Ask Reggi Your Question Now
Can I offer a referral program for my customers in Texas? What are the requirements?
Based on the documents provided, it appears that you can offer a referral program for your customers in Texas, but there are certain requirements that must be met.
Requirements for a Lawyer Referral Service
According to Tex. Occ. Section 952.151, a lawyer referral service in Texas must include a specific statement in any advertising or promotional effort. The statement must read: “This service is certified as a lawyer referral service as required by the State of Texas under Chapter 952, Occupations Code.”
Additionally, Tex. Occ. Section 952.102 outlines the application requirements and renewal process for a certificate issued under this chapter. An applicant must be operated by a governmental entity or a nonprofit entity exempt from the payment of federal income taxes under Section 501(a) of the Internal Revenue Code of 1986 and its subsequent amendments by being listed as an exempt entity under Section 501(c)(3), 501(c)(4), or 501(c)(6) of that code. The applicant must also certify that it operates primarily for the benefit of the public and provide the state bar with a list of at least 25 lawyers who have contracted with the applicant to receive referral services.
Finally, Tex. Occ. Section 952.155 places limitations on client fees for a lawyer referral service. A lawyer may not charge a potential client referred to the lawyer by a referral service an amount that exceeds the total cost the client would have been required to pay, including legal fees and expenses, if a referral service had not referred the client. The combined amounts of any fee charged to a potential client by the lawyer or the referral service may not exceed $20 for the first 30 minutes of the initial office visit with the lawyer.
Conclusion
Based on the above requirements, it appears that you can offer a referral program for your customers in Texas as long as you comply with the regulations outlined in Tex. Occ. Section 952.151, 952.102, and 952.155.
Jurisdiction
Texas