How to Negotiate Lawyer's Fees
Retaining a lawyer can be an expensive proposition. Fortunately, new cost-saving billing arrangements, such as flat fees, are becoming more popular, and choices with regard to staffing and case strategy can have a profound impact on the amount of fees billed on a case. If you are considering filing suit or have been served with a complaint, be frank when you meet with your lawyer. There are ways to negotiate a fee you can live with.
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Understand billable hours. Lawyers keep track of their time in billable hours, noting what they do on a case and what fraction of an hour they spent doing it. Many lawyers bill in quarter-hour increments. Ask if it's possible for your lawyer to bill in tenths of an hour. It will add up.
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Talk hourly rates. Many law firms have rate schedules based on the complexity of a case. If your case is not as complex, you may be able to persuade your lawyer to offer you the lower hourly fee.
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Propose a flat fee. More and more lawyers are taking cases on a flat-fee basis; that is, you pay a flat amount for the lawyer's services and are not billed by the hour. Ask your lawyer if she would be agreeable to such an arrangement.
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Discuss staffing. If your lawyer is a partner or member in the firm, ask if she works with any associates and, if so, ask if they can be assigned to your case. Associates bill out at lower rates than partners. Also, don't complain if a paralegal is doing a lot of work on your case. With some exceptions, paralegals bill out at an even lower rate than associates, yet many of them have more experience with the day-to-day aspects of litigation.
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Talk case strategy. Even if your lawyer is not willing to reduce her hourly rate, she may be able to develop a less expensive approach to the case. For example, she could agree to do her best to keep depositions to a minimum, instead obtaining the information she needs through interrogatories, subpoena or other means. Depositions are interviews of witnesses taken under oath and transcribed by a court reporter. They may go on for several hours, and you will not only be billed for your lawyer's time attending the deposition (as well as the court reporter's time, if your lawyer was the one requesting the deposition), but she will bill you for preparation time as well. Interrogatories, on the other hand, are written questions answered in writing and are usually drafted by paralegals. The person to whom they are submitted answers them in writing, under oath, within a certain amount of time after receiving them. Because your attorney's involvement is limited, you save money if you can use interrogatories in place of a deposition. Be aware that your lawyer cannot control this completely. If counsel for one of the other parties schedules a deposition, your lawyer must prepare and attend. Also, if your lawyer decides that there are certain parties or witnesses she must depose, defer to her judgment.
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