Topic 1 - Sophisticated Client

Question 1

What are the 5 characteristics of a sophisticated client?

Answer 1

1. Knowledgeable
2. Confident in dealing with one’s lawyer
3. Able to research the law and find answers to basic legal questions
4. Able to assist the lawyer by providing complete and accurate information
5. Able to better understand any advice the lawyer provides

Question 2

Role of the Lawyer:

The lawyer gives advice, options, advises of one’s rights and potential ____________ of various options. The lawyer may also provide an __________(strength of case, likelihood of success, etc.)

Answer 2

CONSEQUENCES
OPINION

Question 3

The client makes the ________ and the lawyer is bound to follow client __________

Answer 3

decision, instructions

Question 4

When should you hire a lawyer instead of representing yourself?

Answer 4

• serious matters
• actions in the CQB
• criminal law matters
• contested family law matters
• non-routine business matters
• anything you don’t understand

Question 5

When is it possible to represent yourself instead of hiring a lawyer?

Answer 5

In Small Claims court

Question 6

What is the most important criteria for choosing a lawyer?

Answer 6

trust and comfort

Question 7

What website is the most useful for finding a lawyer in Alberta?

Answer 7

Law Society of Alberta Lawyer Directory

Question 8

What is the role of Legal Aid Alberta?

Answer 8

provides cost effective legal services for people in Alberta based on financial and substantive eligibility

Question 9

What 4 methods do lawyers use to set their fees?

Answer 9

1. Fixed Fee
2. Contingency Fee
3. Hourly Rate
4. Percentage rate (value added)

Question 10

What is the FIXED FEE method that lawyers use to bill clients

Answer 10

the fee is the same regardless of the time involved (e.g. preparing a will, incorporating a business)

Question 11

What is the CONTIGENCY FEE method that lawyers use to bill clients

Answer 11

if the client is successful (case is won) and they collect a judgement or settlement, the lawyer will receive a % of the amount, if the client loses the lawyer receives nothing (e.g. personal injury cases)

Question 12

What is the HOURLY RATE method that lawyers use to bill clients

Answer 12

lawyers bill client according to time spent, client pays regardless of win/lose case

Question 13

What is the PERCENTAGE RATE (VALUE ADDED) method that lawyers use to bill clients

Answer 13

Clients pay a fixed fee plus percentage based on value (e.g. probating an estate, incorporating a business)

Question 14

What is a DISBURSEMENT?

Answer 14

Extra costs, out-of-pocket expenses that a lawyer incurs when handling your case (e.g. postage, long distance charges, photocopying, medical reports, court filing fees)

Question 15

Give 3 examples of possible disbursements that a lawyer can incur

Answer 15

postage, long distance charges, photocopying, medical reports, court filing fees

Question 16

What is a RETAINER?

Answer 16

an amount of money a lawyer will request before commencing work, the retainer is HELD IN TRUST for the client, as the lawyer does work for the client they will bill the client and the amount owed will be paid out of the retainer fund

Question 17

What happens to unused retainer funds

Answer 17

unused funds are returned to the client

Question 18

Can you complain about a lawyer because you lost your case?

Answer 18

No

Question 19

When can you complain about a lawyer?

Answer 19

When you believe they have done something unethical, illegal or breached the Code of Professional Conduct

Question 20

Where can complaints about lawyers be made?

Answer 20

Law Society of Alberta

Question 21

Does the Law Society handle fee complaints?

Answer 21

No

Clients can have the lawyer’s bill reviewed by a Taxation Officer and they will adjust charges if necessary

Question 22

True or False?

Making a complaint under the Complaints Process WILL NOT result in compensation being paid to you

Answer 22

True

You may have to sue for compensation or make a claim to the Insurer providing liability insurance for lawyers in Alberta

Question 23

If your lawyer has misappropriated or stolen trust funds how do you get compensation?

Answer 23

You can make a claim to the Assurance Fund (this fund is a mandatory part of lawyer’s annual professional fees)

Question 24

Is there a standardized Code of Professional Conduct for Business people?

Answer 24

No, but:

Business people can prepare their own “Code of Conduct” for ethical standards that their employees must follow

Question 25

What core ethical values should form the basis of a Code of Conduct?

Answer 25

trust, respect, fairness and accountability

Question 26

What are some possible things that could be included in a Code of Conduct for a small business?

Answer 26

1. Standards for Employee Behaviour
2. Use of corporate money/assets
3. Confidentiality of business and employee info
4. Fair dealing
5. Conflicts of interest
6. Process for reporting of illegal/unethical behaviour

Question 27

True or False?

Under a contingency fee arrangement, your lawyer keeps a record of the time spent on the case and charges you an hourly rate

Answer 27

False

This is the Hourly Rate fee method

Question 28

True or False?

Your lawyer may agree to act on your behalf and take as a fee a percentage of the award which you will eventually receive

Answer 28

True

Question 29

If you hire a lawyer to provide a routine service such as a property sale, the lawyer may be able to quote a fixed or flat fee regardless of the amount of work involved

Answer 29

True