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Sorted by Commenter - Ethics - State of California

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ABA Model Rule<br />

Rule 1.5 Fees<br />

(e) A division <strong>of</strong> a fee between lawyers who are not<br />

in the same firm may be made only if:<br />

(1) the division is in proportion to the services<br />

performed <strong>by</strong> each lawyer or each lawyer<br />

assumes joint responsibility for the<br />

representation;<br />

(2) the client agrees to the arrangement,<br />

including the share each lawyer will receive,<br />

and the agreement is confirmed in writing;<br />

and<br />

(3) the total fee is reasonable.<br />

Commission’s Proposed Rule *<br />

Rule 1.5 Fees for Legal Services<br />

(e) A division <strong>of</strong> a fee between lawyers who are not<br />

in the same firm may be made only if:<br />

(1) the division is in proportion to the services<br />

performed <strong>by</strong> each lawyer or each lawyer<br />

assumes joint responsibility for the<br />

representation;<br />

(2) the client agrees to the arrangement,<br />

including the share each lawyer will receive,<br />

and the agreement is confirmed in writing;<br />

and<br />

(3) the total fee is reasonable.<br />

Explanation <strong>of</strong> Changes to the ABA Model Rule<br />

In the family law matters, <strong>California</strong> has a strong public policy <strong>of</strong><br />

promoting reconciliation and maintaining the family unit. Because<br />

a lawyer who is being paid on a contingent basis would recover a<br />

fee only if the marriage is dissolved and property apportioned,<br />

permitting contingent fees in these cases would undermine the<br />

<strong>California</strong> policy.<br />

In criminal cases, a lawyer who is being paid on a contingent basis<br />

would recover a fee only if the client is found not guilty. That<br />

would create a conflict for a lawyer if the best interests <strong>of</strong> the<br />

client, in light <strong>of</strong> the evidence, warrant the client entering a plea.<br />

The Commission recommends deletion <strong>of</strong> Model Rule 1.5(e)<br />

because the subject <strong>of</strong> fee divisions between lawyers is addressed<br />

in a separate rule. See proposed Rule 1.5.1. The Commission<br />

determined that fee divisions should be addressed in a freestanding<br />

rule because: (i) proposed Rule 1.5.1 is a substantial<br />

departure from the Model Rule (ii) the Commission is<br />

recommending several revisions to current rule 2-200 to impose<br />

more obligations on lawyers and enhance client protection, and<br />

(iii) <strong>of</strong> the large amount <strong>of</strong> litigation this Rule has traditionally<br />

engendered. See proposed Rule 1.5.1, Introduction, . 8.<br />

RRC - 4-200 1-5 - Compare - Rule Comment Explanation - DFT5 1 (02-08-10)KEM-ML-RD-KEM.doc {Note: Green/Italic text in the middle column indicates Model Rule text that has been moved rather than stricken.}<br />

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