There are many reasons why a person might need the services of a law firm. Legal matters include real estate transactions, personal injury, estate planning or legal issues and charges.
Legal fees are notoriously steep, and even seeking a little bit of legal advice can set you back hundreds of dollars. Many law firms require a flat fee, known as a retainer, upfront before they even begin working. This retainer represents a significant burden for many people who need competent representation.
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Luckily, there are ways around some attorney fees, especially the retainer agreement. But what exactly is a retainer fee, why do lawyers charge it and what are ways to hire a lawyer without paying a retainer fee?
What Is a Retainer Agreement?
You can put a retainer agreement in place between any two parties engaging in a business relationship. In some ways, it's similar to an employment agreement since it lays out the expectations and duties of one party and how the other will compensate them.
Lawyers are even more attentive to detail when they enter agreements than most people, so retainers are common. The retainer agreement between a client and lawyer typically defines what the client should expect from the attorney, including services, potential outcomes, contingencies and other stipulations regarding the working attorney-client relationship. According to the writers at the Federal Trade Commission, you will likely want to consider a lawyer's accomplishments and gather personal recommendations before deciding on the terms of this agreement.
Many retainer agreements also include a fee agreement clause for a retainer fee. You make advance payments against the law firm's hourly fees for attorney services when you pay your retainer fee. They likely have different hourly rates for the attorneys and paralegals and will keep careful track of your balance as they log hours for your case.
Why Do Lawyers Require Retainers?
Your retainer fee will likely not cover all of your legal fees. A retainer agreement or contract between lawyer and client may stipulate further fees if your case goes to arbitration or trial, especially in a criminal case.
Why do lawyers require retainer fee arrangements? There are additional agreements and types of retainers, but in many cases, a lawyer takes a retainer as a reasonable faith payment that you can make the final payment. It will pay for your lawyer's services, regardless of the time, number of hours for your case and the nature of the legal work.
Luckily, there are ways to find providers and legal representation without paying a retainer fee upfront. The easiest way is to find an attorney who doesn't require a general retainer. Many law firms have modest or even no retainer fee for their services.
Secure Legal Services Without a Retainer Fee
According to the experts at the Federal Trade Commission, some of these attorneys have contingency fee programs, by which you do not pay any attorney fees unless you win your case. These are especially common in civil cases. Often, large firms that employ dozens of attorneys take on many cases. Some are losses and they don't get paid, but the payout is big enough on some others that they're able to remain profitable.
Another option is to negotiate a contract without a lawyer retainer. Some lawyers are willing to do this, especially in family law, where one party doesn't have access to the same funds they will later. If you're a homeowner or have other tangible assets, you also may be able to negotiate a better agreement with no upfront retainer fee. It may be used as collateral, though.
It helps to have some personal connections if you try negotiating your way out of a retainer fee. If you have attorney friends or relatives, they might be able to help find you another lawyer, especially if they can't represent you themselves. If you're still struggling, there's good news. You might still be able to find help paying attorney's fees.