Supreme Court considers state lawyer contingency fees
JACKSON – A three-justice panel of the Mississippi Supreme Court heard arguments Wednesday on whether the Legislature has a role to play in compensating private lawyers hired by the attorney general to pursue lawsuits on behalf of the state.
Fred Krutz of Jackson, who represents a group of attorneys awarded $14 million for their work to collect more than $100 million for the state, told the Supreme Court justices no attorney would work for the state if they had to depend on the Legislature for compensation.
Krutz said the state “could get the benefit of the contract (with the private attorney) and then renege on paying all the fees.”
The issue is before the Supreme Court because state Auditor Stacey Pickering filed a lawsuit demanding that a group of attorneys return the compensation they received for suing to collect taxes owed the state in connection with the bankruptcy of then-Missisisppi based telecommunications giant WorldCom, now MCI.
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6/9/11