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APPENDIX 11. SAMPLE LEGAL SERVICES ENGAGEMENT LETTER
The United States Department of HUD urges inclusion of the following provisions into all legal
services contracts executed and/or administered by PHAs, unless no federally provided funds
will be used to administer the contract.
ADDENDUM TO ENGAGEMENT AGREEMENT
1. The [name of PHA] and [name of legal service individual or firm] Legal Service Personnel
(LSP) engaged to provide professional legal services to the PHA in connection with [briefly
and precisely describe the nature, scope and limits of the legal services to be provided by the
LSP] agree that the provisions of this Addendum to the Engagement Agreement are hereby
incorporated into PHA and LSP’s engagement agreement as if they had been set forth at
length therein.
2. During the pendency of the legal services engagement, LSP shall not, without HUD approval,
represent any officer or employee of PHA, in her/his individual capacity, in connection with
potential civil liability or criminal conduct issues related to PHA operations.
3. LSP has an obligation not to, and shall not, interfere with, disrupt, or inappropriately delay or
hinder any authorized monitoring, review, audit, or investigative activity of HUD (including
the Office of Inspector General), the General Accounting Office (GAO), or the officers and
employees of HUD and GAO. Any and all representation by LSP cannot be inconsistent with
the foregoing obligation. Specifically, LSP shall not deny access to HUD, GAO, or the
officers and employees of HUD and GAO, to PHA records in response to document demands
by HUD, GAO, or the officers and employees of HUD and GAO, notwithstanding possible
discovery privileges that would otherwise be available to PHA. HUD requires PHAs to
provide HUD, GAO, or the officers and agents of HUD and GAO, with "full and free" access
to all their books, documents, papers and records. See 24 CFR 85.42(e)(1).
4. PHA and LSP shall make available for inspection and copying, by HUD (including the Office
of Inspector General), GAO, and the officers and employees of HUD and GAO, all invoices,
detailed billing statements, and evidence of payment thereof relating to LSP’s engagement.
Such records constitute "PHA records" and are subject to section 3, above.
5. If HUD or PHA determines that LSP is violating any provision of this Addendum to the
Engagement Agreement, it shall timely notify LSP of such violation. LSP will have 48 hours
following its receipt of the notice of violation to cease and desist from further violation of the
addendum. If LSP fails to adequately cure the noticed violation within 48 hours: (A) HUD, in
its discretion, may demand that PHA terminate the professional legal services engagement for
breach, or, henceforth, satisfy all costs associated with the engagement with non-Federal
funds; and/or (B) PHA, in its discretion, may terminate the professional legal services
engagement for breach. Additionally, HUD may sanction LSP pursuant to 24 CFR Part 24.
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Handbook No. 7460.8 REV 2
6. Should any part, term, or provision of this Addendum to the Engagement Agreement be
declared or determined by any court of competent jurisdiction to be illegal or invalid, the
validity of the remaining parts, terms, and provisions shall not be affected.
___________________________
Date: [Enter date]
___________________________ _______________________
[Enter name of PHA Exec. Dir.] [Enter name of LSP key partner]
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