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Harlandale ISD board votes to join class-action lawsuit against social media companies, approves contingency-fee contract
Summary
Trustees authorized joining a class-action litigation over social media harms and approved a contingency-fee agreement with JCA Law PLLC and Guerra LLP, with the district to receive the majority share of any recovery, trustees were told.
Harlandale ISD trustees voted to join an ongoing class-action lawsuit against social media companies and approved a contingency-fee legal agreement with outside firms JCA Law PLLC and Guerra LLP to represent the district, the board announced at a public meeting.
Outside counsel Juan (Mr.) Cruz explained to trustees that the proposed litigation alleges social media platforms have exposed students to harmful materials and increased school costs — such as counseling and filtering — and that the class action seeks to hold the platforms accountable. "Contingency fee basically means that the school district does not pay an hourly rate. The school district only pays at the conclusion of the litigation based upon a percentage of whatever is recovered either through judgment or settlement," Cruz told the board.
Trustees voted to authorize joining the litigation (agenda item 9a). They then approved a contingency-fee legal-services agreement with the firms JCA Law PLLC and Guerra LLP (agenda item 9b); board materials and counsel outlined the proposed fee split and expense treatment. Counsel said that, under the agreement as described in closed session, roughly 65% of any recovery would go to the school district and 35% to the law firms; certain class-action team expenses (described on the record as roughly 8%) would be incurred by the law firms, with smaller expenses (described on the record as roughly 2%) identified as district-incurred costs.
A trustee asked whether the district would owe fees if the case were lost; counsel answered on the record that the district would not pay fees under the contingency arrangement if there is no recovery. The board directed staff and counsel to make a public PowerPoint available on the district website summarizing the litigation and the contingency-fee arrangement.
Actions recorded in the meeting minutes show the board approved both agenda items; the transcript records "motion carries" for both votes but does not include a roll-call tally in the public excerpt.
The board meeting record does not include settlement terms or determine litigation strategy; the motions authorize district participation and execution of the contingency agreement by the board president, as presented during closed session.
