Bill Commons

CO HB 1421

enacted

Fee Sharing with Nonlawyers in Legal Practice

Colorado · 2026 Regular Session · lower

Description

The act prohibits a lawyer or law firm, in connection with providing legal services concerning a legal right arising in whole or in part in Colorado (legal services), from:Providing any portion of legal fees or revenues to a nonlawyer or an organization that economically participates in the provision of legal services or shares in the profits of legal fees or revenues and is owned or controlled by one or more nonlawyers (alternative business structure);Entering into a financial or contractual arrangement with an alternative business structure, which arrangement relates to providing legal services;Forming an entity recognized under Colorado law with a nonlawyer if any of the activities of the entity consist of providing legal services;Practicing with or in the form of a professional company authorized to provide legal services if a nonlawyer owns an interest in the company or a nonlawyer has the right to direct the judgment of a lawyer; andCompensating a person that provides administrative or nonlegal business services to a lawyer or law firm unless the compensation is not contingent upon a percentage of legal fees or revenues and not determined by reference to recoveries, settlements, or other case outcomes.     The act exempts certain arrangements, activities, and organizations from the prohibitions in the act.     The act also creates a private right of action that allows the following persons to enforce the prohibitions in the act:A person to whom a lawyer or law firm provides legal services that are alleged to be in violation of the act; andA law firm doing substantial business in Colorado that has suffered or may suffer a loss in revenue due to a violation of the act by another law firm, which law firm doing substantial business is not eligible for recovery of economic damages.     A person may seek economic damages, injunctive relief, declaratory relief, and any other relief the circumstances may require for violations of the act. If a court determines that a lawyer, law firm, or other person has violated the act, the court must order the funds received or paid in violation of the act to be disgorged and paid to the state treasurer, except to the extent that the funds are paid as economic damages to a plaintiff. The state treasurer must deposit any disgorged funds into the general fund.     The act repeals on September 1, 2029.(Note: This summary applies to this bill as enacted.)

Introduced
2026-04-21
Status date
—
Latest action
2026-06-04 — Governor Signed
Bill type
bill
Last updated
—

Subjects

Sponsors

  • L. Daughertysponsor
  • J. Mabreysponsor
  • J. Caldwellsponsor
  • L. Frizellsponsor
  • M. Lindsaycosponsor
  • S. Liedercosponsor
  • J. Josephcosponsor
  • J. Jacksoncosponsor
  • E. Hamrickcosponsor
  • L. Garcíacosponsor
  • M. Durancosponsor
  • M. Cartercosponsor
  • K. Browncosponsor
  • J. Baconcosponsor
  • M. Snydercosponsor
  • C. Kippcosponsor
  • J. Colemancosponsor
  • A. Benavidezcosponsor
  • J. Amabilecosponsor
  • Y. Zokaiecosponsor
  • J. Willfordcosponsor
  • B. Titonecosponsor
  • M. Rutinelcosponsor
  • E. Sirotacosponsor
  • K. Nguyencosponsor
  • K. McCormickcosponsor
  • J. McCluskiecosponsor

Committees

Not provided by source.

Action timeline

  1. 2026-06-04

    Governor Signed

    executive-signature

  2. 2026-06-03

    Sent to the Governor

    executive-receipt

  3. 2026-06-03

    Signed by the President of the Senate

    passage

  4. 2026-06-03

    Signed by the Speaker of the House

    passage

  5. 2026-05-12

    House Considered Senate Amendments - Result was to Concur - Repass

  6. 2026-05-11

    Senate Third Reading Passed - No Amendments

    passage,reading-3

  7. 2026-05-08

    Senate Second Reading Special Order - Passed with Amendments - Committee, Floor

  8. 2026-05-06

    Senate Committee on Judiciary Refer Amended to Senate Committee of the Whole

    committee-passage,referral-committee

  9. 2026-05-04

    Introduced In Senate - Assigned to Judiciary

    introduction

  10. 2026-05-01

    House Third Reading Passed - No Amendments

    passage,reading-3

  11. 2026-04-30

    House Second Reading Special Order - Passed with Amendments - Committee, Floor

  12. 2026-04-29

    House Committee on Judiciary Refer Amended to House Committee of the Whole

    committee-passage,referral-committee

  13. 2026-04-21

    Introduced In House - Assigned to Judiciary

    introduction

Versions

Documents

Votes

  • Adopt amendment L.001 (Attachment E).

