Legal Fees: Types, their Causes and Cures

There are four main types of legal fees are routinely (and in one instance, non-routinely) charged by lawyers:

  1. Hourly fees
  2. Contingent fees
  3. Flat or fixed fees
  4. Non-refundable retainers

1. Hourly Fees

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Hourly fees are mostly self-explanatory: a fee that is charged by the hour or fraction of an hour.  Hourly fees are typically clear and uncontroversial, except when they are extremely high and/or coupled with another type of fee listed above.  Like other types of fees, hourly fees are usually reasonable if they are justifiable under the appropriate factors listed in Rule 1.04(b), Texas Disciplinary Rules of Professional Conduct.