A little over a year after the Texas Appeals Court rejected Texas Attorney General Ken Paxton's argument that the state's Whistleblower Act does not apply to whistleblowers reporting violations of law committed elected officials, AG Paxton has agreed to a tentative settlement that will leave the Appeals Court's ruling in place and provide monetary compensation to four former AG employees. The settlement was revealed in a Texas Supreme Court filing on February 10, 2023, which asked the Texas Supreme Court to defer consideration of Paxton's pending appeal until the settlement could be finalized.
AG Paxton explained the decision as a "path to save taxpayer dollars" although, under the proposed terms of the settlement, it is the Texas taxpayers who will be funding the $3.3 million settlement payment subject to the legislature's approval. State representatives controlling the House Judiciary and Civil Jurisprudence Committee, who would need to approve the $3.3 million payment from state coffers, have publicly stated that they intend to ask further questions of AG Paxton as part of the approval process.
The proposed settlement terms also include an apology by Paxton for referring to the whistleblowers as "rogue employees" and an acknowledgement by Paxton that the employees were intending to act in the public interest. AG Paxton's immediate comments on the settlement were not especially apologetic, as he referred to the lawsuit as an "unfortunate sideshow" and an "unnecessary...
Foley partner Lisa Noller, Chair of the Firm’s Litigation Department, will be speaking at the American Bar Association’s Qui Tam & Civil False Claims and Healthcare Fraud Institute in Washingt...