Fees for Legal Services; Agreements

(a) Basis or Rate of an Attorney’s Fee. An attorney’s fee will be reasonable. The factors to be considered in determining the reasonableness of a fee include the following: (1) the time and labor required, the novelty and difficulty of the questions involved, and the skill requisite to properly perform the legal service; (2) the likelihood that the acceptance of the particular employment will preclude other employment by the attorney; (3) the fees customarily charged in the locality for similar legal services; (4) the amount involved and the results obtained; (5) the nature and length of the professional relationship with the client; (6) the time limitations imposed by the client or by the circumstances; (iii) whether such expenses are to be deducted before the contingent fee is calculated. Upon conclusion of a contingent fee matter, the attorney will provide the client with a written statement reporting the outcome of the matter and, if there is a recovery, showing the amount of the remittance to the client and the method of its determination. (d) Prohibited Attorney Fee Agreements. An attorney will not enter into an arrangement for, charge, or collect: (1) any fee in a domestic relations matter, the payment or amount of which is contingent upon the securing of a divorce or upon the amount of alimony or support, or property settlement in lieu thereof, except an action to collect past-due alimony or support payments; or (2) a fee contingent upon the outcome of a criminal case. (e) Fee Divisions Between Attorneys. A division of fees between attorneys who are not in the same law firm may be made only if: (1) the division is in proportion to the services performed by each attorney or, by written agreement with the client, each attorney assumes joint responsibility for the representation; (2) the client is advised of and does not object to the participation of all the attorneys involved; and (7) the experience, reputation, and ability of the attorney or attorneys performing the services; and (3) the total fee is reasonable. (8) whether the fee is fixed or contingent. fee agreement before commencing (b) Written Fee Agreement. If a fee will exceed $1000, the basis or rate of the fee shall be communicated to the client in a written the representation or within a reasonable time thereafter. This written fee agreement shall include the disclosure required under Alaska Rule of Professional Conduct 1.4(c). In a case involving litigation, the attorney shall notify the client in the written fee agreement of any costs, fees or expenses for which the client may be liable if the client is not the prevailing party. In the absence of a written fee agreement, the attorney must present clear and convincing evidence that the basis or rate of fee exceeded the amount alleged by the client. (c) Contingent Fees. 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 Section (d) of this rule, or by other law or court rules or decisions. A contingent fee agreement will be in writing and will include the disclosure required under Alaska Rule of Professional Conduct 1.4(c) and state the method by which the fee is to be determined, including: (i) the percentage or percentages that shall accrue to the attorney in the event of settlement, trial or appeal; provided, however, fees on appeal may be left to later negotiation; (Old Rule 35 [SCO 176] deleted and new Rule 35 added by SCO 780 effective March 15, 1987; amended by SCO 1331 effective January 15, 1999; and by SCO 1684 effective April 15, 2009)