Session of 2025
SENATE BILL No. 242
By Committee on Judiciary
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AN ACT concerning contingent fee contracts for legal services; relating to
contracts entered into for legal services by a political subdivision;
requiring an open meeting before a political subdivision may approve
such a contract; requiring the attorney general to approve such contract
before it becomes effective.
Be it enacted by the Legislature of the State of Kansas:
Section 1. (a) A political subdivision may only enter into a contingent
fee contract for legal services if the governing body of the political
subdivision:
(1) Calls a meeting for the purpose of considering the contract and
provides, in the notice of the meeting issued pursuant to K.S.A. 75-4318,
and amendments thereto, the:
(A) Reasons for pursuing the matter that is the subject of the legal
services of which the attorney or law firm would be retained and the
desired outcome of pursuing the matter;
(B) qualifications, experience and competence of the attorney or law
firm selected by the governing body;
(C) nature of any relationship, regardless of how short, between the
political subdivision or governing body and the attorney or law firm that is
a party to the contract;
(D) reasons the legal services cannot be adequately performed by the
attorneys and supporting personnel of the political subdivision;
(E) reasons the legal services cannot be reasonably obtained from
attorneys under a contract providing for an hourly rate payment structure
as opposed to a contingency fee structure; and
(F) reasons entering into a contingent fee contract for legal services is
in the best interest of the residents of the political subdivision;
(2) makes a finding, in writing, that:
(A) There is a substantial need for the legal services that are the
subject of the contingent fee contract;
(B) the legal services cannot be adequately performed by the
attorneys and supporting personnel of the political subdivision; and
(C) the legal services cannot reasonably be obtained from attorneys
under a contract providing for an hourly rate payment structure because
the nature of the legal matter that is the subject of the contract or the
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political subdivision does not have the funds necessary to pay the
estimated cost of the legal services provided under a contract providing for
an hourly rate payment structure; and
(3) approves the contract in an open meeting after discussion and
consideration of the items described in paragraph (1).
(b) (1) Before a contingency fee contract for legal services approved
by a political subdivision pursuant to subsection (a) is effective and
enforceable, the political subdivision shall obtain approval of the contract
by the attorney general. The political subdivision shall provide to the
attorney general:
(A) A copy of the proposed contract;
(B) a description of the legal matter that is the subject of the proposed
contract;
(C) a copy of the notice issued pursuant to subsection (a)(1), the date
such notice was issued and a description of the method for providing such
notice;
(D) a copy of the written findings made pursuant to subsection (a)(2).
(2) Within 90 days after the political subdivision has provided the
attorney general with the information described in paragraph (1), the
attorney general shall:
(A) Approve the contract; or
(B) refuse to approve the contract and provide the political
subdivision with one of the following reasons for the refusal to approve:
(i) The legal matter that is the subject of the contract presents one or
more questions of law or fact that are in common with a matter the state
has already address or is pursuing;
(ii) pursuit of the legal matter by the political subdivision will not
promote the just and efficient resolution of the matter; or
(iii) the contract does not comply with the Kansas rules of
professional conduct for attorneys adopted by the Kansas supreme court.
(3) If the attorney general has not taken action on a contract pursuant
to paragraph (2) within 90 days after receipt, such contract shall be
deemed approved.
(c) In any judicial or quasi-judicial proceeding in which a political
subdivision is represented by an attorney providing legal services under a
contingent fee contract for legal services that does not comply with the
provisions of this section, the attorney general may appear in such
proceeding and request that the proceeding be dismissed. If the court or
quasi-judicial body concludes that the contract for legal services does not
apply with the provisions of this section, the court or quasi-judicial body
shall dismiss the matter without prejudice.
(d) Any contingent fee contract for legal services that was entered
into by a political subdivision prior to July 1, 2025, shall be submitted to
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the attorney general by the political subdivision on or before July 1, 2026.
The attorney general shall review the contract and approve or refuse to
approve the contract pursuant to subsection (b). Any judicial or quasi-
judicial proceeding that is ongoing involving a contingent fee contract for
legal services entered into by a political subdivision shall proceed unless
the attorney general appears in such proceeding as described in subsection
(c).
(e) As used in this section:
(1) "Contingent fee" means any fee that is contingent on the outcome
of the matter for which the service is rendered; and
(2) "political subdivision" means:
(A) A political or taxing subdivision of the state, including municipal
and quasi-municipal corporations, board, commissions, authorities,
councils, committees, subcommittees and other subordinate groups or
administrative units thereof, receiving or expending and supported, in
whole or in part, by public funds; and
(B) any municipality as defined in K.S.A. 75-1117, and amendments
thereto.
(f) The provisions of this section shall expire on July 1, 2029.
Sec. 2. This act shall take effect and be in force from and after its
publication in the statute book.
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