There are many reasons why an attorney might defer their fees. Perhaps the client is unable to pay at the outset of the case, or maybe the attorney is taking on a pro bono case. Whatever the reason, attorney fee deferral can be a helpful tool for both attorneys and clients.
If you are an attorney considering deferring your fees, there are a few things to keep in mind. First, make sure you have a clear agreement with your client regarding when and how they will pay you. This agreement should be in writing so that there is no confusion later on. Second, consider whether you will continue to work on the case if it goes to trial or appeals—this could impact how much you ultimately receive from your client. Finally, make sure you understand your state’s laws regarding attorney fee deferral so that you can comply with them.
If you are a client seeking an attorney who will defer their fees, there are a few things to keep in mind as well. First, be upfront with the attorney about your financial situation and why you cannot pay at the outset of the case. Second, be prepared to sign a written agreement with the attorney regarding when and how you will pay them. Third, understand that if the case goes to trial or appeals, the attorney may require additional compensation. Finally, know that not all attorneys offer fee deferral, so you may need to shop around to find one who does.
Fee deferral can be a helpful arrangement for both attorneys and clients, but it is important to understand the potential risks and rewards before entering into such an agreement.
Tips for Attorneys Considering Fee Deferral:
There are many reasons why an attorney might defer their fees. Perhaps the client is unable to pay at the outset of the case, or maybe the attorney is taking on a pro bono case. Whatever the reason, attorney fee deferral can be a helpful tool for both attorneys and clients.
If you are an attorney considering deferring your fees, there are a few things to keep in mind. First, make sure you have a clear agreement with your client regarding when and how they will pay you. This agreement should be in writing so that there is no confusion later on. Second, consider whether you will continue to work on the case if it goes to trial or appeals—this could impact how much you ultimately receive from your client. Finally, make sure you understand your state’s laws regarding attorney fee deferral so that you can comply with them.
Entering into a fee deferral agreement can be a helpful arrangement for both attorneys and clients, but it is important to understand the potential risks and rewards before entering into such an agreement.
Amicus Capital Group, LLC offers a legally documented strategy that minimizes taxes and increases growth for law firms. Our attorney fee deferral options offer more flexibility than those offered through domestic non-qualified assignment companies which are subject to IRS section 72(u). Need help with attorney deferral fees in Santa Clarita, CA? Contact us today!
