ACROSS THE BOARD

Tips for Hiring an Attorney and Reducing the of a Lawsuit

By Dr. Ted Flickinger, CLP
IAPD Executive Director

Money Savings Tips for Hiring an Attorney to Represent Your Park District

Lawyers don't come cheap, but in today's economy they are much more competitive and some will be receptive to money saving payments from park districts. However, before you negotiate with attorneys, you must understand one basic point: It's no bargain to hire an attorney who lacks experience in park district law or who is rarely accessible.

Fred S. Steingold practices law in Ann Arbor, Michigan, and is the author of "The Legal Guide for Starting and Running a Small Business," published by Nolo Press. Some of his ideas might be adaptable to park districts.

1. Volume Discounts. An attorney who regularly charges $125 an hour might charge $100 an hour if you guarantee 80 hours of legal work. If your attorney represents more than one park district, you should explore with the attorney sharing costs with other agencies for research or other work products of common interest or concern.

2. Contingent Fees. If you're trying to collect a bill or obtain compensation for a broken contract, maybe your attorney will accept a contingent fee which is usually one-third of the money recovered — only if he collects the money due. However, the attorney will expect out-of-pocket costs. As an alternative, some attorneys might consider charging one-half of their regular fee per hour, plus 20 percent of the monies recovered.

3. Fixed Fees. This is usually appropriate for the completion of a specific legal project. Instead of an hourly fee, the park district would agree to a fixed amount to handle a transaction. For some transactions, your attorney has collected a library of legal forms that can be adapted to your park district.

4. Ceilings. This is a situation where your attorney will agree to charge on an hourly basis, but not to exceed a predetermined ceiling on fees. We caution that such a ceiling system works well only if you clearly define the total job your attorney is expected to complete. The attorney will absorb the extra time if a job takes longer than expected.

5. Budgets. Some attorneys will not work with ceilings, but they will provide you with a budget of the estimated costs associated with various steps in stages of a case or project (such as investigation, research, preparation of lawsuit papers, pre-trial discovery and trial). Some procedures are more important than others, and your attorney can advise you as to where time and money can be saved.

6. Retainers. Some attorneys will agree to be on call, attend board meetings and other duties for a flat, monthly fee. IAPD has a list of attorneys who have extensive experience and expertise in park district law.

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• Illinois Parks & Recreation
• March/April 1994

ACROSS THE BOARD

Reducing the Risk of a Lawsuit

Although there is no magic formula for preventing a lawsuit, boards can take several precautions to reduce the likelihood of being sued. Here are a few tips.

1. Insist on complete and accurate minutes. Minutes are a legal record, and accuracy is of utmost importance. They should identify the agency, the date, the time and place of the meeting, the names of the board members recorded as either present or absent, a general description of all matters discussed or decided, and a record of any vote taken.
   • Minutes may be corrected at any time by board members who were present at the meeting and are still in office.
   • Nothing should be erased from the minutes; corrections are made in the margins or on an amendment sheet that is attached to the minutes.
   • A withdrawn motion is not recorded in the minutes.
   • If practical, have all motions made in writing.
   • Minutes are usually approved by general consent.
   • When minutes are approved, the word "approved," the secretary's initials, and the date of approval are written in the record book or on the minutes. The secretary should initial the amendment page as well.
   • Minutes of a special meeting are approved at the next regular meeting, but minutes of a regular meeting are not approved at a special meeting.
2. Provide your legal counsel with board meeting materials to permit responsible review, corrections and comments prior to the board meeting. Your attorney should be invited to board meetings when it appears that legal opinions will need to be rendered on agenda items.
3. Insist that committees keep minutes and offer full but succinct reports at board meetings.
4. Require that the chief executive report all potential problems, especially those that relate to legal issues.
5. Review state laws for open meetings regulations and requirements to publicize board meetings.
6. Know the laws pertaining to board responsibilities (Open Meetings Act, Truth in Taxation, etc.).
7. Require submission of all financial control documents (tax levy and budget/appropriation ordinances, etc.) to legal counsel for approval as to form before adoption.
8. Indemnify board members.
9. Bond all staff who handle money.
10. Review with legal counsel and risk manager the desirability of board and directors errors and admissions insurance.
11. Insist on a sound agency risk management program.
12. Review the adequacy of the agency's insurance program.
13. Review board policies annually.

NOTE: The author wishes to recognize Charlene Holtz, Partner in Friedman and Holtz, and Peter Murphy, IAPD General Counsel for their legal review of the above information.

Illinois Parks & Recreation • March/April 1994 • 7