SAMPLE CONTINGENT FEE COLLECTION AGREEMENT
The Client Retains Attorney Bernard J. Hamill, Esquire of 36 Miller Stile Road, Quincy, Massachusetts 02169, or any associate counsel of his choice.
1. The services to be performed are: To collect money Client ________________is owed by
debtor_________________________ in the amount of _________________.
3. We will handle Collection matters for you on a contingent fee basis
of one third (33 1/3%) of any and all amounts collected. You agree
to advance the costs of filing an action to us prior to suit and these
are in addition to and separate from the fees. Generally these costs are
in the range of $250 for filing fees and service by sheriff of the summons
4. You agree that we are authorized to initiate Collection by a demand letter. If you are not paid in full or substantially in full you authorize us to file suit 30 days after the demand letter is sent and or take the matter to judgement .
5. Where payment is made to you prior to the filing of suit but after
we have been engaged by you signing this contract and a letter has been
sent or a phone call made by our office to the debtor, then a lesser fee
may be charged in the discretion of the Attorney. In no case will the
reduced fee be less than ten percent of the amounts collected or agreed
upon in a payment plan. Counsel's fee is earned/vested upon any payment
by debtor directly to creditor/client once the debtor receives any correspondence
or legal papers from our law firm
6. You authorize us to endorse and negotiate and/or deposit checks collected
on your behalf into our clients trust account and withdraw our portion
(fees and costs) of said funds. You authorize us as your agent to forward
matters to other law firms and or to associate or co-counsel with other
firms at no additional costs to client.
7. You agree to forward to us all payments received directly from debtors
on assigned accounts, for deposit into our trust account; in event same
does not occur you agree to pay us immediately the applicable collection
fee on the said payment. The contingent rate is due to us if you or any
one designated by you receive any funds or other consideration from any
source by or on behalf of any person or entity against whom we are retained
by you to pursue in any Collection matter.
8. You agree to pay us at our then prevailing hourly rates in matters
or portions of matters which are not Collection matters. Such hourly rates
vary with respect to the individual rendering such service and their hourly
rate in effect at the time the services are performed. Attorneys' hourly
rates, which are subject to periodic adjustments, are currently Two Hundred
9. "Collection matters" are matters in which we seek to recover
money and/or personal property for you from a third party inside the United
States. They do not include disputed claims, counterclaims or defenses,
defense of cross-complaints or counter-claims or separate suits against
you. (Including claims of non-performance; product defects, etc.)
10.Attorney reserves the right to cease work on any file it deems substantially
'uncollectable" in its own discretion. This determination may include
the decision that it is economically unfeasible for the law firm to continue
litigation or collection efforts because there are insufficient assets
to justify collection. If in our opinion, the case involves an unsecured/
substantially uncollectible claim or bankruptcy, we reserve the right
either to withdraw representation or take the claim to judgment.
11. You shall be responsible for and agree to pay all costs and disbursements
incurred. We may, at our sole option, advance costs and disbursements,
which are immediately due. We reserve the right to require additional
funds which shall be deposited in our trust account and credited to your
account and shall be and constitute an advance payment against which our
subsequent charges for any non-contingent legal fees and costs shall be
debited. The costs include but not limited to: filing fees, witness fees,
asset searchs, private investigators, travel, sheriff's and constable's
fees, expenses of depositions, investigative expenses, charges for photocopies
and telephone, and other incidental expenses as incurred.
12. If we withdraw or are discharged for any reason, we shall be entitled
to receive from you any and all monies due and owing to us on account
of legal fees incurred and/or costs advanced and/or the reasonable value
of our services and/or a lien on any pending action upon which we provided
collection and/or legal services. It is further agreed that we may prepare,
at our expense, and retain, a duplicate file with respect to all services
rendered on your behalf.
13. This agreement is deemed entered into in the State of Massachusetts.
In the event of litigation to enforce or interpret these terms and provisions,
the parties agree that (a) it can only be filed in the District or Superior
Court located in Norfolk County, Massachusetts, and (b) the prevailing
party therein will be entitled to reasonable attorney's fees and costs
14. If this Agreement is signed on your behalf, you and the person signing
on your behalf each warrant that the person signing has full authority
as agent to bind you to the terms of this Agreement. Client agrees that
the attached "engagement letter" is incorporated herein as part
of this fee agreement.
15. This Agreement may be executed in counterparts, and your signature
on this or any Assignment Form or submissions of collection matters to
us deems acceptance of these terms. Any copy of this Agreement shall have
the same effect as an original. This Agreement shall become effective
only after we have both signed it.
to an Attorney now: 1-617-479-4300