88 STAT. ]
PUBLIC LAW 93-355-JULy 25, 1974
ney, except with the express approval of a project director of a recipient in accordance with policies established by the governing body of such recipient. "(e)(1) Employees of the Corporation or of recipients shall not at any time intentionally identify the Corporation or the recipient with any partisan or nonpartisan political activity associated with a political party or association, or the campaign of any candidate for public or party office. "(2) Employees of the Corporation shall be deemed to be State or local employees for purposes of chapter 1.5 of title 5, United States Code. "(f) If an action is commenced by the Corporation or by a recipient and a final order is entered in favor of the defendant and against the Corporation or a recipient's plaintiff, the court may, upon motion by the defendant and upon a finding by the court that the action was commenced or pursued for the sole purpose of harassment of the defendant or that the Corporation or a recipient's plaintiff maliciously abused legal process, enter an order (which shall be appealable before being made final) awarding reasonable costs and legal fees incurred by the defendant in defense of the action, except when in contravention of a State law, a rule of court, or a statute of general applicability. Any such costs and fees shall be directly paid by the Corporation. GRANTS AND
383
5 USC 1501,
CONTRACTS
"SEC. 1007. (a) With respect to grants or contracts in connection ^^ ^^^ 2996f. with the provision of legal assistance to eligible clients under this title, the Corporation shall— "(1) insure the maintenance of the highest quality of service and professional standards, the preservation of attorney-client relationships, and the protection of the integrity of the adversary process from any impairment in furnishing legal assistance to eligible clients; "(2)(A) establish, in consultation with the Director of the le^.T^ermi^"^ Office of Management and Budget and with the Governors of nation! the several States, maximum income levels (taking into account family size, urban and rural differences, and substantial cost-ofliving variations) for individuals eligible for legal assistance under this title; l i " (B) establish guidelines to insure that eligibility of clients g uE diegliib iel st.y i n will be determined by recipients on the basis of factors which include— "(i) the liquid assets and income level of the client, "(ii) the fixed debts, medical expenses, and other factors which affect the client's ability to pay, "(iii) the cost of living in the locality, and "(iv) such other factors as relate to financial inability to afford legal assistance, which shall include evidence of a prior determination, which shall be a disqualifying factor, that such individual's lack of income results from refusal or unwillingness, without good cause, to seek or accept an employment situation; and " (C) establish priorities to insure that persons least able to P r i o r i t i e s. afford legal assistance are given preference in the furnishing of such assistance; "(3) insure that grants and contracts are made so as to provide the most economical and effective delivery of legal assistance to persons in both urban and rural areas; " (4) insure that attorneys employed full time in legal assistance activities supported in major part by the Corporation refrain
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