Outside counsel have two options under the agreement.
The first option is to accept a liquidated fee offer from the tobacco industry. If Nevada's outside counsel chooses this option and accepts the liquidated fee offer made to it, then it must release Nevada from any liability under its attorneys fee agreement. The second option available to outside counsel who do not accept a liquidated fee offer is arbitration. The agreement provides for an arbitration process, the costs of which will be paid for by the tobacco industry. Time and Expenses of the Nevada Attorney General's Office As local counsel, the Nevada Attorney General's Office ordinarily absorbs the costs, expenses and attorney time required for the efforts it undertakes in the tobacco litigation process.