There are different ways that attorneys may charge for legal services. It is recommended that you sign a written fee agreement with any attorney you hire. This agreement will outline what services the attorney will provide and how he/she will be paid for those services.
- Hourly Basis: An attorney may charge for his or her time on an hourly basis. A deposit, known as a retainer fee, is usually paid to the attorney when he/she is hired. The retainer fee does not represent the total fee, additional hourly fees and expenses, such as costs for filing fees, court reporters, photocopying or travel may be additional. In certain matters, the attorney may be unable to predict how many hours of work or how expensive the entire case will be, but he or she should be able to give you an understanding of the process ahead and an estimate of total costs.
- Contingency Fee Basis: An attorney may handle a matter on a contingency fee basis. This means a client does not pay any fees unless the lawyer wins or settles the case. Matters such as personal injury, collection matters, products liability, malpractice and some employment law cases may be handled on a contingency fee basis. In some contingency fee arrangements, the attorney may require the client to pay for certain expenses, such as fees for expert witnesses [An “expert” is a person who, because of his education or specialized experience, possesses superior knowledge about a subject. A person who is qualified as an “expert witness” will be allowed to testify in court to assist the judge or jury in understanding complicated or technical subjects not within the knowledge or understanding of the average person and other expenses as outlined above.
- Flat Fee Basis: An attorney may handle a matter on a flat fee basis. This means that there is a specific dollar amount for which the lawyer will handle the matter regardless of the hours spent. Bankruptcy, real estate purchases and uncontested divorces are often handled on a flat fee basis. Combined Approach: An attorney may combine several of the above options for a particular case.
- Limited Scope Service: In some cases, you may feel that you want to manage the legal process yourself but know that an attorney will be invaluable in helping you accomplish specific tasks. Limited Scope Representation allows you to hire an attorney to meet those exact needs but isolates them from the work you wish to perform on your own. Fees for this type of representation can be a mixture of any of the above options. It is important to understand clearly what fee arrangement you agree to. Ask plenty of questions.