Attorney Fee Agreements Flashcards Preview

Paralegal 2 > Attorney Fee Agreements > Flashcards

Flashcards in Attorney Fee Agreements Deck (9)
Loading flashcards...
1

Hourly Fee Agreement

- Attorney sets hourly rate and client agrees to pay that rate.
- Fee agreement specifies increments in which time is billed.
- Contract sets amount to be paid as retainer, what work will be billed and how and when additional retainers will be paid.
- Indicates how expenses will be billed and paid.
- May include information about circumstances under which representation can be terminated, as well as how disputes over the agreement will be resolved

2

Flat Fee Agreement

- Attorney sets flat fee.
- Commonly done in criminal defense representation.
- Can be two-tiered, such as X amount if case is dismissed or plea agreement is reached, and X amount if there is a trial.
- Agreement should be very specific about scope of the representation.

3

Contingency Fee Agreement

- Attorney does not take any money from client before beginning representation.
- Attorney usually pays for all expenses.
- If Attorney loses case, the attorney gets nothing and still has to pay for expenses.
- If Attorney wins case, attorney gets a % of what is awarded to the client.

4

Pre-litigation Settlement Contingency Percentage

33%

5

Case Filing Contingency Percentage

40%

6

Trial Contingency Percentage

45%

7

50% Rule

Some attorneys have 50% rule that provides client will get to keep half the award or settlement amount, even if that means some expenses will have to be paid by the attorney, rather than the client.

8

Statutory Attorney Fee Contracts

- Some laws are written so that, if the plaintiff prevails, attorney fees can be awarded.
- Attorneys have a choice, they may handle matter similar to contingent fee arangement.
- They take no money upfront and are only paid if they win & court awards attorney fees.

9

Retainers

- Amount of money that the attorney requires the client to pay in anticipation of hours to be billed.
- Attorney will require the client to pay for 10 or 20 or 30 hours in advance
- Unearned fees must be maintained in the IOLTA account until they are earned.