Engagement Letter - Legal Services

ENGAGEMENT AGREEMENT FOR LEGAL SERVICES

Date: [__/__/____]

This Engagement Agreement (the "Agreement") is between:

This is an hourly-fee agreement. Do not use it for a contingent-fee matter without replacing the fee provisions with an agreement that satisfies Alaska Rule of Professional Conduct 1.5(c).

1. Client and Scope of Representation

The Firm represents [CLIENT NAME] only. The Firm does not represent the Client's owners, officers, employees, affiliates, family members, insurers, or other persons unless a separate written agreement says otherwise.

The Firm will provide the following services:

[____________________________________________________________]

[____________________________________________________________]

The following services are excluded unless added by a written amendment:

☐ Appeal

☐ Post-judgment collection or enforcement

☐ Tax, business, regulatory, or benefits advice

☐ Representation in another matter or forum

☐ Other: [________________________________]

Any limitation on the representation must be reasonable under Alaska Rule of Professional Conduct 1.2(c). The Client controls the objectives of the representation and whether to offer or accept a settlement. The Firm will consult with the Client about the means used to pursue those objectives.

2. Staffing and Outside Professionals

The responsible lawyer is [NAME]. Other lawyers and supervised staff may work on the Matter at the rates in Exhibit A.

The Firm may incur routine costs authorized by this Agreement up to $[________] for any single item. The Firm will obtain the Client's approval before retaining an expert, investigator, consultant, or other outside professional whose anticipated charge exceeds that amount. Any separate lawyer or law firm will be engaged and any fee division documented only as permitted by the applicable professional-conduct rules.

3. Fees and Rate Changes

The Client will pay reasonable fees for work performed at the rates in Exhibit A. Time may be billed in increments of [____] hour. The Firm will not charge interest or a late fee unless a separate written term, reviewed for compliance with current Alaska law, states the lawful rate and method of calculation.

If the fee is expected to exceed $1,000, Alaska Rule of Professional Conduct 1.5(b) requires the basis or rate of the fee to be communicated in a written fee agreement before or within a reasonable time after representation begins. That written agreement must describe the scope and include the Rule 1.4(c) insurance disclosure. This Agreement is intended to provide those terms after all blanks and applicable choices are completed.

The Firm may change a rate only after giving advance written notice. A change does not alter the scope of representation.

4. Advance Deposit and Trust Account

The Client will deposit $[________] as an advance for future fees and expenses.

Under Alaska Rule of Professional Conduct 1.15(c), funds received for future fees and expenses will be placed in a client trust account and withdrawn only as fees are earned or expenses are incurred. The Firm will provide an accounting on request. The Client will replenish the deposit to $[________] within [____] days after written notice.

Any disputed amount held in trust will remain separate until the dispute is resolved; undisputed amounts will be distributed promptly. The Firm will refund any unearned or unincurred balance when the representation ends.

5. Expenses

The Client is responsible for the reasonable expenses selected below:

☐ Filing and service fees

☐ Court reporters, transcripts, and records

☐ Experts, investigators, and consultants

☐ Travel approved in advance by the Client

☐ Postage, delivery, copying, and other charges at the rates in Exhibit A

☐ Other: [________________________________]

Vendor charges may be paid from the trust deposit or billed to the Client as stated here: [________________________________].

6. Invoices and Questions

The Firm will send invoices ☐ monthly ☐ at these intervals: [________________________________]. Payment is due within [____] days after the invoice date.

The Client should identify any question or objection promptly and describe the disputed entry. The parties will first attempt to resolve the issue directly. Silence does not waive any right available under the Alaska Bar Rules.

7. Alaska Litigation Cost and Fee Warning

☐ This Matter involves litigation. Alaska Rule of Professional Conduct 1.5(b) requires the written fee agreement to notify the Client that the Client may be liable for an opposing party's costs, fees, or expenses if the Client is not the prevailing party. The Alaska Comment offers this notice:

Under the law, you may have to pay some or all of the costs, fees and expenses of your opponents in your case if you don't win your case or if you reject an offer that turns out to be better than your results at trial.

☐ This Matter does not presently involve litigation. If litigation is later added to the scope, the parties will complete a written amendment addressing this warning.

8. Malpractice-Insurance Disclosure

Complete one option. Alaska Rule of Professional Conduct 1.4(c) requires written disclosure if the lawyer lacks malpractice insurance of at least $100,000 per claim and $300,000 annual aggregate, if coverage falls below those amounts, or if coverage is terminated.

☐ The lawyer or Firm currently maintains malpractice insurance of at least $100,000 per claim and $300,000 annual aggregate.

