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Hybrid billing arrangements: blended and full rates

Consider this permutation on billing. A law department I know has arranged with a law firm to have its lawyers work on a blended rate (about $220 per hour) with the exception of the lead partner, who bills at his hourly rate less a discount.

By this balancing act, the department encourages that particular partner to devote sufficient time to matters, yet gets the benefit of a fixed rate for the rest of the firm’s lawyers. Many of the techniques for alternative billing have mix-and-match potential, as demonstrated with this arrangement.