attorney general; counsel; fees

SB1701 - 572R - I Ver

REFERENCE TITLE:
attorney general; counsel; fees

State of Arizona

Senate

Fifty-seventh Legislature

Second Regular Session

2026

SB 1701

Introduced by

Senators
Sundareshan: Alston, Bravo, Diaz, Fernandez, Gonzales, Hatathlie, Kuby,
Miranda, Ortiz, Sears

AN
ACT

Amending sections 41-191 and 41-191.01,
Arizona Revised Statutes; repealing laws 2022, chapter 311, section 9; relating
to the attorney general.

(TEXT OF BILL BEGINS ON NEXT PAGE)

Be it enacted by the Legislature of the State of Arizona:

Section. 1. Section 41-191, Arizona Revised
Statutes, is amended to read:

START_STATUTE
41-191.

Attorney general; qualifications; salary; assistants; fees;
exceptions; outside counsel

A. The attorney general shall have been for not less
than five years immediately preceding the date of taking office a practicing
attorney before the supreme court of
the

this
state.
He
the
attorney general
is entitled to receive an annual salary pursuant to
section 41-1904.

B. The attorney general and
his
assistants
assistant attorneys general
shall
devote full time to the duties of the office and shall not directly or
indirectly engage in the private practice of law or in an occupation
conflicting with such duties, except:

1. Such prohibition shall not apply to special
assistants, except that
in no instance shall
special
assistants
shall not
engage in any private litigation in
which
the
this
state or an officer
thereof
of this state
in
his
the officer's
official capacity is a party.

2. Assistant
attorney
attorneys
general may, but in no circumstances shall be
required to, represent private clients in pro bono, private civil matters under
the following circumstances:

(a) The representation will be conducted exclusively
during off hours or while on leave and the attorney will not receive any
compensation for such services.

(b) The client is not seeking an award of attorney
fees for the services.

(c) The services are for an individual in need of
personal legal services who does not have the financial resources to pay for
the professional services or for a nonprofit, tax exempt charitable
organization formed for the purpose of providing social services to individuals
and families.

(d) The representation will not interfere with the
performance of any official duties.

(e) The subject matter of pro bono representation is
outside of the area of practice to which the attorney is assigned in the
attorney general's office and the activity will not appear to create a conflict
of interest.

(f) The activity will not reflect adversely on this
state or any of its agencies.

(g) The assistant attorney general's position will
not influence or appear to influence the outcome of any matter.

(h) The activity will not involve assertions that
are contrary to the interest or position of this state or any of its agencies.

(i) The activity does not involve a criminal matter
or proceeding or any matter in which this state is a party or has a direct or
substantial interest.

(j) The activity will not
utilize
use
resources that will result in a cost to this state or any
of its agencies.

(k) The attorney's supervisor may require the
attorney to submit a prior written request to engage in pro bono work
which
that
includes a provision holding
the agency harmless from any of the work undertaken by the
attorney.

Notwithstanding any provision of law or rule to
the contrary, representation by an attorney of a pro bono client shall not
disqualify the office from subsequently participating in any action affecting
the client.

C. The attorney general may also, within the limits
of appropriations made therefor, employ attorneys for particular cases
upon

on
a fixed fee basis who shall be
exempt from the restrictions imposed by this section
upon
on
regular or special assistants.

D. The attorney general may also, in suits to
enforce state or federal statutes pertaining to antitrust, restraint of trade,
or price-fixing activities or conspiracies, employ counsel on a
fixed
contingency
fee basis,
not to exceed an hourly rate of fifty dollars per hour, such fee to be
contingent upon and payable solely out of the recovery obtained in suits so
instituted,
except that where the court in which the case is pending has
the authority to set a fee in conjunction with a given case, and does so set a
fee, the court awarded fee
shall
may

be paid in lieu of the fee provided in this section.
contingency
fee contracts authorized pursuant to this subsection shall comply with chapter
48 of this title.
Employment and payment of counsel under
this subsection shall not be subject to the limitations imposed by title 35,
nor shall
counsel so
the
employed
counsel
be subject to the limitations on private practice or
litigation imposed
upon
on
regular
or special assistants.

E. If the attorney general determines that legal
action is reasonably necessary in order to collect a debt owed to this state or
its agencies, boards, departments or commissions, the attorney general may
retain or employ counsel to collect the debt. Counsel retained or
employed by the attorney general shall account for the entire amount
collected. A person retained as counsel under this subsection is not
subject to the limitations on private practice or litigation applicable to
regular or special assistants.

F. Notwithstanding any other law or
rule to the contrary, representation by an attorney of a pro bono client under
subsection B, paragraph 2 of this section shall not disqualify the office from
subsequently participating in any action affecting the client.

END_STATUTE

Sec. 2. Section 41-191.01, Arizona Revised Statutes, is amended to read:

START_STATUTE
41-191.01.

Procedure on recovery of money for antitrust violations

A. When money is
recovered for
the
this
state, its
agencies, its departments, commissions or subdivisions by the attorney general
as a result of the enforcement of either state or federal statutes pertaining
to antitrust, restraint of trade, or price-fixing activities or
conspiracies, whether by final judgment, settlement or otherwise, the funds
shall be deposited in the fund created in section 41-191.02.

B. After the payment of any attorney's fee provided
for by subsection D of section 41-191 and the crediting to the revolving
fund established by section 41-191.02 of an amount equal to
ten per cent
forty percent
of the monies
so
deposited or the actual costs and expenses expended to
recover the particular money
so
deposited, whichever is
greater, the remainder of the recovery shall be deposited in the general fund
of
the
this
state, unless the
recovery or a portion
thereof
of the
recovery
, was on behalf of a special or trust fund, in which event the
money should be deposited in
such
the

special or trust fund or unless the recovery was on behalf of a political
subdivision of
the
this
state, in
which event the remainder of the recovery shall be transmitted to the treasurer
of
such
the
political subdivision
for deposit in its general fund.
END_STATUTE

Sec. 3.
Repeal

Laws 2022, chapter 311, section 9 is
repealed.

Sec. 4.
Legislative intent

The legislature intends that section
41-191, Arizona Revised Statutes, as amended by this act, makes clarifying
changes only and does not constitute substantive changes to existing law.