Sorted by Commenter - Ethics - State of California
Sorted by Commenter - Ethics - State of California
Sorted by Commenter - Ethics - State of California
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ABA Model Rule<br />
Rule 1.5 Fees<br />
Comment<br />
amount <strong>of</strong> the fee and whether and to what extent<br />
the client will be responsible for any costs, expenses<br />
or disbursements in the course <strong>of</strong> the representation.<br />
A written statement concerning the terms <strong>of</strong> the<br />
engagement reduces the possibility <strong>of</strong><br />
misunderstanding.<br />
[3] Contingent fees, like any other fees, are subject<br />
to the reasonableness standard <strong>of</strong> paragraph (a) <strong>of</strong><br />
this Rule. In determining whether a particular<br />
contingent fee is reasonable, or whether it is<br />
reasonable to charge any form <strong>of</strong> contingent fee, a<br />
lawyer must consider the factors that are relevant<br />
under the circumstances. Applicable law may<br />
impose limitations on contingent fees, such as a<br />
ceiling on the percentage allowable, or may require a<br />
lawyer to <strong>of</strong>fer clients an alternative basis for the fee.<br />
Applicable law also may apply to situations other<br />
than a contingent fee, for example, government<br />
regulations regarding fees in certain tax matters.<br />
Commission’s Proposed Rule<br />
Rule 1.5 Fees for Legal Services<br />
Comment<br />
amount <strong>of</strong> the fee and whether and to what extent<br />
the client will be responsible for any costs, expenses<br />
or disbursements in the course <strong>of</strong> the representation.<br />
A written statement concerning the fee terms <strong>of</strong> the<br />
engagement reduces the possibility <strong>of</strong><br />
misunderstanding.<br />
[3] Contingent fees, like any other fees, are subject<br />
to the reasonableness standard <strong>of</strong> paragraph (a) <strong>of</strong><br />
this Rule. In determining whether a particular<br />
contingent fee is reasonable, or whether it is<br />
reasonable to charge any form <strong>of</strong> contingent fee, a<br />
lawyer must consider the factors that are relevant<br />
under the circumstances. Applicable law may<br />
impose limitations on contingent fees, such as a<br />
ceiling on the percentage allowable, or may require a<br />
lawyer to <strong>of</strong>fer clients an alternative basis for the fee.<br />
Applicable law also may apply to situations other<br />
than a contingent fee, for example, government<br />
regulations regarding fees in certain tax matters.<br />
[2] In many circumstances, Business and<br />
Pr<strong>of</strong>essions Code, sections 6147 and 6148 govern<br />
what a lawyer is required to include in a fee<br />
agreement, and provide consequences for a lawyer's<br />
failure to comply with the requirements. (See, e.g., In<br />
re Harney (1995) 3 Cal. <strong>State</strong> Bar Ct. Rptr. 266.)<br />
Explanation <strong>of</strong> Changes to the ABA Model Rule<br />
The Commission recommends that Model Rule 1.5, cmt. [3] be<br />
rejected for the reasons given in the Explanation <strong>of</strong> Changes for<br />
Model Rule 1.5(c).<br />
Comment [2] has no counterpart in the Model Rule. It contains<br />
cross-references to Bus. & Pr<strong>of</strong>. Code §§ 6147 and 6148, which<br />
govern contingent and other fee agreements in <strong>California</strong>. See<br />
also Explanation <strong>of</strong> Changes Model Rule 1.5(b) and (c).<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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