Dueling may be outlawed, but at the start of an engagement law departments and their law firms sometimes walk back 10 paces, turn and fire. In this country, law departments blast away with their outside counsel guidelines; law firms return fire with their retention letters. Neither document will disappear, but the two sides can take a shot at improving the exchange. This article starts with a bit of history on both documents and then considers both sides of the shootout.
For many years, law firms undertook matters for companies after routinely sending a letter of retention, which the in-house lawyer or client dutifully signed. Even now, the typical retention letter from a law firm explains how it will bill for its work on the matter, including expenses; limits the enforceability of its representations regarding budgets and outcomes; details how it figures its bills and its right to be paid and to hold attorneys’ liens; narrows any interpretations of conflicts of interest; and covers assorted points in its favor that the law firm thought important to explain. Often, state ethics rules require a firm to include certain terms. A retention letter strongly favors its drafter, the law firm.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.
For questions call 1-877-256-2472 or contact us at [email protected]
