Attorney Flat Fee Agreement Texas

In Opinion 611 (2011) of the Professional Ethics Committee, it is stated that “attorneys` fees for future services are a non-refundable withholding at the time of receipt only if the fee as a whole is a reasonable fee to ensure the availability of a lawyer`s future services and to compensate the lawyer for exclusion from further employment, which results from the acceptance of a job for the client.¬†Although often confused as a tax, a “reservator” used as an advance for services is not a tax. The lawyer does not deserve the fees and the retainer is therefore refundable. In contrast, a “flat-rate tax”,” often used in criminal defense agreements, is a non-refundable fee, which is preferred to provide the services of a lawyer and pay him for the loss of the opportunity to accept another job.

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