Alternative Fee Arrangements Gaining Steam

It’s no surprise that one of the biggest concerns in the lawyer-client relationship involves fees. After all, even the most clear-cut fee agreements can be difficult to swallow—for the client as well as the lawyer. Well, as we’re fond of saying around the office, “Times have changed. We’ve changed with the times.”

According to the American Bar Association (ABA), the trying economic environment of the last few years has given rise to a change in the structure of legal fee agreements. Gone are the days of the rigid hourly billing method, the modern trend points towards alternative fee arrangements that provide flexibility for both lawyer and client. In fact, the ABA has reported that in a recent survey regarding alternative fee arrangements, “Of the 218 law firm respondents, only one reported that their firm does not employ alternatives to the hourly billing rate model other than discounting.” An A For Alternatives, ABA Journal, vol. 98, Nov. 2012.

The rise of alternative fee agreements has proven to be a boon to the industry. While many legal services are still best served through hourly billing, alternative fee arrangements expand the range of services that a firm can offer. Here at Stanger & Arnold, we recognize that certain situations call for alternative solutions. Contact our office if you’d like to learn more about our alternative fee arrangements.