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Saturday, May 2, 2026

Proposed $3.3 million settlement in whistleblower lawsuit against Texas AG Ken Paxton in jeopardy - WFAA.com

The lawsuit against Paxton accused him of firing the former employees after they alleged he committed criminal acts, according to past court filings.

AUSTIN, Texas — A proposed multi-million-dollar settlement between Texas Attorney General Ken Paxton and four former employees who filed a whistleblower lawsuit is in danger of unraveling.

The whistleblowers filed a motion Wednesday asking the Texas Supreme Court agree to allow the lawsuit to proceed because, they say, the Office of the Attorney General will not agree that the legislature would have to approve the settlement during this current session.

“That was the fundamental premise upon which they asked us to negotiate in the first place,” attorneys representing the whistleblowers said in a statement Wednesday. “We would still settle the case if the legislature approved the payment this session, but we cannot and did not agree to give OAG the benefit of a settlement while the whistleblowers wait in perpetuity for legislative approval.”

As part of the mediated settlement agreement, Paxton agreed to apologize and for the state to pay $3.3 million. The settlement is contingent upon legislative approval.

The court granted a joint motion on Feb. 16 agreeing to abate the lawsuit while the parties proceeded with settlement negotiations.

The new motion states that the Office of the Attorney General has said in oral communications that “it has maneuvered” the whistleblowers into a “GOTCHA position.”

“If funding approval is not...



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