    2026-04-29 · pass · 0-0

    Member-level votes (11)
    • Jennifer Bacon: yes
    • Jarvis Caldwell: yes
    • Chad Clifford: yes
    • Cecelia Espenoza: yes
    • Ava Flanell: yes
    • Lorena Garcia: yes
    • Rebecca Keltie: yes
    • Matt Soper: no
    • Yara Zokaie: yes
    • Michael Carter: yes
    • Javier Mabrey: yes

  • Refer House Bill 26-1421, as amended, to the Committee of the Whole.

    2026-04-29 · pass · 0-0

    Member-level votes (11)
    • Jennifer Bacon: yes
    • Jarvis Caldwell: yes
    • Chad Clifford: yes
    • Cecelia Espenoza: no
    • Ava Flanell: yes
    • Lorena Garcia: yes
    • Rebecca Keltie: no
    • Matt Soper: no
    • Yara Zokaie: yes
    • Michael Carter: yes
    • Javier Mabrey: yes

  • Adopt amendment L.002 (Attachment F).

    2026-04-29 · pass · 0-0

    Member-level votes (11)
    • Jennifer Bacon: yes
    • Jarvis Caldwell: yes
    • Chad Clifford: yes
    • Cecelia Espenoza: yes
    • Ava Flanell: yes
    • Lorena Garcia: yes
    • Rebecca Keltie: no
    • Matt Soper: no
    • Yara Zokaie: yes
    • Michael Carter: yes
    • Javier Mabrey: yes

  • Adopt amendment L.005 (Attachment I).

    2026-04-29 · pass · 0-0

    Member-level votes (11)
    • Jennifer Bacon: yes
    • Jarvis Caldwell: yes
    • Chad Clifford: yes
    • Cecelia Espenoza: yes
    • Ava Flanell: yes
    • Lorena Garcia: yes
    • Rebecca Keltie: no
    • Matt Soper: no
    • Yara Zokaie: yes
    • Michael Carter: yes
    • Javier Mabrey: yes

  • Adopt amendment L.006 (Attachment J).

    2026-04-29 · pass · 0-0

    Member-level votes (11)
    • Jennifer Bacon: yes
    • Jarvis Caldwell: yes
    • Chad Clifford: yes
    • Cecelia Espenoza: yes
    • Ava Flanell: yes
    • Lorena Garcia: yes
    • Rebecca Keltie: yes
    • Matt Soper: no
    • Yara Zokaie: yes
    • Michael Carter: yes
    • Javier Mabrey: yes

  • Adopt amendment L.003 (Attachment G).

    2026-04-29 · pass · 0-0

    Member-level votes (11)
    • Jennifer Bacon: yes
    • Jarvis Caldwell: yes
    • Chad Clifford: yes
    • Cecelia Espenoza: no
    • Ava Flanell: yes
    • Lorena Garcia: yes
    • Rebecca Keltie: yes
    • Matt Soper: no
    • Yara Zokaie: yes
    • Michael Carter: yes
    • Javier Mabrey: yes

  • Adopt amendment L.004 (Attachment H).

    2026-04-29 · pass · 0-0

    Member-level votes (11)
    • Jennifer Bacon: yes
    • Jarvis Caldwell: yes
    • Chad Clifford: yes
    • Cecelia Espenoza: no
    • Ava Flanell: yes
    • Lorena Garcia: yes
    • Rebecca Keltie: yes
    • Matt Soper: no
    • Yara Zokaie: yes
    • Michael Carter: yes
    • Javier Mabrey: yes

  • BILL

    2026-05-01 · pass · 0-0

    Member-level votes (65)
    • Bacon: yes
    • Barron: yes
    • Boesenecker: yes
    • Bottoms: excused
    • Bradfield: yes
    • Bradley: no
    • Brooks: no
    • Brown: yes
    • Caldwell: yes
    • Camacho: excused
    • Carter: yes
    • Clifford: yes
    • DeGraaf: no
    • Duran: yes
    • English: excused
    • Espenoza: no
    • Feret: yes
    • Flanell: yes
    • Froelich: yes
    • Garcia: yes
    • Garcia Sander: yes
    • Gilchrist: yes
    • Goldstein: yes
    • Gonzalez R.: yes
    • Hamrick: yes
    • Hartsook: yes
    • Jackson: yes
    • Johnson: yes
    • Joseph: yes
    • Keltie: yes
    • Lieder: yes
    • Lindsay: yes
    • Luck: no
    • Lukens: yes
    • Mabrey: yes
    • Marshall: yes
    • Martinez: yes
    • Mauro: yes
    • McCormick: yes
    • Nguyen: yes
    • Paschal: yes
    • Phillips: yes
    • Richardson: yes
    • Ricks: excused
    • Rutinel: yes
    • Rydin: yes
    • Sirota: yes
    • Slaugh: no
    • Smith: yes
    • Soper: no
    • Stewart K.: yes
    • Stewart R.: no
    • Story: yes
    • Suckla: no
    • Taggart: yes
    • Titone: yes
    • Valdez: yes
    • Velasco: yes
    • Weinberg: no
    • Willford: yes
    • Winter T.: yes
    • Woodrow: yes
    • Woog: yes
    • Zokaie: yes
    • McCluskie: yes

  • Adopt amendment L.010 (Attachment B)

    2026-05-06 · pass · 0-0

  • Adopt amendment L.009 (Attachment A)

    2026-05-06 · pass · 0-0

  • Refer House Bill 26-1421, as amended, to the Committee of the Whole.

