Current through Register Vol. 54, No. 16, April 20, 2024
(a) A lawyer shall not enter into an agreement for, charge, or collect an illegal or clearly excessive fee. The factors to be considered in determining the propriety of a fee include the following:(1) whether the fee is fixed or contingent;(2) The time and labor required, the novelty and difficulty of the questions involved, and the skill requisite to perform the legal service properly;(3) The likelihood, if apparent to the client, that the acceptance of the particular employment will preclude other employment by the lawyer;(4) The fee customarily charged in the locality for similar legal services;(5) The amount involved and the results obtained;(6) The time limitations imposed by the client or by the circumstances;(7) The nature and length of the professional relationship with the client; and(8) The experience, reputation, and ability of the lawyer or lawyers performing the services.(b) When the lawyer has not regularly represented the client, the basis or rate of the fee shall be communicated to the client, in writing, before or within a reasonable time after commencing the representation.(c) A fee may be contingent on the outcome of the matter for which the service is rendered, except in a matter in which a contingent fee is prohibited by paragraph (d) or other law. A contingent fee agreement shall be in writing and shall state the method by which the fee is to be determined, including the percentage or percentages that shall accrue to the lawyer in the event of settlement, trial or appeal, litigation and other expenses to be deducted from the recovery, and whether such expenses are to be deducted before or after the contingent fee is calculated. Upon conclusion of a contingent fee matter, the lawyer shall provide the client with a written statement stating the outcome of the matter and, if there is a recovery, showing the remittance to the client and the method of its determination.(d) A lawyer shall not enter into an arrangement for, charge, or collect: (1) any fee in a domestic relations matter, the payment or amount of which is contingent upon the securing of a divorce or upon the amount of alimony or support; or(2) a contingent fee for representing a defendant in a criminal case.(e) A lawyer shall not divide a fee for legal services with another lawyer who is not in the same firm unless: (1) The client is advised of and does not object to the participation of all the lawyers involved, and(2) the total fee of the lawyers is not illegal or clearly excessive for all legal services they rendered the client.The provisions of this Rule 1.5 amended November 25, 2020, effective immediately, 50 Pa.B. 6993.