Kansas 2025-2026 Regular Session

Kansas Senate Bill SB242 Compare Versions

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11 Session of 2025
22 SENATE BILL No. 242
33 By Committee on Judiciary
44 2-6
55 AN ACT concerning contingent fee contracts for legal services; relating to
66 contracts entered into for legal services by a political subdivision;
77 requiring an open meeting before a political subdivision may approve
88 such a contract; requiring the attorney general to approve such contract
99 before it becomes effective.
1010 Be it enacted by the Legislature of the State of Kansas:
1111 Section 1. (a) A political subdivision may only enter into a contingent
1212 fee contract for legal services if the governing body of the political
1313 subdivision:
1414 (1) Calls a meeting for the purpose of considering the contract and
1515 provides, in the notice of the meeting issued pursuant to K.S.A. 75-4318,
1616 and amendments thereto, the:
1717 (A) Reasons for pursuing the matter that is the subject of the legal
1818 services of which the attorney or law firm would be retained and the
1919 desired outcome of pursuing the matter;
2020 (B) qualifications, experience and competence of the attorney or law
2121 firm selected by the governing body;
2222 (C) nature of any relationship, regardless of how short, between the
2323 political subdivision or governing body and the attorney or law firm that is
2424 a party to the contract;
2525 (D) reasons the legal services cannot be adequately performed by the
2626 attorneys and supporting personnel of the political subdivision;
2727 (E) reasons the legal services cannot be reasonably obtained from
2828 attorneys under a contract providing for an hourly rate payment structure
2929 as opposed to a contingency fee structure; and
3030 (F) reasons entering into a contingent fee contract for legal services is
3131 in the best interest of the residents of the political subdivision;
3232 (2) makes a finding, in writing, that:
3333 (A) There is a substantial need for the legal services that are the
3434 subject of the contingent fee contract;
3535 (B) the legal services cannot be adequately performed by the
3636 attorneys and supporting personnel of the political subdivision; and
3737 (C) the legal services cannot reasonably be obtained from attorneys
3838 under a contract providing for an hourly rate payment structure because
3939 the nature of the legal matter that is the subject of the contract or the
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7676 political subdivision does not have the funds necessary to pay the
7777 estimated cost of the legal services provided under a contract providing for
7878 an hourly rate payment structure; and
7979 (3) approves the contract in an open meeting after discussion and
8080 consideration of the items described in paragraph (1).
8181 (b) (1) Before a contingency fee contract for legal services approved
8282 by a political subdivision pursuant to subsection (a) is effective and
8383 enforceable, the political subdivision shall obtain approval of the contract
8484 by the attorney general. The political subdivision shall provide to the
8585 attorney general:
8686 (A) A copy of the proposed contract;
8787 (B) a description of the legal matter that is the subject of the proposed
8888 contract;
8989 (C) a copy of the notice issued pursuant to subsection (a)(1), the date
9090 such notice was issued and a description of the method for providing such
9191 notice;
9292 (D) a copy of the written findings made pursuant to subsection (a)(2).
9393 (2) Within 90 days after the political subdivision has provided the
9494 attorney general with the information described in paragraph (1), the
9595 attorney general shall:
9696 (A) Approve the contract; or
9797 (B) refuse to approve the contract and provide the political
9898 subdivision with one of the following reasons for the refusal to approve:
9999 (i) The legal matter that is the subject of the contract presents one or
100100 more questions of law or fact that are in common with a matter the state
101101 has already address or is pursuing;
102102 (ii) pursuit of the legal matter by the political subdivision will not
103103 promote the just and efficient resolution of the matter; or
104104 (iii) the contract does not comply with the Kansas rules of
105105 professional conduct for attorneys adopted by the Kansas supreme court.
106106 (3) If the attorney general has not taken action on a contract pursuant
107107 to paragraph (2) within 90 days after receipt, such contract shall be
108108 deemed approved.
109109 (c) In any judicial or quasi-judicial proceeding in which a political
110110 subdivision is represented by an attorney providing legal services under a
111111 contingent fee contract for legal services that does not comply with the
112112 provisions of this section, the attorney general may appear in such
113113 proceeding and request that the proceeding be dismissed. If the court or
114114 quasi-judicial body concludes that the contract for legal services does not
115115 apply with the provisions of this section, the court or quasi-judicial body
116116 shall dismiss the matter without prejudice.
117117 (d) Any contingent fee contract for legal services that was entered
118118 into by a political subdivision prior to July 1, 2025, shall be submitted to
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162162 the attorney general by the political subdivision on or before July 1, 2026.
163163 The attorney general shall review the contract and approve or refuse to
164164 approve the contract pursuant to subsection (b). Any judicial or quasi-
165165 judicial proceeding that is ongoing involving a contingent fee contract for
166166 legal services entered into by a political subdivision shall proceed unless
167167 the attorney general appears in such proceeding as described in subsection
168168 (c).
169169 (e) As used in this section:
170170 (1) "Contingent fee" means any fee that is contingent on the outcome
171171 of the matter for which the service is rendered; and
172172 (2) "political subdivision" means:
173173 (A) A political or taxing subdivision of the state, including municipal
174174 and quasi-municipal corporations, board, commissions, authorities,
175175 councils, committees, subcommittees and other subordinate groups or
176176 administrative units thereof, receiving or expending and supported, in
177177 whole or in part, by public funds; and
178178 (B) any municipality as defined in K.S.A. 75-1117, and amendments
179179 thereto.
180180 (f) The provisions of this section shall expire on July 1, 2029.
181181 Sec. 2. This act shall take effect and be in force from and after its
182182 publication in the statute book.
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