Title 12 — Banks and BankingRelease 119-73

§4241 Authority to enter into contracts for private counsel

Title 12 › Chapter CHAPTER 43— - ACTIONS AGAINST PERSONS COMMITTING BANK FRAUD CRIMES › Subchapter SUBCHAPTER III— - USE OF PRIVATE LEGAL RESOURCES › § 4241

Last updated Apr 6, 2026|Official source

Summary

The Attorney General may hire private lawyers to handle investigations, negotiations, settlements, lawsuits, and enforcing judgments in certain civil cases. Contracts must include the required terms from the law and any other protections the Attorney General thinks are needed. Fees cannot exceed typical local contingency rates and must be paid as a percentage from the penalties or assets recovered, even if another law says otherwise.

Full Legal Text

Title 12, §4241

Banks and Banking — Source: USLM XML via OLRC

(a)The Attorney General may enter into contracts retaining private counsel to furnish legal services, including representation in investigation, negotiation, compromise, settlement, litigation, and execution of judgments in the case of any civil action referred to in section 4201 of this title or section 4225 of this title.

(b)Each contract under subsection (a) shall include the provisions described in section 4244 of this title and such other terms and conditions as the Attorney General considers necessary and appropriate to protect the interests of the United States.

(c)The amount of the contingency fee payable for legal services furnished under a contract described in subsection (a) shall not exceed the contingency fee that counsel engaged in the private practice of law in the jurisdiction wherein the legal services are furnished typically charge clients for furnishing the same or comparable legal services.

(d)Notwithstanding section 3302(b) of title 31, a contract under this section shall provide that a fee that the United States pays private counsel for services is payable from the amount recovered and shall be based on a percentage of the civil penalties or assets recovered.

Reference

Citations & Metadata

Citation

12 U.S.C. § 4241

Title 12 — Banks and Banking

Last Updated

Apr 6, 2026

Release point: 119-73