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Brad Gosse 04-09-2009 05:08 AM

Lawyer Ethics Question
 
Your lawyer asks for a $14,000 retainer.
Does a ton of work on your behalf over the course of a year.
Then presents you with a $12,000 bill over and above your retainer.

The lawyer never notified you when your retainer ran out.

Is this legal or even ethical?

I know this is not a place to get legal advice but what would you do?

$5 submissions 04-09-2009 05:21 AM

Is the lawyer US-based? If so, check with the bar association of his state and ask about the Rules of Professional Conduct's provisions regarding notification provisions for fees over the initial retainer amount.

rbrruss 04-09-2009 05:26 AM

It all depends on what the original agreement was.

Did you sign a written retainer agreement?
It should contain the terms, including whether the 14K was a retainer to billed against hourly or a flat fee.

james_clickmemedia 04-09-2009 06:07 AM

I used to get monthly statements from my lawyers so I know who much of the retainer is remaining, however now I just get an invoice each month and pay it. Been a client for so many years he knows I am good for the money.

You should have received monthly statements.

HorseShit 04-09-2009 06:15 AM

Doesn't seem right but like others mentioned, we don't know what you originally signed.

Brad Gosse 04-09-2009 06:58 AM

My original engagement letter stated we would receive monthly statements and we did not.

The original retainer was actually $7500 then a couple of months after he asked for another $7k retainer which was paid. Then the big bill.

My main question I guess is do you think he was obligated to notify me when the second retainer ran out?

Phoenix 04-09-2009 07:01 AM

morally yes...legally no

EscortBiz 04-09-2009 07:05 AM

no clue about details of the story but in these hard times many pull all types of tricks, nothing surprises me really, but that goes the other way too, many who owe money to people start picking things apart and figure out ways not to pay

WiredGuy 04-09-2009 08:22 AM

I'd try to work out a settlement. I had an outragous bill from my lawyers recently, about $8k, for service taht was done in 2006/7. It was insane. I managed to talk it down to about $5500. If they did the work, they'll be interested in working a settlement to keep you.
WG

EscortBiz 04-09-2009 08:30 AM

Quote:

Originally Posted by WiredGuy (Post 15725654)
I'd try to work out a settlement. I had an outragous bill from my lawyers recently, about $8k, for service taht was done in 2006/7. It was insane. I managed to talk it down to about $5500. If they did the work, they'll be interested in working a settlement to keep you.
WG

to keep him? I mean if he feels they screwed him he should never work with them again, once a fuckup always a fuckup

rbrruss 04-09-2009 08:35 AM

Quote:

Originally Posted by Brad Gosse (Post 15725392)
My original engagement letter stated we would receive monthly statements and we did not.

Then he has breached the agreement. He may still have a claim for the money if he can show he did the work and you benefited from it, but his failure to notify you as required should at least give you some leverage to work out a favorable settlement for less than he is asking.

Pleasurepays 04-09-2009 08:36 AM

Ethical or not. this is typically covered in the retainer agreement you signed when you paid a retainer. As $5 submissions said... any questions? ... next step State Bar Association and ask them what to do etc.

WiredGuy 04-09-2009 08:39 AM

Quote:

Originally Posted by EscortBiz (Post 15725686)
to keep him? I mean if he feels they screwed him he should never work with them again, once a fuckup always a fuckup

Not necesarrily, especially for lawyers. My bill got out of control because there was too many lawyers involved in the issue and not enough control over it, my lawyer agreed and cut the bill about 35%. It can happen at larger firms.
WG

pixovore 04-09-2009 08:40 AM

Best of luck on this Brad!

Brad Gosse 04-09-2009 08:50 AM

Quote:

Originally Posted by EscortBiz (Post 15725686)
to keep him? I mean if he feels they screwed him he should never work with them again, once a fuckup always a fuckup

I don't feel screwed and would use this law firm again. I just don't think the way I was billed is fair.

JFK 04-09-2009 09:09 AM

Quote:

Originally Posted by Brad Gosse (Post 15725392)
My original engagement letter stated we would receive monthly statements and we did not.

The original retainer was actually $7500 then a couple of months after he asked for another $7k retainer which was paid. Then the big bill.

My main question I guess is do you think he was obligated to notify me when the second retainer ran out?

is he in Canada ? If so go to the Law Society of Upper Canada and have him "Taxed" which means they will go tru the billings and see if it's fair .:2 cents:

_Richard_ 04-09-2009 09:10 AM

Quote:

Originally Posted by $5 submissions (Post 15725186)
Is the lawyer US-based? If so, check with the bar association of his state and ask about the Rules of Professional Conduct's provisions regarding notification provisions for fees over the initial retainer amount.

this would be the answer

that, and making an angry website linked to the lawyers name

DaddyHalbucks 04-09-2009 08:40 PM

My view is that lawyers should give clients frequent billing updates, probably monthly.

I think you can make a practical argument to your counsel that you have the right to be informed..


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