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Lake Dallas ISD authorizes contingent‑fee legal agreements as part of multi‑district litigation; proceeds slated for student mental‑health services

3396930 · May 20, 2025
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Summary

Trustees approved a resolution authorizing contingent‑fee legal contracts with two firms to pursue multi‑district litigation; district counsel said contingency fees mean the district pays nothing unless recoveries occur and that any recovery would fund student mental‑health services.

The Lake Dallas ISD Board of Trustees adopted a resolution May 19 approving contingent‑fee legal services agreements related to multi‑district litigation and requested expedited review by the Texas attorney general, district officials said.

John Modica, chief operations officer, presented the resolution and said the agreements cover participation in next‑level, multi‑district litigation. Modica and other staff said the arrangements are contingency‑fee contracts: the district will not pay legal fees unless there is a successful recovery. "These are contingency fees. So the district at no point will be paying associated fees, regarding the litigation, regardless of the outcome," Modica said. He added that any restored funds would be used for student mental‑health services.

Board action: Trustee Baird moved to approve a resolution to submit the necessary findings for contingent fee legal services and request expedited review by the Texas Attorney General; Trustee Bartley seconded. The board later approved a contingent‑fee legal services agreement with specific law firms (Elan & Bonin, P.C., and O'Hanlon, Demerath & Castillo, P.C.) by motion of Mr. Smith and second of Mr. Tucker. Both motions carried unanimously.

Why it matters: Contingent‑fee litigation lets districts participate in coordinated legal efforts without up‑front legal expense; the district said it intends to dedicate any recovery to mental‑health services for students.

Limits: The transcript does not include the litigation’s underlying claims, the firms’ fee percentages or the draft contract text. Trustees were presented the resolution and the agreement for approval and directed staff to file the required documents with the Attorney General for review.

Sources: Chief Operations Officer John Modica’s remarks and the board’s recorded motions on May 19.