AUSTIN – Although Ken Paxton fled Texas as Winter Storm Uri froze the state, the attorney general just can’t seem to escape the heat, as a coalition of groups are questioning his need for $43 million in taxpayer funds to sue Google.
On Monday, the National Taxpayers Union, along with several other organizations, sent a letter to Gov. Greg Abbott, Lt. Gov. Dan Patrick and Speaker of the House Dade Phelan.
Essentially, the letter expresses concerns over Paxton’s request to the Texas Legislature for $43 million to compensate the outside lawyers he hired to pursue an antitrust lawsuit against Google and urges lawmakers to reject the request. Earlier this week, Paxton's office testified on the agency's proposed budget requests.
Back in December, Paxton announced Texas was leading a multistate coalition in litigation against Google, alleging the company monopolized products and services used by advertisers and publishers in online-display advertising.
To help the state break up the alleged monopoly, Paxton’s office hired two notable law firms, Keller Lenkner (a Chicago firm) and The Lanier Law Firm.
According to the contingent contracts, for every hour the outside attorneys spend working on the case, they stand to make $3,780 per hour.
Reportedly, the original plan was for the Attorney General’s Office was to litigate the suit against Google, but an internal upheaval over an alleged bribery scandal occurred beforehand.
And even though Paxton’s office still employs more than 4,000 individuals, including nearly 750 attorneys, the attorney general maintains his remaining people can’t handle the case.
“We are particularly concerned by reports that although the lawsuit was supposed to have been handled internally, without the need for expensive outside legal counsel, those resources are no longer available,” the coalition’s letter states.
“As legislators are challenged to decide which key state programs will be cut or reduced to comply with Texas’ balanced budget requirement, it is unacceptable that a request to fund $43 million in outside attorneys fees would even be considered.”
Considering the economic damage caused by the pandemic shutdown and Uri, the coalition is calling Paxton’s request “irresponsible” and one that needs to be rejected.
“Massive lawsuits from the Department of Justice as well as 38 states are already underway,” the letter states. “Spending $43 million in Texas taxpayers’ money will not appreciably change this dynamic. Especially during difficult times such as these, it is critical that taxpayers and consumers are at the center of antitrust enforcement.”
The other groups belonging to the coalition include the Lone Star Policy Institute, the Center for Freedom and Prosperity, Competitive Enterprise Institute, NetChoice and the Taxpayers Protection Alliance.