Attorneys generally charge their clients in one of three ways: (1) an agreed hourly rate, times the number of hours the attorney spends on the matter; (2) a contingent fee, in which the attorney receives a percentage of the amount recovered or received by the client in the matter; or (3) a fixed-fee in which the attorney charges an agreed amount (often with some or all of the fee paid before work begins). If the attorney is charging on an hourly basis, he may require a fee deposit (sometimes called a retainer) to secure payment of the hourly fees. The client may be required to replenish this fee deposit. The attorney must hold the unearned fee deposit in her trust account until she does the work and is entitled to some or all of the payment.
In Hawaii, attorneys may charge clients using one of three common fee structures: hourly rates, contingent fees, or fixed fees. Hourly rates involve charging a set amount per hour of work performed on a client's case. A retainer or fee deposit may be required upfront to secure the attorney's services, which is held in a trust account and used to cover the hours worked as the case progresses. Clients may need to replenish this deposit if it runs low before the matter is resolved. Contingent fees mean the attorney receives a percentage of the client's recovery or settlement, aligning the attorney's compensation with the outcome of the case. This is common in personal injury and other civil litigation matters. Fixed fees are agreed upon before work begins and are typically used for more predictable legal services. The attorney may request all or part of this fee in advance. Regardless of the fee arrangement, attorneys in Hawaii are bound by ethical rules to charge reasonable fees and to manage any advance payments appropriately, as dictated by the Hawaii Rules of Professional Conduct.