    2026-05-06 · pass · 0-0

    Member-level votes (7)
    • John Carson: yes
    • Lindsey Daugherty: yes
    • Nick Hinrichsen: yes
    • Katie Wallace: yes
    • Lynda Zamora Wilson: no
    • Dylan Roberts: yes
    • Mike Weissman: yes

  • REPASS

    2026-05-12 · pass · 0-0

    Member-level votes (65)
    • Bacon: yes
    • Barron: yes
    • Boesenecker: yes
    • Bottoms: no
    • Bradfield: yes
    • Bradley: no
    • Brooks: no
    • Brown: yes
    • Caldwell: yes
    • Camacho: excused
    • Carter: yes
    • Clifford: yes
    • DeGraaf: no
    • Duran: yes
    • English: yes
    • Espenoza: no
    • Feret: no
    • Flanell: yes
    • Froelich: yes
    • Garcia: yes
    • Garcia Sander: yes
    • Gilchrist: yes
    • Goldstein: yes
    • Gonzalez R.: yes
    • Hamrick: yes
    • Hartsook: yes
    • Jackson: yes
    • Johnson: yes
    • Joseph: yes
    • Keltie: no
    • Lieder: yes
    • Lindsay: yes
    • Luck: no
    • Lukens: yes
    • Mabrey: yes
    • Marshall: yes
    • Martinez: yes
    • Mauro: yes
    • McCormick: yes
    • Nguyen: yes
    • Paschal: yes
    • Phillips: yes
    • Richardson: yes
    • Ricks: yes
    • Rutinel: yes
    • Rydin: yes
    • Sirota: yes
    • Slaugh: yes
    • Smith: yes
    • Soper: no
    • Stewart K.: yes
    • Stewart R.: yes
    • Story: yes
    • Suckla: no
    • Taggart: yes
    • Titone: yes
    • Valdez: yes
    • Velasco: yes
    • Weinberg: no
    • Willford: yes
    • Winter T.: yes
    • Woodrow: yes
    • Woog: yes
    • Zokaie: yes
    • McCluskie: yes

  • CONCUR

    2026-05-12 · pass · 0-0

    Member-level votes (65)
    • Bacon: yes
    • Barron: yes
    • Boesenecker: yes
    • Bottoms: yes
    • Bradfield: yes
    • Bradley: no
    • Brooks: yes
    • Brown: yes
    • Caldwell: yes
    • Camacho: excused
    • Carter: yes
    • Clifford: yes
    • DeGraaf: yes
    • Duran: yes
    • English: yes
    • Espenoza: no
    • Feret: yes
    • Flanell: yes
    • Froelich: yes
    • Garcia: yes
    • Garcia Sander: yes
    • Gilchrist: yes
    • Goldstein: yes
    • Gonzalez R.: yes
    • Hamrick: yes
    • Hartsook: yes
    • Jackson: yes
    • Johnson: yes
    • Joseph: yes
    • Keltie: no
    • Lieder: yes
    • Lindsay: yes
    • Luck: no
    • Lukens: yes
    • Mabrey: yes
    • Marshall: yes
    • Martinez: yes
    • Mauro: yes
    • McCormick: yes
    • Nguyen: yes
    • Paschal: yes
    • Phillips: yes
    • Richardson: yes
    • Ricks: yes
    • Rutinel: yes
    • Rydin: yes
    • Sirota: yes
    • Slaugh: yes
    • Smith: yes
    • Soper: yes
    • Stewart K.: yes
    • Stewart R.: yes
    • Story: yes
    • Suckla: yes
    • Taggart: yes
    • Titone: yes
    • Valdez: yes
    • Velasco: yes
    • Weinberg: no
    • Willford: yes
    • Winter T.: yes
    • Woodrow: yes
    • Woog: yes
    • Zokaie: yes
    • McCluskie: yes

Related bills

No related bills recorded for this bill.

Official source

https://leg.colorado.gov/bills/HB26-1421

Attribution

Data from openstates_bulk_csv, retrieved 2026-07-24T03:52:26.466301Z

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