LawBank Hosts CLE Program on Fee Sharing, Office Sharing and File Retention
As part of their CLE offerings to the solo and small law firm community, LawBank hosted a lunchtime presentation on fee sharing, office sharing and file retention on October 20, 2021. The program was led by Jonathan White, Professional Development Counsel and Inventory Counsel at the Office of Attorney Regulation Counsel. Much of the content covered in the presentation stemmed from guidance in light of the COVID-19 pandemic and working remotely. Jonathan shared fundamentals and explained the rules that pertain to attorneys who are working in shared office space or are not in the same law firm.
To begin the presentation, Jonathan discussed fee sharing fundamentals. He noted that if attorneys are looking to share a fee, it is approved under the Rules of Professional Conduct, specifically under Rule 1.5(d). However, it is approved only if the division of the fee is in proportion to services performed, and the client needs to agree and confirm in writing. The total fee must also be reasonable, and the client must agree to how the fees will be split. Jonathan then covered Colorado ethics opinions, including the Colorado Bar Association Ethics Committee’s Formal Opinion 143 which was released in July 2021. Jonathan shared his suggested guidance of always ensuring you avoid surprises to the client when it comes to fees. He then discussed the ABA’s unique ethics opinion —Formal Opinion 487, which pertains to handling a contingent fee case when one layer’s services have been terminated.
Jonathan reminded participants that referral fees are not allowed in Colorado under Rule 1.5(e), though this is different in some other states. He then discussed contingent fee agreements and Rule 1.5(c), which put into place a number of requirements that contingent fee agreements must meet. Jonathan shared resources available to members and non-members of the Colorado Bar Association at cobar.org, under the “members” tab and “ethics” option. Next, Jonathan covered the topic of office sharing. He explained Colorado Rules 1.6(a), 1.6(c), and 1.9(c), which deal with changes due to COVID-19, including technology and avoiding inadvertent disclosure. Jonathan’s recommendations for protecting data included a data breach policy, encryption for transmitting documents, and disabling listening devices.
The next topic of discussion was file retention and what attorneys must keep in terms of a client file. According to Colorado Rule 1.16A, an attorney is required to hold onto files for ten years unless destruction is authorized or the file is delivered to the client. However, if it is a criminal defense matter, there is different guidance that Jonathan recommends looking into. To conclude the presentation, Jonathan provided commentary on professionalism for October’s
“Professionalism Month,” and suggested that lawyers read the Colorado Attorney Oath of Admission.
If you are interested in future programming or CLE offerings, visit the events page to view upcoming programs hosted by LawBank.
ABOUT LAWBANK
LawBank is the premier community for independent law firms. With central locations in Denver and Las Vegas, LawBank offers a total office solution for solo and small law firms to thrive. Members have access to a variety of office spaces, educational and CLE offerings, professional development and a collegial environment where they can take advantage of referrals and co-counsel relationships. If you are looking for a new home for your solo or small law firm or considering transitioning to an independent practice, reach out to LawBank to
