March 2004
Negotiating With Your Own Lawyer
By Brigham
Smith
How do you negotiate with someone you are paying to
negotiate on your behalf? The same way you
negotiate with anybody else—be up front.
The need
to be up front is especially pressing in the
lawyer-client relationship. So pressing, in fact,
that as lawyers we are taught early on to communicate
openly with potential clients and clear up any issues
about the nature of the relationship itself before going
any further. After all, your lawyer’s time should
be spent arguing for you, not with you.
Here are
some common issues you should discuss up front with any
lawyer you consider hiring:
- Money. What are the lawyer’s retainer
and hourly fee? Are these negotiable?
- Fee Structure. Will the lawyer take
the matter on a contingency basis? Most lawyers
require an hourly fee, but some plaintiff’s attorneys
will accept a percentage of whatever amount is
collected.
- Budget. How much time and money will this
matter require? Your lawyer should be able to
provide you with such an estimate.
- Realistic Outcomes. Whether we’re talking
about a potential deal or a lawsuit over a deal gone
sour, your lawyer should be able to project the best,
worst, and most likely outcomes.
For litigation at least, your attorney should also be
able to estimate, roughly, the suit’s chance of
succeeding. You can multiply this percentage by
what your attorney estimates the suit will cost to
determine if the suit is worth your while. For
example, if it will cost you $20,000 to collect a
$100,000 debt, you should only sue if your odds of
collecting are better than 20%.
These are only general rules of thumb, and they
aren’t the only ones, but they should help you in
negotiating up front with any lawyer you're considering
hiring.
For more information about Brigham Smith, please
see: http://www.honigman.com/attorneys/bio.asp?ID=S140468777