Maryland's Attorney General hired a private law firm on a contingency fee basis to sue tobacco companies, without paying upfront costs. The court ruled this contract was legal and enforceable because the Governor authorized it and the Board of Public Works approved it. For construction subcontractors, this case shows that government agencies can enter into contingency-based agreements when they lack immediate funds, which affects how you might structure payment terms with public sector clients.
Government entities can use contingency fee arrangements when they lack sufficient resources to pay upfront, so don't assume public sector clients always have cash on hand