CS/HB 437

1	A bill to be entitled
2	An act relating to contingency fee agreements between the
3	Department of Legal Affairs and private attorneys;
4	creating s. 16.0155, F.S.; providing definitions;
5	prohibiting the Department of Legal Affairs of the Office
6	of the Attorney General from entering into a contingency
7	fee contract with a private attorney unless the Attorney
8	General makes a written determination prior to entering
9	into such a contract that contingency fee representation
10	is both cost-effective and in the public interest;
11	requiring that such written determination include certain
12	findings; requiring that the Attorney General, upon making
13	his or her written determination, request proposals from
14	private attorneys to represent the department on a
15	contingency-fee basis unless the Attorney General
16	determines in writing that requesting such proposals is
17	not feasible under the circumstances; providing that the
18	written determination does not constitute a final agency
19	action that is subject to review; providing that the
20	request for proposals and contract award are not subject
21	to challenge under the Administrative Procedure Act;
22	requiring that a private attorney maintain detailed
23	contemporaneous time records with regard to work performed
24	on the matter by any attorneys or paralegals assigned to
25	the matter in specified increments; requiring that a
26	private attorney provide such record to the department
27	upon request; limiting the amount of a contingency fee
28	that may be paid to a private attorney pursuant to a
29	contract with the department; requiring that copies of any
30	executed contingency fee contract and the Attorney
31	General's written determination to enter into such
32	contract be posted on the department's website within a
33	specified period after the date on which the contract is
34	executed; requiring that such information remain posted on
35	the website for a specified duration; requiring that any
36	payment of contingency fees be posted on the department's
37	website within a specified period after the date on which
38	payment of such contingency fees is made to the private
39	attorney; requiring that such information remain posted on
40	the website for a specified duration; requiring that the
41	Attorney General report to the Legislature on the use of
42	contingency fee contracts with private attorneys;
43	providing an effective date.
44
45	Be It Enacted by the Legislature of the State of Florida:
46
47	Section 1.  Section 16.0155, Florida Statutes, is created
48	to read:
49	16.0155  Contingency fee agreements.-
50	(1)  As used in this section, the term:
51	(a)  "Department" means the Department of Legal Affairs.
52	(b)  "Private attorney" means any private attorney or law
53	firm.
54	(2)  The department may not enter into a contingency fee
55	contract with a private attorney unless the Attorney General
56	makes a written determination prior to entering into such a
57	contract that contingency fee representation is both cost-
58	effective and in the public interest. Any written determination
59	shall include specific findings for each of the following
60	factors:
61	(a)  Whether there exist sufficient and appropriate legal
62	and financial resources within the department to handle the
63	matter.
64	(b)  The time and labor required; the novelty, complexity,
65	and difficulty of the questions involved; and the skill
66	requisite to perform the attorney services properly.
67	(c)  The geographic area where the attorney services are to
68	be provided.
69	(d)  The amount of experience desired for the particular
70	kind of attorney services to be provided and the nature of the
71	private attorney's experience with similar issues or cases.
72	(3)  If the Attorney General makes the determination
73	described in subsection (2), notwithstanding the exemption
74	provided in s. 287.057(5)(f) the Attorney General shall request
75	proposals from private attorneys to represent the department on
76	a contingency-fee basis, unless the Attorney General determines
77	in writing that requesting proposals is not feasible under the
78	circumstances. The written determination does not constitute a
79	final agency action subject to review pursuant to ss. 120.569
80	and 120.57. For purposes of this subsection only, the department
81	is exempt from the requirements of s. 120.57(3), and neither the
82	request for proposals nor the contract award are subject to
83	challenge pursuant to ss. 120.569 and 120.57.
84	(4)  In addition to the requirements set forth in s.
85	287.059(16), any private attorney shall maintain detailed
86	contemporaneous time records for the attorneys and paralegals
87	working on the matter in increments of no greater than 1/10 of
88	an hour and shall promptly provide these records to the
89	department, upon request.
90	(5)  Notwithstanding s. 287.059(7)(a), the department may
91	not enter into a contingency fee contract that provides for the
92	private attorney to receive an aggregate contingency fee in
93	excess of:
94	(a)  Twenty-five percent of any recovery of up to $10
95	million; plus
96	(b)  Twenty percent of any portion of such recovery between
97	$10 million and $15 million; plus
98	(c)  Fifteen percent of any portion of such recovery
99	between $15 million and $20 million; plus
100	(d)  Ten percent of any portion of such recovery between
101	$20 million and $25 million; plus
102	(e)  Five percent of any portion of such recovery exceeding
103	$25 million.
104
105	In no event shall the aggregate contingency fee exceed $50
106	million, exclusive of reasonable costs and expenses, and
107	irrespective of the number of lawsuits filed or the number of
108	private attorneys retained to achieve the recovery.
109	(6)  Copies of any executed contingency fee contract and
110	the Attorney General's written determination to enter into a
111	contingency fee contract with the private attorney shall be
112	posted on the department's website for public inspection within
113	5 business days after the date the contract is executed and
114	shall remain posted on the website for the duration of the
115	contingency fee contract, including any extensions or amendments
116	thereto. Any payment of contingency fees shall be posted on the
117	department's website within 15 days after the payment of such
118	contingency fees to the private attorney and shall remain posted
119	on the website for at least 365 days thereafter.
120	(7)  By February 1 of each year, the Attorney General shall
121	submit a report to the President of the Senate and the Speaker
122	of the House of Representatives describing the use of
123	contingency fee contracts with private attorneys in the
124	preceding calendar year. At a minimum, the report shall:
125	(a)  Identify all new contingency fee contracts entered
126	into during the year and all previously executed contingency fee
127	contracts that remain current during any part of the year, and
128	for each contract describe:
129	1.  The name of the private attorney with whom the
130	department has contracted, including the name of the attorney's
131	law firm;
132	2.  The nature and status of the legal matter;
133	3.  The name of the parties to the legal matter;
134	4.  The amount of any recovery; and
135	5.  The amount of any contingency fee paid.
136	(b)  Include copies of any written determinations made
137	under subsection (2) during the year.
138	Section 2.  This act shall take effect July 1, 2010.
139

CODING: Words stricken are deletions; words underlined are additions.