Fee Agreement Letter and Its Sample

A fee agreement letter can be defined as a contract where 2 parties agree to a structure of fee for services. Mostly, it is used by lawyers & their clients. Some countries require such a letter for lawyers. After he/she agrees to represent someone, the lawyer provides the details of fee agreement.

Contents

What Does a Fee Agreement Mean?

A fee agreement is also well known as a retainer agreement. Some people also call it a representation agreement. This kind of agreement sets out the fees and the terms of the relationship between a lawyer and his/her client.

What Should Be Included in a Fee Agreement Letter?

This kind of agreement letter should contain the following elements:

  • The basic costs
  • The services covered
  • Scope of Work
  • The responsibility of the customer or client
  • The list of terms & conditions for termination if the fee is on-going
  • A disclaimer for expectations

How to Write a Fee Agreement Letter

Writing such a letter can be done with the following steps:

  • First of all, you have to create a polite salutation.
  • Second of all, you should state the fee agreement.
  • Then, make the details of the fee agreement including the fees, scope of work, client responsibilities, and termination.
  • After that, request to sign & return the letter if the terms are accepted.
  • For the next step, include your contact details.
  • Last but not least, sign and date the agreement letter.

Tips for Writing a Fee Agreement Letter

When writing such a letter, make sure that you consider the following tips:

  • Use the proper format.
  • Be as detailed as possible.
  • Pay attention to any details, spelling, and grammar.
  • Keep it concise, brief, and easy to understand.
  • Proofread the letter to avoid any errors & mistakes.

Fee Agreement Letter Sample

For your reference, we provide you a sample of a letter for a fee agreement below:

 

Dear Mr. Mike Strong,

After our meeting, I’ve agreed to represent you regarding the break of your business partnership. The fees & scopes are summarized below:

Fees:

Retainer: $ 4,000/month covering phone conversations, arbitration appearances, and in person meetings.

Extra hourly research: $ 150/hour, not to exceed $ 1,500/month total.

Scope of Work:

The firm will represent you in legal proceedings during arbitration & possible court appearance. It aims to keep the company intact & operable. It also aims to leave the client’s partner with adequate retirement without straining the corporation.

Client Responsibilities:

Any requests must be replied in 48 hours. Besides, the client should be available once a month for a review. The client must also come to all arbitration meetings.

Termination:

If the notice of a termination is given, the month’s retainer & current research hours will be billed. All documents will be turned to the client.

If you accept these terms, sign & return this letter.

Thomas Wryan

Arm Corporations

(111)-111-1111

Joseph Ronald

Thomas Wryan

 

That is all about a fee agreement letter. Hopefully, the guidelines and a sample above will help you a lot.

 

 

 

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