Legal Fees
Explanation
This explanation aims to clarify the legal rules related to attorney fees, and it is not a substitute for the legal text. The law establishes the lawyer's right to receive a fee [honoraires] for the work they perform within their profession, in addition to their right to recover the expenses [frais] they paid for the case.
Fees are initially determined by an agreement between the lawyer and their client. However, if the dispute is civil and the agreed fee exceeds twenty percent of the dispute's value, the judiciary has the right to reduce this fee. If there is no written agreement, the judiciary determines the fees after consulting the Bar Council, taking into account the importance of the case, the volume of work completed, and the financial situation of the client.
When there is a written agreement, the lawyer can execute it directly through the enforcement department [département d'exécution] after obtaining permission from the President of the Bar. The Court of Appeal reviews objections to the execution with a final decision that is not subject to appeal. Submitting an objection does not automatically suspend the execution, but rather this requires an explicit decision from the court.
The law also regulates annual retainer agreements. If the client terminates the representation without a legitimate reason, or if the lawyer becomes incapacitated, retires, or dies, the lawyer or their heirs are entitled to compensation equivalent to two months for each year of representation, calculated on the basis of the last annual fees. An annual retainer lawyer who has reached the age of sixty and practiced the representation for twenty years also has the right to request to be relieved and is entitled to the same compensation.
The law addresses emergent situations regarding the representation. If unforeseen lawsuits branch out from the original lawsuit, the lawyer has the right to claim fees for them. If the client dismisses their lawyer without justification, the lawyer has the right to claim their full fees. However, if the lawyer withdraws from the representation for justifiable reasons, they are entitled to fees only for the work they have completed.
Finally, the law grants the lawyer's fee the status of a privileged debt [créance privilégiée]. This privilege guarantees the lawyer's right to collect their fees, provided that this does not conflict with other privileged rights stipulated by law, or with real rights [droits réels] that were registered before filing the lawsuit or requesting the fees.
Official legal articles
replace · 1991-02-21: Open the official text
Think deeper
Why did the law give the judiciary the right to reduce fees in civil matters if they exceed 20 percent of the dispute's value, and how does this balance with the principle of freedom of contract between the lawyer and the client?
Flashcards
When may the judiciary reduce the agreed-upon fee between the lawyer and the client?
This is permissible in civil matters if the fee exceeds 20 percent of the value of the dispute.
How is the fee determined in the absence of a written agreement?
It is up to the judiciary to determine it after obtaining the opinion of the Bar Council, taking into account the importance of the case, the work performed by the lawyer, and the client's condition.
What is the prerequisite for executing a written fee agreement through the enforcement department?
Permission must be duly obtained from the President of the Bar prior to execution.
Does submitting an objection before the Court of Appeal suspend the execution of a written fee agreement?
It does not suspend the execution, unless the Court of Appeal rules otherwise.
What is the compensation due to a lawyer upon the termination of their annual representation without a legitimate reason?
Compensation of one month for each year of representation based on the last annual fees or compensations they received.
What is the lawyer entitled to if their client dismisses them without justification?
They may claim their full fees.
What is the ranking of the lawyer's fee debt compared to real rights registered before the fee request?
The fee is considered a privileged debt, but this privilege does not affect real rights registered before filing the lawsuit or requesting the fee.
Practice questions
A lawyer agreed in writing with their client on fees amounting to 30% of the value of the disputed property in a civil lawsuit. What is the legal ruling for this agreement?
The judiciary may reduce the fee in civil matters if it exceeds twenty percent of the dispute value (Article 69).
In the absence of a written agreement specifying the fee, what are the criteria that the judiciary considers to determine it?
The judiciary determines the fees after obtaining the Bar Council opinion, considering the case importance, work performed, and client condition (Article 69).
A client submitted an objection before the Court of Appeal against the execution of a written fee agreement. What is the effect of this objection on the execution?
Submitting an objection against the execution of a written fee agreement does not suspend execution, unless the Court of Appeal rules otherwise (Article 69).
A 61-year-old lawyer has held an annual representation for a company for 22 years. The lawyer requested to be relieved from the representation. Is he entitled to compensation?
An annual representative aged sixty may request relief after twenty years of representation, and deserves one month compensation per year (Article 69).
During the consideration of a primary lawsuit, other branching lawsuits emerged that were not foreseen in the fee agreement. What is the lawyer's right?
The lawyer has the right to claim fees for branching lawsuits if they were not foreseen in the agreement (Article 70).
If the lawyer withdraws himself from the lawsuit for reasons that justify this withdrawal, what are his financial rights?
A lawyer who withdraws for justified reasons may claim fees for the work he has already performed (Article 71).
Case problems
Lawyer Samir concluded a written agreement with his client specifying his fees at 25% of the value of a civil dispute. After the judgment was issued, the client refused to pay the fees. Samir decided to execute the written agreement directly. What are the procedures that Samir must follow to execute the agreement? And what are the defenses that the client can raise before the competent court?
Model answer
To execute the written agreement, Lawyer Samir must first duly obtain permission from the President of the Bar.
After obtaining permission, he has the right to execute the agreement through the enforcement department.
The client can submit an objection to the execution before the Court of Appeal handling fee cases.
Since the dispute is of a civil nature and the fee exceeds 20% of the value of the dispute (it is 25%), the judiciary may reduce this fee.
It should be noted that the client's submission of an objection does not automatically suspend the execution, but rather the execution continues unless the Court of Appeal rules to suspend it.
Self-grading rubric
Lawyer Layla worked as an annual representative for a commercial company for 10 years with annual fees of $12,000. The company suddenly dismissed her without any legitimate reason. At the same time, Layla was handling a separate lawsuit for another client, but she was forced to withdraw herself from it for justifiable reasons. What are Layla's financial rights towards the company and towards the other client?
Model answer
Towards the commercial company: Since the company terminated the annual fee representation without a legitimate reason, the client (the company) owes compensation to the lawyer.
The amount of this compensation is one month for each year of representation, calculated on the basis of the last annual fees she received.
Since she worked for 10 years, she is entitled to compensation equivalent to 10 months of fees, calculated from the last annual salary.
Towards the other client: Since Lawyer Layla withdrew herself for reasons that justify this withdrawal, she may claim her fees for the work she actually performed in that lawsuit before her withdrawal, and she does not have the right to claim the full fees.