18/08/2022
At Master Legal Cost Consultants we believe in helping you save costs on your Legal fees.
We created a 12 STEP guide to help you save costs on Legal Fees:
1. TALK ABOUT FEES. Bring up the subject of fees. Remember: Attorneys are in business for themselves and are free to set their own fees. Try negotiate regarding charges. It is best to discuss fees is at the beginning of a new legal matter.
2. REACH AN UNDERSTANDING WITH YOUR ATTORNEY ABOUT HOW YOU WILL BE CHARGED. The three basic ways of calculating fees are:
- BY THE HOUR. The rate will depend on where the attorney practices and on his or her skill and experience.
- a FLAT FEE. Sometimes attorneys will quote you a fee for a specific job, for example, R200 for a specific contract or R2,000 to represent you. This should be discussed and confirmed/set on paper.
- CONTINGENT FEE. A percentage (that the attorney takes) of the amount the attorney is able to obtain for you in a negotiated settlement or trial. If the attorney recovers nothing at all for you, it has to be paid out your pocket.
In addition to fees for services, attorneys generally charge for out-of-pocket expenses such as filing fees, long distance phone calls, and transcripts of testimony.
3. SEEK THE MOST BENEFICIAL FEE ARRANGEMENT FOR EACH PARTICULAR CASE. Suppose you have a R30,000 claim against another company; if you are confident that the attorney can easily settle the case for R25,000 with only a few hours work, suggest an hourly fee arrangement even though the attorney usually charges on a contingency basis.
4. TRY TO SETTLE CASES QUICKLY RATHER THAN LITIGATE. Litigation is expensive. Don't give in to the impulse to fight for the last Rand. Compromise rather than fight in court and spend allot on fees. You may be able to settle some minor matters yourself without the help of an attorney.
5. HAVE YOUR ATTORNEY Draw FORMS/CONTRACTS THAT YOU CAN USE IN ROUTINE TRANSACTIONS OR SELF EDUCATE AND DRAFT DOCUMENTS YOURSELF. Draft your own documents let your attorney check them then simply fill in the blanks when needed. You can consult with the attorney in special cases.
6. USE LESS EXPENSIVE ATTORNEYS FOR SMALLER MATTERS. Use your more experienced attorney for corporate matters, contracts, and bigger cases.
8. GIVE YOUR ATTORNEY COPIES OF ALL RELEVANT AND RELATED RECORDS IN A NEW CASE. (Be organised) The more information the better, be prepared, to spend less time in a consultation. Bring the records to the first meeting so there won't be unnecessary phone calls about missing items. Bring a timeline, notes, a list of witnesses, contact information, and relevant documents. Don’t put your attorney in a position where he/she needs to ‘beg’ for information.
9. SHARE COSTS WITH SOMEONE. A neighbouring business might benefit from a similar legal proceeding. If your attorney processes both applications at the same time and attends a single hearing on behalf of both companies you can split the costs. Caution: Before sharing your attorney with someone else, make sure there's no conflict of interest.
10. SUGGEST METHODS TO YOUR ATTORNEY TO SAVE COSTS. If your attorney proposes meetings that is too far, ask whether it could be handled by a conference phone call or zoom/teams meeting. Attorneys are not always as conscious of costs as they could be. Because of your business expertise, you can often point out ways to save money.
11. SEE YOUR ATTORNEY DURING NORMAL BUSINESS HOURS 9am-4pm. Some Attorneys charge extra for evening work, weekend work or public holidays. Arrange for meetings in your attorney’s office or over the phone. It's not necessary to pay for your attorney’s travel time.
12. DON'T ATTORNEY‘HOP’. Choose a local small business Attorney and build a relationship. Call or visit a number of attorneys and ask them about their fees. Comparing fees will help you avoid overpaying. But keep in mind that the cheapest hourly rate isn't necessarily the best.
Once you find a good attorney, stick with that person. An attorney who's familiar with your business can handle your affairs much more efficiently than a succession of attorneys, each of whom must learn it from scratch.
References: https://incafrica.com/library/19811201-8930
https://www.upcounsel.com/blog/3-simple-ways-to-save-money-on-startup-legal-fees
Tel: 082 494 4025
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https://www.legalcostconsultants.co.za/
