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It's more nuanced and squishy than that. Let's say I'm half way through litigation and we want to talk settlement. I'm going to say something like "if we win,
by thathndude 4y ago
It's more nuanced and squishy than that. Let's say I'm half way through litigation and we want to talk settlement.
I'm going to say something like "if we win, my client is going to get $6,000, and I'll have a claim for fees of $20,000 (based on my time in the claim so far)." So then I'm going to use that as a basis to make a settlement demand of $30,000.
And then we play negotiation ping pong. I'm likely going to discount the portion I attribute to my fees because they're uncertain (what if I lose?). And then the client ultimately makes an individualized decision wheter we settle and on what terms.
- swores 4y ago> And then the client ultimately makes an individualized decision wheter we settle and on what terms. Could you please elaborate on how that works? To continue your example story, let's say you decide that rather than $20k you're willing to settle with taking $15k for your fees; and let's say they counter your $30k offer with "$20k take it or leave it". Do you then give the client a choice of "you get $5k instead of $6k if we settle, your choice between that or going to court"? Which could equally be "you get $1k instead of $6k" if you earlier decided to only lower your fee for settling from $20k to $19k? Or does the client actually get more power than that somehow / at what stages do they get info & get to make what decisions or proposals? (edit: and I'm just asking for curiosity since I'm not in the US, but maybe you could also clarify if what you're saying is true for the US or just for your state?)
- thathndude 4y agoIt's all going to depend on the retention agreement with the attorney and how they agree attorneys' fees will be paid.