☐ Required no-insurance disclosure: Alaska Rule of Professional Conduct 1.4(c) requires that you, as the client, be informed in writing if a lawyer does not have malpractice insurance of at least $100,000 per claim and $300,000 annual aggregate and if, at any time, a lawyer's malpractice insurance drops below these amounts or a lawyer's malpractice insurance coverage is terminated. You are therefore advised that [LAWYER OR FIRM] does not have malpractice insurance coverage of at least $100,000 per claim and $300,000 annual aggregate.

☐ Other required coverage-change disclosure attached as Exhibit B.

The Firm will provide any later disclosure required by Rule 1.4(c). This Section makes no representation about insurance unless the applicable option is selected and completed.

9. Communication, Confidentiality, and Client Duties

The Firm will keep the Client reasonably informed, respond promptly to reasonable requests for information, and explain the Matter sufficiently for informed decisions, as required by Alaska Rule of Professional Conduct 1.4.

The Firm will protect Client confidences and secrets as required by Alaska Rule of Professional Conduct 1.6. The Client will provide complete and accurate information, preserve relevant material, keep contact information current, appear when required, and promptly communicate material developments.

10. Conflicts of Interest

The Firm has performed a conflict check based on the information supplied as of [__/__/____]. Disclosures, if any, appear in Exhibit C.

This Agreement is not a blanket consent to future conflicts. If a conflict later arises, the Firm will evaluate it under Alaska Rules of Professional Conduct 1.7 through 1.10. The Firm will continue only if the conflict is waivable, the required conditions are satisfied, and each affected client gives informed consent confirmed in writing; otherwise, the Firm will decline or withdraw as required.

11. Ending the Representation

The Client may discharge the Firm at any time. The Firm may withdraw only as permitted or required by Alaska Rule of Professional Conduct 1.16 and applicable tribunal rules. Nonpayment or failure to cooperate may support withdrawal only after reasonable warning and does not eliminate any required notice, tribunal permission, or protective steps.

When the representation ends, the Firm will take reasonably practicable steps to protect the Client's interests, including reasonable notice, time to obtain other counsel, surrender of papers and property to which the Client is entitled, and refund of unearned fees or unincurred expenses. Papers may be retained only to the extent permitted by other law. The Firm's file-retention policy is attached as Exhibit D.

12. Fee-Dispute Resolution

The Alaska Bar Association Fee Dispute Resolution Program covers fee and cost disputes within Alaska Bar Rule 34, subject to the rule's exclusions and time limits. Arbitration is mandatory for an attorney when commenced by a client under Bar Rule 34(b), and a petition accepted for arbitration results in a binding determination under Bar Rule 40.

If the Firm files a civil action to collect fees, Bar Rule 39 requires the Firm to serve the prescribed notice of the Client's right to request fee arbitration or mediation. The Client generally must file the petition or request within 20 days after receiving that notice to avoid waiver and to seek a stay as provided by Rule 39.

This Agreement does not require arbitration of a malpractice or professional-misconduct damages claim, waive a jury trial, waive a disciplinary remedy, or prospectively limit the Firm's malpractice liability. Alaska Rule of Professional Conduct 1.8(h)(1) prohibits an agreement prospectively limiting a lawyer's malpractice liability to a client.

13. General Terms

This Agreement and its completed exhibits state the parties' agreement about this Matter. Any amendment to scope or fees must be in writing and accepted by both parties. If a provision is unenforceable, the remaining provisions remain effective to the extent permitted by law.

The Firm may not assign this Agreement or disclose Client information to a billing purchaser or collection provider except with any consent required by the professional-conduct rules and other law. No assignment relieves the Firm of its professional duties.

14. Signatures

The Client confirms that the Client has reviewed the completed Agreement, received an opportunity to ask questions, and received a copy.

LAWYER / FIRM

Signature: ________________________________________

Name and title: [________________________________]

Date: [__/__/____]

CLIENT

Signature: ________________________________________

Name and title, if applicable: [________________________________]

Date: [__/__/____]

Exhibits

• Exhibit A: Hourly rates, billing increments, and expense charges
• Exhibit B: Malpractice-insurance disclosure, if required
• Exhibit C: Conflict disclosures and any informed consent confirmed in writing
• Exhibit D: File-retention and destruction policy

Sources and References

• Alaska Rules of Professional Conduct (official Alaska Court System compilation)
• Alaska Bar Rules, including Rules 34-40 governing fee disputes (official Alaska Court System compilation)
• Alaska Court System — Rules of Court