The special prosecutors in 鈥檚 have suffered another loss in their fight for back pay.
On Thursday, the First Court of Appeals in Houston that a lower court to be paid $300-an-hour for their work on the case. In its decision, a three-judge panel of the appeals court wrote Harris County District Court Judge Andrea Beall did not have the authority to order a pay rate of that amount.
The decision stems from over how much the special prosecutors should be paid, and it likely won鈥檛 end here. The prosecutors could appeal.
Kent Schaffer, one of the special prosecutors, said he doesn鈥檛 know what rate they鈥檒l ultimately get paid. He blamed the decision on politics.
After his re-election to a third term in November 2022, and has further aligned himself with powerful national Republicans .
鈥淚t鈥檚 a huge loss but it鈥檚 exactly what I expected,鈥� Schaffer told The Texas Newsroom.
鈥淎ppellate courts have come to realize the perils of taking on Mr. Paxton and none are willing to risk their careers when it鈥檚 easier to defund the prosecution. This is part of Texas politics and I鈥檓 not a politician,鈥� he added.
Dan Cogdell, one of Paxton's lawyers, blamed the special prosecutors for delaying the fraud case while they fought to get paid. He added that their $300-an-hour rate was "misplaced."
"While I鈥檓 all in favor of lawyers getting paid, I鈥檓 not losing sleep over the idea that either of them will be homeless as a result of this decision,鈥� .
on three felony fraud charges in 2015. He was accused of defrauding investors in a McKinney tech company, and failing to register as an investment adviser representative.
After fighting the charges for years, with the special prosecutors in March to do community service and pay restitution in lieu of going to trial.
Usually cases like this are handled by the district attorney in the county where the alleged crime was committed. But after Collin County DA Greg Willis recused himself from the case, citing his friendship with Paxton, Schaffer and Brian Wice were appointed as special prosecutors and offered that pay rate. Both are private attorneys based in Houston.
After cutting them a six-figure check in 2016, the Collin County commissioners court refused to pay Wice and Schaffer again. They took the issue to court, arguing the prosecutors鈥� hourly rate was exorbitant and unconstitutional. The commissioners only want to pay what local court-appointed attorneys make: a flat rate of $2,000 for all pretrial work.
In 2018, the state鈥檚 highest criminal court sided with the commissioners and struck down the $300-an-hour rate.
After the case was assigned to Beall in Houston, last November that the prosecutors be paid their originally-promised rate for their work on the case in 2016. But the .
The Houston appeals court鈥檚 ruling Thursday shot down Beall鈥檚 decision and sent the issue back to her.
鈥淲e direct the trial court to vacate its orders awarding attorney鈥檚 fees to the special prosecutors and issue a new order adjudicating the special prosecutors鈥� request for payment of fees in compliance with the Collin County fee schedule,鈥� the three-judge panel wrote.
The decision was issued by Justices Sarah Beth Landau, Julie Countiss, and Amparo Monique Guerra. All three are Democrats.
Schaffer stepped off the case shortly before the March deal was announced, citing the pay issue and disagreements with Wice over how to handle the case. He said Thursday he may end up losing money.
Schaffer said he doesn鈥檛 plan to appeal.
Wice could appeal. He didn鈥檛 respond to requests for comment on Thursday.
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