If you`re an attorney in California, it`s important to have a fee splitting agreement in place with any co-counsel or referral sources you work with. This agreement outlines how the fees from a case will be divided between the parties involved.
To ensure that your fee splitting agreement is comprehensive and legally sound, it can be helpful to use a sample agreement as a starting point. Here are some key provisions that should be included in a California attorney fee splitting agreement sample:
1. Scope of representation
The agreement should specify the scope of the representation that each party will provide in the case. This can include identifying which party will be responsible for handling certain tasks and outlining how communication will occur between the parties.
2. Division of fees
The agreement must clearly state how the fees from the case will be divided. In California, fee splitting agreements must comply with Rule 1.5.1 of the Rules of Professional Conduct, which requires that the division of fees be reasonable and proportionate to the services provided by each attorney.
3. Allocation of expenses
The agreement should also address how expenses related to the case will be allocated among the parties. This can include things like court costs, deposition fees, and expert witness fees.
4. Payment terms
The agreement should outline when and how payments will be made to each party. This can include specifying whether payments will be made in lump sums or on a monthly basis, and whether any fees will be held in escrow until certain conditions are met.
5. Termination of the agreement
Finally, the agreement should address how and when the agreement can be terminated. This can include listing specific conditions that would trigger termination, such as a breach of the agreement by one of the parties.
Using a sample fee splitting agreement as a starting point can be a helpful way to ensure that your agreement includes all of the necessary provisions, and complies with California law. However, it`s important to have an experienced attorney review the agreement to ensure that it meets your specific needs and complies with all legal requirements.