Bankruptcy Attorney Fee Agreement
The assistance of an experienced bankruptcy attorney to help guide you through personal or business bankruptcy and all attendant court hearings is immensely helpful. Bankruptcy law is a complex area, and it can be difficult to succeed in your bankruptcy if you do not have the help of an attorney. There are many ways an attorney gets paid when she assists with your bankruptcy case.
Other People Are Reading
-
Flat Fee Agreement
-
A flat fee agreement usually consists of a flat rate that is charged; this rate includes all fees regarding the bankruptcy. This varies from jurisdiction to jurisdiction and according to what type of bankruptcy you file. Once this fee is paid, that is all the bankruptcy will cost you, and the lawyer will not bill you further.
Hourly Fee Agreement
-
In an hourly fee agreement, an attorney logs the exact time he spends working on your bankruptcy case and charges you an hourly fee. The going hourly rate varies from jurisdiction to jurisdiction. An attorney may charge for time spent on the phone with you, court hearings and time doing legal work on your bankruptcy case.
-
Mixed Fee Agreement
-
A mixed fee agreement combines a flat fee and an hourly fee rate. An attorney will usually charge an initial flat fee that covers everything up to a certain point in time, when the attorney's services then become hourly. The fee agreement will specifically state when any further services become hourly billing, usually after confirmation of your bankruptcy plan with the bankruptcy court.
Personal Bankruptcy Fees
-
There are two types of personal bankruptcy, Chapter 7 and Chapter 13. In a Chapter 7 bankruptcy, an attorney's fee usually needs to be paid upfront before the bankruptcy proceeding or any work is done by the attorney. This is because a Chapter 7 bankruptcy moves along relatively quickly. In a Chapter 13 bankruptcy, you may have the option of paying a small retainer fee, then rolling your attorney's fees into your bankruptcy plan to be paid out during the continuation of your case.
What If I Can't Pay?
-
If you can't pay your attorney to file for bankruptcy, an attorney will sometimes allow you to create a payment plan for her services. This allows you to make payments in increments until you have enough money to file for bankruptcy. If you have already obtained the services of an attorney and do not have the money to pay, you can again request that the attorney allow you to make a payment plan to be paid off incrementally, or your attorney may file action against you to collect any unpaid fees.
-
