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Sorted by Commenter - Ethics - State of California

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(3)<br />

(4)<br />

(5)<br />

(6)<br />

some form <strong>of</strong><br />

exceptions to Paragraph (e)'s ban on nonrefundable retainers in (e)(1)-(2)).<br />

There is no identifiable<br />

resulting from the current rules that<br />

retainer or that would be remedied <strong>by</strong> this sweeping change.<br />

The Proposal ignores the fact that in<br />

continued use <strong>of</strong> the nonrefundable retainer "earned when paid" as an<br />

fee arrangement. The Board <strong>of</strong> fixed<br />

fees flat fees " and "nonrefundable retainers" to be earned when paid, with title<br />

immediately transferring to the<br />

explicitly spelled out the arrangement with the inclusion <strong>of</strong> an<br />

that such fees paid in advance <strong>of</strong> legal services are "earned when paid.<br />

Paragraph (e)(1) (a true<br />

nonrefundable retainer as a minimum fee to<br />

will also be credited for future<br />

amount <strong>of</strong> the retainer. Rule<br />

ability to contract in a way that is<br />

would refuse) and prevents the lawyer from<br />

earned when received if he does any legal work while waiting for a case to be filed<br />

or rejected.<br />

Paragraph (e)(2)<br />

nonrefundable flat fee" to cover fees for the entire length <strong>of</strong> the case, including<br />

trial. Since flat fee should cover<br />

administrative evidentiary hearing) that <strong>of</strong>ten cannot be reasonably predicted prior<br />

to being retained, the<br />

contingencies is refundable, at least until the time that the contingencies occur,<br />

See Request That the Supreme Court <strong>of</strong> <strong>California</strong> Approve Amendments. .<br />

Rules <strong>of</strong> Pr<strong>of</strong>essional Conduct " October 1992, page 9.<br />

Although the proposed fixed fee,'<br />

flat fee' or ' nonrefundable fee,' such types <strong>of</strong> retainer fee<br />

permissible under the , such fees would<br />

required to be placed in the member s client trust unless the member<br />

written attorney-client fee , paid in<br />

advance <strong>of</strong> the provision <strong>of</strong>legal services, are earned when paid.<br />

140

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