Foreword... ix About the Authors... xi How to Use the Forms on Disk... xxiii Summary of Contents... xxvii 1 The Attorney/Client Relationship: Ethical Considerations Underlying Fee Agreements Ronald J. Shaffer Amit Shah 1-1. Introduction 1 1-2. The Rules of Professional Conduct Regarding Fee Agreements 2 1-3. Fee Disputes with Clients and Other Attorneys 4 1-4. Supreme Court Requires Disclosure of Lack of Malpractice Coverage 6 1-5. Conclusion 7 2 Bankruptcy Sara A. Austin 2-1. Scrutiny of the Bankruptcy Court 9 2-2. Fee Disclosure 9 2-3. Fee and Retainer Agreements 10 2-4. Fee Applications 10 2-5. Retaining Professionals 12 Agreements 13 2A Chapter 7 Retainer Agreement 15 2B Chapter 13 Retainer Agreement 17 2C Chapter 13 Schedule of Additional Fees 19 2D Official Form B 280 20 2E Chapter 13 Notice of Application to Approve Counsel Fees 21 2F Chapter 13 Order Approving Counsel Fee 22 2G Chapter 13 Certification of No Response 23 xxix
2H Chapter 13 Certification of Service 24 2I Chapter 13 Application for Compensation and Reimbursement of Expenses 25 3 Business Entities Jonathan Samel 3-1. General Fee Agreement Considerations 27 3-2. Business Organization as Client 28 3-3. The Client Defined 28 3-4. Conflicts of Interest 29 3-5. Representing the Principals 31 Agreement 33 3A Business and Corporate Law Sample Fee Agreement 35 4 Criminal and Juvenile Criminal Marc Robert Steinberg 4-1. Introduction 39 4-2. Rules of Professional Conduct 39 4-3. Fee Letters 40 4-4. Suggestions on Charging Fees 43 4-5. Rules for Setting Fees 46 Agreements 51 4A Client Information Form 53 4B Privacy Policy Notice 54 4C Standard Fee Engagement Letter 55 4D Short Fee Letter 58 4E Homicide/Escrow Anticipated Costs 59 4F Juvenile Fee Letter 61 4G Associate Representation Letter 64 4H Magisterial District Judge Hearing Letter 67 4I Waive Preliminary Hearing Fee Letter 69 4J Pardon Fee Letter 71 4K Fee-for-Another Letter 73 Appendices 77 4A Formal Opinion 85-120 79 4B Formal Opinion 93-201 84 4C Inquiry No. 95-28 87 4D Formal Opinion 95-100 89 4E Ryan v. Butera, Beausang, Cohen & Brennan 97 xxx
5 Elder Law Jeffrey A. Marshall Matthew J. Parker 5-1. Types of Fee Agreements 109 5-1.1 Hourly Based Fees 109 5-1.2 Contingent Fees 110 5-1.3 Percentage Fees 110 5-1.4 Flat (Fixed) Fees 110 5-1.5 Statutory Fees 111 5-2. Some Practice Tips 113 5-2.1 Use of Flat Fees 113 5-2.2 Use of Standard Written Fee Schedule 114 5-2.3 Fee Agreements for Guardianships 114 5-2.4 Fees Paid by Third Parties 115 5-2.5 Use of Engagement Letters 115 5-2.6 Use of Nonrepresentation and Termination Letters 116 5-2.7 Use of Closing Letters 117 Agreements 119 5A Medicaid Planning Fee Agreement 121 5B Standard Fee Schedule 127 5C Guardian Fee Agreement 134 5D Estate Planning Engagement Agreement Unmarried Client 136 5E Nonrepresentation Letter 139 5F Sample Closing Letter 140 6 Employment Law Ronald H. Surkin 6-1. The Well-Constructed Fee Agreement in a Plaintiff s Discrimination Case 144 6-1.1 The Scope of the Representation 146 6-1.2 The Fee 147 6-1.2.1 The Contingent Percentage 147 6-1.2.2 Expenses 148 6-1.2.3 Retainer 148 6-1.2.4 Blended Contingent and Hourly Fee Agreement 150 6-1.2.5 Court-Awarded Fees 150 6-1.2.6 Special Issues 153 6-1.3 The Impact of Decisions Regarding Settlement 157 6-1.4 Termination of the Relationship 159 6-1.5 Alternative Dispute Resolution (ADR) 160 6-1.6 Federal Income Tax Considerations 160 6-1.7 Representation of Multiple Plaintiffs 160 xxxi
