters: the extraordinary journey of bringing new life into the world.

Alone, we can do so little; together, we can do so much.” – Helen Keller

The Patchwork of U.S. Surrogacy Laws: A Complex Legal Quilt

The legal landscape for surrogacy in the United States resembles an intricate patchwork quilt—where each jurisdiction forms a distinct patch with its own pattern, texture, and rules. This mosaic of legal frameworks creates not just state-by-state variations, but a complex tapestry where adjacent jurisdictions may have dramatically opposing approaches.

The Spectrum of Approaches

This legal patchwork spans the full spectrum of possibilities:

  • Permissive Jurisdictions form "green patches" with comprehensive statutory frameworks that explicitly authorize and protect surrogacy arrangements. These regions offer clear pathways to establishing parentage and enforcing surrogacy contracts.

  • Moderately Supportive Jurisdictions create "yellow patches" where surrogacy is practiced but with fewer explicit protections. These areas may rely on case law rather than statutes, creating less certainty but generally workable conditions.

  • Restrictive Jurisdictions represent "red patches" where surrogacy faces significant legal obstacles. Some regions impose criminal penalties for compensated surrogacy, while others restrict certain arrangements or limit who can participate.

Silent Jurisdictions form "gray patches" where no specific legislation or case law addresses surrogacy directly. In these areas, legal outcomes depend heavily on judicial interpretation and discretion.

The Seams Between Jurisdictions

The complexity of this patchwork becomes most apparent at the "seams" where jurisdictions meet. A surrogacy arrangement might involve:

  • An embryo created in a surrogacy-friendly jurisdiction.

  • A surrogate residing in a region with ambiguous surrogacy laws.

  • Intended parents living in yet another area with different parentage presumptions.

  • A birth potentially occurring in any of these locations.

Each transition across state lines introduces new legal considerations, potentially unraveling arrangements that seemed secure under one jurisdiction's laws. Just as a quilter must carefully join different fabrics with strong stitching, surrogacy arrangements spanning multiple jurisdictions require careful legal "seams" to hold the arrangement together.

The Evolving Pattern

This legal patchwork is not static but constantly evolving. Jurisdictions that once prohibited surrogacy have reformed their laws to become more supportive. Others continue to debate legislation that could dramatically alter their approach. This dynamic nature means that even experienced agencies must continuously monitor legal developments to ensure compliance.

The patchwork metaphor extends beyond just geographic variation—it also encompasses the interaction between different legal domains that affect surrogacy, including:

  • Family law governing parentage.

  • Contract law determining enforceability.

  • Health law regulating medical procedures.

  • Insurance regulations affecting coverage.

  • Interstate commerce considerations for cross-border arrangements.

Successfully navigating this complex legal quilt requires understanding not just the individual "patches" of regional law, but how they interact and what happens at the critical "seams" between jurisdictions. IRLG specializes in creating legal strategies that account for these complexities, ensuring that intended parents and surrogates don't fall through the cracks in this intricate legal patchwork.

Common Legal Pitfalls to Avoid

Our extensive experience in advising surrogacy arrangements has revealed several recurring challenges that agencies and intended parents should address proactively:

A. Cross-Border Complications

Surrogacy arrangements frequently span multiple states. If either the surrogate or intended parents relocate during the process, jurisdictional changes can disrupt established legal proceedings. Agencies should ensure that contracts comprehensively address:

  • Relocation clauses that clearly define the legal implications of moving mid-pregnancy.

  • Appropriate adaptations to pre-birth versus post-birth orders based on state-specific requirements.

  • Robust legal safeguards to protect the intended parents' rights regardless of location changes.

B. Contract Inadequacies

Many parties rely on template contracts that fail to address jurisdiction-specific legal requirements, exposing all participants to unnecessary risk. Comprehensive agreements should explicitly cover:

  • Compensation structures that comply with the specific legal requirements of the relevant jurisdiction.

  • Clear pathways for parental rights recognition and necessary post-birth legal procedures.

  • Explicit provisions regarding medical decision-making authority.

  • Effective dispute resolution mechanisms aligned with applicable state laws.

C. Insurance Gaps

Insurance coverage for surrogacy varies significantly, and coverage gaps create substantial financial risks. Essential considerations include:

  • Whether the surrogate's health insurance covers surrogacy-related medical care.

  • Coverage for NICU and other post-birth medical needs.

  • The potential necessity of supplemental insurance policies to address coverage gaps.

Best Practices for Ensuring Legally Sound Surrogacy Arrangements

We recommend these key strategies for building a resilient surrogacy agency. Legal challenges in this field can emerge rapidly, threatening not only individual arrangements but an agency's entire operation. Implementing these best practices can significantly reduce legal vulnerabilities and create a foundation for sustainable growth.

1. Engage Specialized Reproductive Law Counsel Early

  • Address legal considerations before finalizing matches to ensure compliance with applicable laws.

  • Recognize that not all states have explicit surrogacy statutes—some rely on case law or judicial discretion, requiring specialized legal expertise.

2. Implement Jurisdiction-Specific Screening Protocols

  • Understand state-specific requirements regarding residency, pregnancy history, and financial eligibility.

  • Be aware that some jurisdictions impose restrictions based on government assistance status.

3. Customize Contracts Based on Jurisdictional Requirements

  • Ensure that compensation structures, parental rights provisions, and decision-making authority align with governing law.

  • Include comprehensive contingency planning for unforeseen circumstances.

4. Monitor Participant Relocations to Prevent Jurisdictional Conflicts

  • Recognize that a surrogate's relocation to another state may necessitate changes to legal parentage procedures.

  • Develop proactive strategies to navigate potential jurisdictional shifts.

5. Develop Relationships with Local Reproductive Law Specialists

  • While IRLG provides national expertise, local counsel offers valuable insights into state-specific procedures, judicial tendencies, and hospital protocols.

6. Train Agency Staff on Surrogacy Legal Fundamentals

  • Ensure staff understand the legal implications of surrogacy across different jurisdictions.

  • Implement robust documentation and compliance procedures to mitigate legal risks.

7. Maintain Comprehensive Documentation for Legal Protection

  • Store records securely in compliance with relevant privacy laws, including HIPAA.

  • Thorough documentation helps minimize legal vulnerabilities and demonstrates compliance with state-specific requirements.

How International Reproductive Law Group Can Help

IRLG offers intended parents and agencies comprehensive legal support, including:

  • Thorough legal risk assessments for proposed surrogacy arrangements to identify and mitigate potential legal pitfalls before they arise.

  • Customized contract drafting and review services to ensure that all agreements align with the legal frameworks of the relevant jurisdictions while protecting the rights of all parties involved.

  • Expert guidance on jurisdiction-specific regulatory compliance, ensuring that surrogacy arrangements adhere to the latest legal requirements and judicial interpretations.

  • Ongoing legal support and consultation, equipping agencies and intended parents with the knowledge they need to make informed decisions throughout the surrogacy process.

Successfully navigating the legal complexities of surrogacy requires meticulous planning and specialized legal expertise. By implementing these best practices, agencies and intended parents can minimize legal exposure and focus on their primary goal: building families.

Contact IRLG today to learn how we can help you navigate the U.S. surrogacy landscape with confidence.

Eliseo Arebalos