How are legal fees determined?

Seeking an attorney to discuss your legal matters, and especially hiring an attorney for your legal representation can be a challenging task. Whether you are looking for legal advice or you are looking for an attorney to perform legal work for you, it’s important to find the right attorney and to understand what your financial obligation is from the beginning.

How do Flat Rate Legal Fees Work?

Many attorney’s charge a flat rate for the drafting of legal documents, such as wills, Powers of Attorney, Advance Healthcare Directives, and even Title Searches and Opinions. That means that you would be required to pay one fee, as opposed to an hourly rate, for the attorney to complete the task. That flat rate would cover the attorney’s legal costs, which may include any necessary travel expenses or administrative costs for the attorney.

What is a Retainer Fee?

Many times, however, attorneys charge what’s called a “retainer fee”. Typically, a retainer fee agreement is used when the case is ongoing and slightly complex. Two common examples of when an attorney may use a retainer fee agreement is for criminal law cases and contested divorce petitions. A retainer fee agreement is different from a flat-rate or flat fee in that an hourly rate is also defined for the work to be performed.

When you pay a retainer to an attorney, those funds are deposited into the attorney’s client trust account. That means that those funds are still legally yours, but that the attorney has access to them. The attorney then charges you an hourly rate for the work they do on your case. Attorney’s will likely also charge you for filing fees or for investigation costs related to your particular case. Once the attorney has done the work or has incurred the expense, then they will deduct their fee from the retainer amount, which is held in their trust account.

How much will it cost to handle my legal matters?

Many variables contribute to whether an attorney charges a flat rate or has a retainer fee agreement, which includes an hourly rate. Also, the amount of the retainer and the hourly rate varies among attorneys, even within the same region. The law requires that attorney’s fees are kept “reasonable,” but that can be a vague and unhelpful standard for many people. 

Regardless of your legal issue, whether it’s a personal injury case, a case involving a criminal charge, or even a petition for a name change, finding the right attorney, especially one that is affordable, is an important first step in the process.

Note: All content is for informational purposes only, and should not be relied on as legal, business, or financial advice.

Nota: Todo el contenido es solo para fines informativos y no debe considerarse como asesoramiento legal, comercial o financiero.