Fee Disputes

Orange County Lawyer Ethics

As attorneys who prosecute and defend claims of legal malpractice, the Orange County law firm of Klein & Wilson regularly encounters lawyers and clients involved in fee disputes. 

Fee disputes and malpractice claims often go hand in hand.  The client may have a problem with the bill itself or with the quality of legal services provided.  A malpractice claim may be initiated by the client claiming unconscionability or other misconduct related to the billing practices.  Often, the attorney files a claim to collect fees from the client, who then files a cross-complaint alleging legal malpractice in the provision of legal services.

Fee disputes can arise in any number of ways.  Common complaints include:

• Inflating a bill by charging for more hours than the work actually took
• Charging for work that was never actually performed
• Assigning work to paralegals or junior associates, but charging the client at the senior partner's higher hourly rate
• Performing extra work that is not needed in the case
• Overbilling for costs, such as charging $1.00 per page for incoming faxes or making copies in-house

California's Rules of Professional Conduct prohibit an attorney or law firm from charging or collecting an unconscionable fee.  Whether a fee is unconscionable depends upon the surrounding circumstances, including such factors as:

• The amount of the fee in proportion to the value of the services performed
• The relative sophistication of the client with regards to legal matters
• The difficulty of the legal issues involved and the skills required
• The results obtained
• The time and labor required

A comprehensive Fee Agreement should set out the fees for faxes and copying and other expenses.  It should state the attorneys' hourly rate, as well as the rate for paralegals, assistants, and other lawyers in the firm who may be involved in the representation.  In a contingency fee arrangement, the agreement should set out the different percentage rates, as well as whether the attorney or the client is liable for expenses and how often the client is to be billed. 

As a client, the first step in questioning a bill is to discuss it with the lawyer.  Ask for a detailed accounting or itemized description of hourly work.  If you are not satisfied with the attorney's response, California provides an arbitration process for fee disputes.  These programs are generally run by the local (county) bar associations.

Klein & Wilson has successfully represented clients in fee disputes and lawyer ethics in Orange County.  The firm also represents attorneys in actions to recover reasonable fees based upon contract or the work performed.  We also represent attorneys in quantum meruit actions involving other attorneys, where more than one attorney has worked on a case and there is a dispute as to how much each was to be paid. 

If you find yourself in a fee dispute regarding the provision of legal services, contact Klein & Wilson today or call us toll free at (888) 341-1462.