California Disclosure by Letter from Client to Attorney Regarding Division of Fees between Attorneys

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Multi-State
Control #:
US-01623BG
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Word; 
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Description

Without an agreement as to the division of fees, attorneys jointly undertaking to represent a client share equally, and this is true even though one attorney employs another attorney to assist in an action for a contingent fee. But where the client's employment of more than one attorney is not joint, or where separate attorneys render separate services, each is entitled only to the reasonable value of each attorney's services.

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FAQ

In your initial meeting with your lawyer, you should discuss the lawyer's fees and the fee arrangement. Your fee agreement should set out the services the lawyer will perform for you, the types of fees, and the amount you should expect to pay.

By law, fee agreements with your lawyer must be in writing when the lawyer expects fees and costs for your case to total $1,000 or more. Here are some questions you may want to ask about your fee agreement: How will the lawyer bill for their time?

Yes you should, because it is important for you and your lawyer to agree about what you will pay the lawyer, as well as what services are and are not covered under the agreement. This way, both of you will know what to expect from each other as you work together on your case.

California Civil Code Section 1717 provides, ?In any action on a contract, where the contract specifically provides that attorney's fees and costs, which are incurred to enforce that contract, shall be awarded either to one of the parties or to the prevailing party, then the party who is determined to be the party ...

The California rule is one of a minority of states that permits a ?pure referral fee,? i.e., California permits lawyers to be compensated for referring a matter to another lawyer without requiring the referring lawyer's continued involvement in the matter. In Moran v. Harris (1982) 131 Cal. App.

California Rules of Professional Conduct. Rule 1.8. 1 specifically outlines that an attorney may not enter into business transactions with a client. In addition, they may not knowingly acquire ownership, possession, security, or any other pecuniary interest in a client.

That is, generally in a contingency fee agreement, the lawyer only receives compensation if the lawyer has successfully represented the client. Further, the amount the lawyer receives is contingent upon the result the lawyer obtains and often on the phase of litigation in which the dispute settles.

California Civil Code Section 1717 provides, ?In any action on a contract, where the contract specifically provides that attorney's fees and costs, which are incurred to enforce that contract, shall be awarded either to one of the parties or to the prevailing party, then the party who is determined to be the party ...

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California Disclosure by Letter from Client to Attorney Regarding Division of Fees between Attorneys