Attorney-Client Relationship Flashcards
When do a lawyer’s duties to represent a client begin?
Upon undertaking representation
When does a lawyer have a duty to reject representation?
When it would violate ethics or law
When does the attorney-client relationship begin?
When the client reasonably believes the relationship exists
How are fees regulated?
A fee must be reasonable
Can contingency fee agreements be oral?
No
Do fee arrangements have to be in writing?
Yes, the basis or rate of the fee must be communicated to the client prior to or within a reasonable time after a relationship first commences
What factors are relevant to assessing the reasonableness of an attorney’s fee?
- Difficulty of the case;
- Other employment precluded by the representation;
- Nature of the relationship and fee;
- Expertise; and
- Customary fees in area
Can attorneys seek contingency fees for criminal cases?
No
Can attorneys seek contingency fees in domestic relation cases?
Only if the fee is not contingent on obtaining a divorce or the amount of support recovered
Can a lawyer ask for a retainer?
Yes, but must return any unearned retainer or fee to the client once representation is completed
Can a lawyer accept property as a form of payment?
Yes, as long as it is not:
- A proprietary interest in the cause of action;
- Subject matter of the litigation; or
- Noncompliant with the rules for business transactions with clients
Do attorneys have an obligation to represent clients pro bono?
Yes, there is a voluntary professional responsibility to do so for indigent clients
Can attorneys share fees with lawyers outside the firm ?
Only if:
- The client agrees; and
- The total fee charged is not illegal or clearly excessive.
Does a client need to agree to the exact share each lawyer will get under a fee-splitting arrangement?
No, only the fact of fee-splitting.
Can an attorney receive referral fees?
No, but they may receive:
- Reasonable advertising costs;
- Charges for a legal referral service; or
- payment for an existing law practice
Can fees be shared with a former partner?
Yes, provided they’re active
Can fees be shared with non-attorneys?
NO, unless very limited exceptions:
- Fees paid into a lawyer’s estate; or
- Fees shared with law firm personnel via an established compensation or retirement plan within the firm
Can lawyers share office space with nonlawyers?
Yes, as long as the professional independence of the lawyer is maintained.
How must a lawyer separate client funds?
Client funds must be maintained in interest-bearing client trust (escrow) accounts and safety deposit boxes in the state in which they practice. NO other money can be there.
If client funds would not reasonably be expected to earn interest, what must a lawyer do with them?
Place them in a mandatory Interest On Lawyers Trust Account (IOLTA) Program, under which qualified funds are pooled in interest-bearing IOLTA accounts
Can a lawyer distribute property in dispute by a third party?
No, they must refuse, but they must distribute all property not in dispute
For how many years must a lawyer keep records of client property?
For at least five years after termination of the client-lawyer relationship or distribution of the property, whichever is later
How often must lawyers certify the handling of IOLTA accounts?
Quarterly
When may a lawyer sell his entire practice?
- The seller ceases to practice entirely or within a jurisdiction;
- Clients receive written notice, and do not object within 60 days
- It is sold to ONE lawyer or law firm; and
- The client’s fees are not increased
