Published on:

Flat fees can also apply per stage, activity or milestone

Fixed charges by law firms are not limited to entire matters ($30,000 to complete this leaseback) or groups of matters (all our product liability cases in Ohio in 2006). Rather, a set charge can apply for a particular stage of activity, such as due diligence in an acquisition or until a motion for summary judgment is filed in a law suit. A fixed fee could depend on accomplishing an activity, such as completing an EEOC charge, even where there may be further work afterwards on the employment claim.

One can also fashion a fixed fee for a period of time, such as a flat rate for the first 90 days of a lawsuit. (See my post of Nov. 6, 2005 on Wal-Mart.)