One of the primary reasons why lawyers should always use an engagement letter is to specify the scope of work. The scope of work includes the tasks the lawyer will handle for the client, how long the lawyer will work on the case and the anticipated outcome. This limits the lawyer’s work and the amount of money the client will be spending.
Another reason lawyers should use engagement letters is for billing purposes. The engagement letter outlines the hourly rate or agreed-upon fee for the legal services, which is essential to ensure that both parties know the financial agreement upfront.
The contract should start with the contact information of both attorney and the client. The information should include the name, address, phone number etc.
The agreement should mention about the goal of the case and what expectation the client has on the attorney.
The agreement must include the duration of the engagement. And what if the engagement needs to be extended, mention the terms for that as well.
This is the most important aspect of any agreement. Without proper detail of payment terms, any engagement may lead to disaster.
An attorney engagement letter is a written agreement that describes the business relationship to be entered into by a client and an attorney. The letter details the scope of the agreement, its terms, and costs. The purpose of an attorney engagement letter is to set expectations on both sides of the agreement.
In many jurisdictions, letters of engagement are mandatory. Why is a letter of engagement necessary? Very importantly, it provides documentary proof in the event of a dispute. It goes without saying that this contract will protect an attorney from clients who keep shifting the goalposts.
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