Schedule of Fees: Personal Injury 1/3 to 50% Civil Litigation (including hourly fees) 25% Family Law 20%
Myths regarding referral fees in Texas:
1. Referral fees are no longer permitted. FALSE
2. Referral fees are permitted, but the referring lawyer must do a prportionate amount of the work. FALSE-if the referring lawyer assumes joint responsibility (as stated in all of my firm's engagement contracts), the referring lawyer is not obligated to do ANY of the work on the case to receive his/her full referral fee.
3. Referral fees are not permitted in family law cases. FALSE-there is no rule or case that so states.
There is a misconception among lawyers about the current state of "referral fees" among lawyers in Texas. Contrary to popular belief, referral fees are still permitted and the changes implemented in March of 2005 to the Texas Disciplinary Rules of Professional Conduct (see text of Rule 1.04(f) below) were not particularly onerous.
Since opening my office in 2001, the singlemost important factor in growing my firm has been referrals from other lawyers. My network of referral lawyers continues to grow very quickly because lawyers know that I ALWAYS pay referral fees and I always pay them PROMPTLY. Additionally, I regularly keep my referral sources advised of the status of the case.
Rule 1.04 (f) of the Texas Disciplinary Rules of Professional Conduct.
A division or arrangement for division of a fee between lawyers who are not in the same firm may be made only if:
(1) the division is: (i) in proportion to the professional services performed by each lawyer; or (ii) made between lawyers who assume joint responsibility for the representation; and (2) the client consents in writing to the terms of the arrangement prior to the time of the association or referral proposed, including
(i) the identity of all lawyers or law firms who will participate in the fee-sharing arrangement, and (ii) whether fees will be divided based on the proportion of services performed or by lawyers agreeing to assume joint responsibility for the representation, and (iii) the share of the fee that each lawyer or law firm will receive or, if the division is based on the proportion of services performed, the basis on which the division will be made; and
(3) the aggregate fee does not violate paragraph (a).
(g) Every agreement that allows a lawyer or law firm to associate other counsel in the representation of a person, or to refer the person to other counsel for such representation, and that results in such an association with or referral to a different law firm or a lawyer in such a different firm, shall be confirmed by an arrangement conforming to paragraph (g). Consent by a client or a prospective client without knowledge of the information specified in subparagraph (f)(2) does not constitute a confirmation within the meaning of this rule. No attorney shall collect or seek to collect fees or expenses in connection with any such agreement that is not confirmed in that way, except for:
(1) the reasonable value of legal services provided to that person; and (2) the reasonable and necessary expenses actually incurred on behalf of that person
Since I met Hal in 2001, I have referred him more than 100 cases and have always been impressed with his ability to get incredible results for his clients, as well as his prompt payment of referral fees. Archie "Trey" Henderson, employment lawyer, Houston.
I can't tell you how many cases I have referred to other lawyers without getting so much as a phone call, much less a referral fee. I have been extremely impressed with Hal's effectiveness and the fact that I actually get paid!! Adam G. Schachter, bankruptcy attorney, Houston.
Hal is fearless and organized and this results in happy clients and large referral fees. I send Hal cases with confidence that he will do a fantastic job and I will get paid my referral fee as soon as he gets paid. Art Warren, criminal defense attorney, Houston.
The Hale Firm, P.C. 1800 St. James Place, Suite 105 (713) 784-7700