6-2. Fee Agreements with Employees in Cases Other Than Employment Discrimination 161 6-3. Fee Agreements with Employers 161 6-3.1 Identifying the Client 162 6-3.2 Joint Defense and Conflicts 163 6-3.3 Payment of Legal Fees of Present or Former Employees 165 6-3.4 Indemnification 166 6-3.5 Maintenance of the Attorney/Client and Work-Product Privileges 167 6-4. Conclusion 167 7 Wills and Estates Jerry B. Chariton 7-1. General Considerations in Creating Fee Agreements for Estate Planning, Estate Administration, and Trust Administration 169 7-2. Special Considerations for Estate Planning 177 7-3. Special Considerations with Regard to Estate Administration 187 7-4. Special Considerations with Regard to Trust Administration 199 7-5. Circular 230 207 7-6. Federal Trade Commission 210 Agreements 215 7A Initial Engagement Letter Estate Planning for One Spouse with Alternative Provisions for Joint Representation 217 7B Initial Letter to Client Short Form 232 7C Initial Engagement Letter Long Form Executor 234 7D Initial Engagement Letter Long Form Trustee 242 8 Family Law Lori K. Serratelli Mary Ann Petrillo 8-1. Introduction 249 8-2. Necessary Components of the Fee Agreement 249 8-3. Problem Areas 252 8-4. Open Adoption/Act 101 253 Agreements 255 8A Sample Fee Agreement for Family Law Matters 257 8B Fee Agreement for Private Adoption 261 8C Fee Agreement Representing the Birth Mother in Adoption 264 xxxii
9 Intellectual Property Law Manny D. Pokotilow 9-1. Identify the Client 269 9-2. Contingent Fee Agreements 270 9-3. Avoid Ambiguities 271 9-4. Statutory Deadlines 271 9-5. Conflicts of Interests 271 Agreements 273 9A Engagement Letter 275 9B Contingent Fee Agreement 277 9C Follow-up Letter to Engagement Letter and Contingent Fee Agreement 280 9D Non-Engagement Letter 282 10 Personal Injury Timothy A. Shollenberger Adam T. Wolfe 10-1. Ethical Considerations 283 10-1.1 Agreement Must Be in Writing 283 10-1.2 Division of Fees 283 10-1.3 Charging Liens 284 10-2. Elements of Personal Injury Fee Agreement 284 10-2.1 Power of Attorney 284 10-2.2 Scope of Agreement 284 10-2.3 Fees 285 10-2.3.1 Third-Party Claim 285 10-2.3.2 Upon Withdrawal or Discharge 286 10-2.3.3 Minor s Claim 286 10-2.3.4 Special Considerations in Automobile Cases 287 10-2.4 Costs 288 10-2.5 Duties of the Client 289 10-2.6 Unpaid Medical Bills 289 10-2.7 Appeals 289 10-2.8 Disposal of Closed Case File 289 Agreements 291 10A Authorization to Settle Personal Injury 293 10B Settlement Analysis 294 10C Settlement Distribution 295 10D Power of Attorney and Contingent Fee Agreement Third-Party Auto 296 10E Power of Attorney and Hourly Fee Agreement First-Party Benefits 299 xxxiii
