FEES

(a) A lawyer shall not make an agreement for, charge, or collect an unreasonable fee or an unreasonable amount for expenses. A fee or charge for expenses is unreasonable when, after a review of the facts, a lawyer of ordinary prudence would be left with a definite and firm conviction that the fee or expense is in excess of a reasonable fee or 11 to be considered expense. The reasonableness of a fee include the following: factors in determining the (1) (2) (3) (4) (5) (6) (7) the time and labor required, the novelty and difficulty of the questions involved, and the skill requisite to perform the legal service properly; likelihood the employment will preclude other employment by the lawyer; the acceptance of the particular that the range of fees customarily charged in the locality for similar legal services; the responsibility assumed, the amount involved and the results obtained; the time circumstances; limitations imposed by the client or by the the nature and length of the professional relationship with the client; the experience, reputation, and ability of the lawyer or lawyers performing the services; (8) whether the fee is fixed or contingent; (9) whether the client has given informed consent as to the fee arrangement; (10) whether the fee agreement is in writing; and (11) any other risks allocated by the fee agreement or potential benefits of the fee agreement, judged as of the time the fee agreement was made. (b) The scope of the representation and the basis or rate of the fee and expenses for which the client will be responsible shall be communicated to the client, preferably in writing, before or within a reasonable time after commencing the representation, except when the lawyer will charge a regularly represented client on the same 12 basis or rate. Any changes in the basis or rate of the fee or expenses shall also be communicated to the client. (c) A fee may be contingent on the outcome of the matter for which the service is rendered, except in a matter in which a contingent fee is prohibited by paragraph (d) or other law. A contingent fee agreement shall be in a writing signed by the client and shall state the method by which the fee is to be determined, including the percentage or percentages that shall accrue to the lawyer in the event of settlement, trial or appeal; litigation and other expenses to be deducted from the recovery; and whether such expenses are to be deducted before or after the contingent fee is calculated. The agreement must clearly notify the client of any expenses for which the client will be liable whether or not the client is the prevailing party. Upon conclusion of a contingent fee matter, the lawyer shall provide the client with a written statement stating the outcome of the matter and, if there is a recovery, showing the remittance to the client and the method of its determination. A general form of Contingent Fee Agreement is attached to the comments to this rule. (d) A lawyer shall not enter into an arrangement for, charge, or collect: (1) (2) (3) a contingent fee in any initial action for divorce, annulment, judicial separation, paternity or parentage, parental rights and responsibilities, visitation, guardianship, or child support, or in any post-judgment proceeding to modify, alter, or amend an order arising from these actions; or emancipation, grandparent a contingent fee for representing a defendant in a criminal case; or any fee to administer an estate in probate, the amount of which is based on a percentage of the value of the estate. (e) A lawyer shall not divide a fee for legal services with another lawyer who is not a partner in or associate of the lawyer’s law firm or office unless: 13 (1) after full disclosure, the client consents to the employment of the other lawyer and to the terms for the division of the fees, confirmed in writing; and (2) the total fee of the lawyers does not exceed reasonable compensation for all legal services they rendered to the client. (f) A lawyer may accept payment by credit card for legal services previously rendered, or for an advance payment of fees or nonrefundable fee otherwise permitted by these rules. (g) A lawyer practicing in this State shall submit, upon the request of the client, the resolution of any fee dispute in accordance with the Supreme Judicial Court’s rules governing fee arbitration. (h) A lawyer may enter into an agreement for a client to pay a nonrefundable fee that is earned before any legal services are rendered. The amount of such an earned fee must be reasonable, like any fee, in light of all relevant circumstances. A lawyer cannot accept a nonrefundable fee, or characterize a fee as nonrefundable, unless the lawyer complies with the following conditions: (1) The lawyer confirms to the client in writing before or within a reasonable time after commencing representation (a) that the funds will not be refundable and (b) the scope of availability and/or services the client is entitled to receive in exchange for the nonrefundable fee; (2) A lawyer shall not solicit or make any agreement with a client that prospectively waives the client’s right to challenge the reasonableness of a nonrefundable fee, except that a lawyer can enter into an agreement with a client that resolves an existing dispute over the reasonableness of a nonrefundable fee, if the client is separately represented or if the lawyer advises the client in writing of the desirability of seeking independent counsel and the client is given a reasonable opportunity to seek such independent counsel. 14 (3) Where it accurately reflects the terms of the parties’ agreement, and where such an arrangement is reasonable under all of the relevant circumstances and otherwise complies with this Rule, a fee agreement may describe a fee as “nonrefundable,” “guaranteed minimum,” or other similar description indicating that the funds will be deemed earned regardless whether the client terminates the representation. “earned on receipt,” a (i) A nonrefundable fee that complies with the requirements of (h)(1)-(2) above constitutes property of the lawyer that should not be commingled with client funds in the lawyer’s trust account. Any funds received in advance of rendering services that do not meet the requirements of (h)(1)-(3) constitute an advance that must be deposited in the lawyer’s trust account in accordance with Rule 1.15(b)(1) until such funds are earned by rendering services. (j) For definitions of “advance,” “retainer,” and “nonrefundable fee” as used in this Rule, see the definitions in Rule 1.0. 15 CONTINGENT FEE AGREEMENT To Be Executed In Duplicate Date , 20 The client, (Name) (Street & Number) (City or Town) retains the attorney (Name) (Street & Number) (City or Town) to perform the legal services mentioned in par. (1) below. The attorney agrees to perform them faithfully and with due diligence. (1) The claim, controversy, and other matters with reference to which the services are to be performed are: (2) The contingency upon which compensation is to be paid is: (3) The client is not to be liable to pay compensation otherwise than from amounts collected for the client by the attorney, except as follows: (4) Reasonable compensation on the foregoing contingency is to be paid by the client to the attorney, but such compensation (including that of any associated counsel) to be paid by the client shall not exceed the following maximum percentages of the gross (net) (indicate which) amount collected. Here insert the maximum percentages to be charged in the event of collection. These may be on a flat basis or in a descending scale in relation to amount collected.) (5) The client is to be liable to the attorney for the attorney's reasonable expenses and disbursements as hereinafter specified. A. Litigation costs. Costs of the action, including: 1. Filing fees paid to the clerk of courts; 2. Fees for service of process and other documents; 3. Attendance fees and travel costs paid to witnesses; 4. Expert witness fees and expenses; 5. Costs of medical reports; 6. Costs of visual aids; and 7. Costs of taking depositions. B. Travel expenses. Expenses for travel by the attorney on behalf of the client. C. Telephone. Disbursements for long-distance telephone calls made by the attorney on behalf of the client. D. Postage. Postage paid by the attorney for mailings on behalf of the client; and 1 E. Copying. Costs of photocopying and facsimile telecopying done by the attorney on behalf of the client. F. Other: (Specify). (The client agrees that fees paid pursuant to this agreement will be divided. Attorney________________ will receive ___________ (dollars or percent of the contingent fee) and Attorney ________________ will receive (dollars or percent of the contingent fee).) (6) This agreement and its performance are subject to Rule 1.5 of the Maine Rules of Professional Conduct. WE HAVE EACH READ THE ABOVE AGREEMENT BEFORE SIGNING IT. Witnesses to signatures To client: To attorney: Signature of Client Signature of Attorney (If more space is needed, separate sheets may be attached and initialed.) 2