What determines your Legal Fee? ·
Does the attorney charge a FLATE FEE? ·
One dollar amount is paid for a typical legal
case. ·
Flat fees are usually charged when the services
being provided are more predictable. ·
Ask the
lawyer exactly what services and expenses are and are not covered in a flat
fee. ·
Does the attorney charge an HOURLY FEE? ·
Most legal fees are charged by this method. ·
The more experienced an attorney, the higher the
hourly rate. ·
Cheaper might be better, but a more expensive
and experienced lawyer could very well handle your case faster and better. ·
The more complex the facts of your case, then
you should expect higher fees. ·
Ask the attorney how many hours it will take to
complete your case. ·
Does the attorney charge a RETAINER FEE? ·
This fee is based on an hourly rate. ·
Clients put money into a special account called
an escrow account. ·
Attorney deducts fees as services are completed.
·
Once retainer is used and more work needs to be
done, client must pay another fee. ·
The attorney should give the client an idea of
how much longer case will take. ·
The client should be aware that the retainer fee
is generally refundable if not used by the lawyer. ·
Is there a STATUTORY FEE? ·
A statutory fee is a fee set by law. ·
Some legal work requires the court to set or
approve the fee. ·
Is there a CONTIGENCY FEE? ·
A contingent fee means the lawyer charges no fee . ·
But instead earns a percentage of the settlement
or judgment, if any is awarded. ·
Contingent fees — typically one-third of the
settlement or judgment — can be negotiated. ·
In some legal cases, contingent fees are not
allowed. ·
Another subset of Legal fees: An attorney can consider how much
or how little to charge an hourly fee, flat fee or retainer fee based upon some
other client factors. ·
Low
Bono: §
Sliding scale based on client’s income §
Must qualify §
Must provide proof of income §
Most private attorneys do not accept these types
of clients ·
However, some accept these clients as community
service ·
State Bar requirement in some states §
Non-profit organizations usually accept these
types of clients ·
Pro Bono: §
Free/no legal fees are paid §
May have to pay a one time nominal administrative
fee §
Must qualify §
Must provide proof of income §
Most private attorneys accept a hand full of
these type of cases ·
State Bar requirement in some states ·
Community service §
Non-profit organizations usually accept these
type of clients ·
Market
Rate: §
Most attorneys prefer this rate in order to pay
their bills §
Rate set by Laffey Matrix ·
Based on how many years out of law school ·
Available since 1982 ·
Provided by United States Attorney's Office for
the District of Columbia §
Rate set by American Bar Association ·
Based on how many years practicing law §
Other rates ·
Cost of living for current area ·
What are other attorneys charging for same
service/same area ·
Based on area of practice ·
Based on years of experience in a particular
area of law