§ 16-22-303 - Compromise or settlement without attorney's consent -- Effect. - Arkansas Statutes

16-22-303. Compromise or settlement without attorney's consent -- Effect.

(a) Any agreement, contract, or arrangement between litigants or any conduct of the one seeking affirmative relief at the instance and procurement of his adversary which deprives the litigant of his asserted right against his adversary shall constitute a compromise or settlement of his cause of action within the meaning of this section.

(b) (1) In case a compromise or settlement is made by the parties litigant to the action after service of the notice by certified mail and before the filing of suit, or if made after suit is filed upon the action and such compromise or settlement is made without the consent of such attorney at law, solicitor, or counselor, the court of proper jurisdiction shall, upon motion, enter judgment for a reasonable fee or compensation against all of the parties to the compromise or settlement so made without the consent of the attorney at law, solicitor, or counselor, and the amount of the fee or compensation shall not be necessarily limited to the amount, if any, of the compromise or settlement between the parties litigant.

(2) If the compromise or settlement is effected by an agent or agents of such party, the judgment shall be entered against the agent or agents as well as against those parties from whom the attorney at law, solicitor, or counselor is entitled to judgment for the fee or compensation, and, if the compromise or settlement is made with the knowledge or advice of the attorney at law, solicitor, or counselor of those parties from whom the attorney at law, solicitor, or counselor is entitled to judgment for the fee or compensation, the court shall also enter judgment against such attorneys at law, solicitors, or counselors as well.