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Bill > HB1895
AR HB1895
AR HB1895To Allow A Corporation Or Voluntary Association To Employ In-house Attorneys To Represent Affiliates Of The Corporation Or Voluntary Association.
summary
Introduced
03/31/2025
03/31/2025
In Committee
04/09/2025
04/09/2025
Crossed Over
04/07/2025
04/07/2025
Passed
04/15/2025
04/15/2025
Dead
Signed/Enacted/Adopted
04/17/2025
04/17/2025
Introduced Session
95th General Assembly (2025 Regular)
Bill Summary
AN ACT TO AMEND THE LAW CONCERNING EXCEPTIONS TO THE PROHIBITION AGAINST PRACTICING LAW FOR A CORPORATION OR VOLUNTARY ASSOCIATION LAWFULLY ENGAGED IN CERTAIN ACTIVITIES; TO ALLOW A CORPORATION OR VOLUNTARY ASSOCIATION TO EMPLOY IN-HOUSE ATTORNEYS TO REPRESENT AFFILIATES OF THE CORPORATION OR VOLUNTARY ASSOCIATION; AND FOR OTHER PURPOSES.
AI Summary
This bill amends Arkansas law to expand the circumstances under which a corporation or voluntary association can employ in-house attorneys to represent legal matters. Specifically, the bill allows a for-profit corporation or voluntary association to employ attorneys not just for its own immediate affairs and litigation, but also for the affairs and litigation of its affiliates. The bill introduces a new definition of "affiliate," which includes related entities connected through shareholdings, membership interests, partnership interests, or other means of control, such as direct or indirect subsidiaries, parent, or sibling entities. This change provides more flexibility for corporations to use their in-house legal counsel to represent closely related business entities, potentially reducing legal costs and streamlining legal representation across corporate networks. The bill maintains existing exceptions for nonprofit corporations representing indigent persons or government-related entities, and does not fundamentally alter the existing prohibitions against corporations practicing law outside these specific circumstances.
Committee Categories
Justice
Sponsors (2)
Last Action
Notification that HB1895 is now Act 843 (on 04/17/2025)
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