Legal fees can be structured in several ways, depending on the nature of the services and the agreement between the business and the legal provider. Common structures include:
Hourly Billing: This is the most traditional form of billing, where the attorney charges a fixed rate per hour of work. Flat Fees: For certain types of work, such as drafting a standard contract, a flat fee might be charged. Retainer Fees: A retainer is an upfront cost paid to secure the services of an attorney, which can then be drawn down as work is completed. Contingency Fees: Common in litigation, this type of fee is only paid if the attorney wins the case, usually as a percentage of the settlement or judgment amount.