Cy Pres Provisions Beginning to Make a Difference
– The Legal Foundation of Washington has received a total of $124,000 to date from several different cases as a result of amendments to Rule 23 adopted by the Washington Supreme Court. That rule now provides that at least 25% of the residual funds in a judgment or proposed compromise of a class action certified under the rule be paid to the Legal Foundation. The new language became effective January 3, 2006, and it was anticipated that it would take time for cases impacted by the rule to move to the residual disbursement phase. In North Carolina, the N.C. State Bar has received $18,000 for civil legal services in residual funds pursuant to state legislation approved on October 1, 2005. Legislation in Illinois requiring that 50% of residual funds go to legal services providers, approved in 2007 and reported in the February 2008 issue of Legal Services Now
, became effective July 1, 2008. Other states are considering similar rule revisions or legislative action. For more information on Washington’s rule, contact , Grants Manager, Legal Foundation of Washington, or call 206/957-6289; for information about North Carolina’s legislation, contact , Executive Director, N.C. State Bar Plan for IOLTA, or 919/828-0477.