10F 10G Power of Attorney and Contingent Fee Agreement General Tort 301 Power of Attorney and Contingent Fee Agreement Medical Malpractice 304 11 Real Estate Ronald M. Agulnick 11-1. Confirmatory Language 308 11-2. A Statement of the Project Proposed 308 11-3. Fee Agreement 310 11-4. Terms of Payment 312 11-5. Limits of Confidentiality 313 11-6. Intellectual Property 314 11-7. Disclaimer 315 11-8. Miscellaneous Matters 315 11-9. Conclusion 316 12 Social Security Disability Benefits Steven M. Rollins 12-1. Introduction 317 12-2. Fees Under the Social Security Act 317 12-2.1 Administrative Work Before the SSA 318 12-2.1.1 Fee Agreement Process 318 12-2.1.2 Fee Petition Process 320 12-2.2 Work Before a Federal Court 321 12-2.3 Payment of Fees 323 12-2.4 Costs and Expenses 324 12-3. Fees Under the Equal Access to Justice Act 324 12-4. Penalty for Charging and Collecting a Fee That Is Not Approved 326 Appendix 329 12A Form SSA-1560-U4 331 13 Workers Compensation Tereasa Rerko 13-1. Format and Style 334 13-2. Key Components 334 Agreement 337 13A Workers Compensation Fee Agreement 339 xxxiv
14 Contract Law Timothy Murray 14-1. General Principles 341 14-1.1 Drafting a Fee Agreement Involving Contract Law 341 14-1.2 Avoid Drafting by Formbook 342 14-1.3 Discussing the Agreement with the Client 342 14-2. Contents of Fee Agreement 343 14-2.1 Fees 343 14-2.1.1 Hourly Fees 343 14-2.1.2 Contingent Fees 344 14-2.2 Costs 345 14-2.3 Scope of Representation 345 14-2.4 Duties of the Client 345 14-2.5 Payment 346 14-2.6 No Guarantee Clause 346 14-2.7 Personnel 346 14-2.8 Integration Clause 347 14-2.9 Signature Lines 347 14-2.10 Don t Forget About the Agreement 347 14-2.11 Checklist for Transactional Counsel 348 14-2.12 Checklist for Litigation Counsel 349 Agreement 351 14A Retainer Agreement 353 15 Entertainment Law Todd J. Shill John R. Martin 15-1. Introduction 359 15-2. Types of Fee Agreements 359 15-2.1 Hourly 360 15-2.2 Fixed Rate 360 15-2.3 Percentage 361 15-3. Ethical Considerations 362 15-3.1 Fees Must Be Reasonable 362 15-3.2 Contingent Fee Agreements Must Be in Writing (and All Fee Agreements Should Be) 362 15-3.3 Shopping or Commission-Based Agreements as a Business Transaction? 363 15-3.4 Prohibition on Acquisition of Literary Rights Does Not Preclude an Attorney from Acquiring an Ownership Interest in Literary Property 363 xxxv
Agreements 365 15A Hourly Fee with Retainer 367 15B Flat Fee 372 15C Contingency Fee 376 16 Oil and Gas Tate J. Kunkle W. Steven Berman 16-1. Introduction 383 16-2. Review the Agreement with the Client 384 16-3. Agreements Are Required To Be in Writing for Contingency Cases and Should Be in Writing in All Other Fee Arrangements 384 16-4. Division of Fees 385 16-5. Contingency Fee Agreement 385 16-5.1 Authority to Represent 385 16-5.2 Scope of Agreement 385 16-5.3 Fees 386 16-5.4 Costs 386 16-5.5 Withdrawal or Discharge 388 16-5.6 Duties of Client 388 16-5.7 Unpaid Medical Bills 389 16-5.8 No-Guarantee Clause 389 16-5.9 Retention of Client File 389 16-6. Hourly Fee Agreement 390 16-6.1 Payment 390 16-6.2 Personnel 390 16-6.3 Integration Clause 391 16-7. Fully Executed Agreement 391 Selected Rules of Professional Conduct 393 xxxvi