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 Ohio, attorneys typically charge clients using one of three fee structures: hourly rates, contingent fees, or fixed fees. An hourly rate is a pre-agreed amount that the attorney charges for each hour spent working on the client's case. A contingent fee arrangement means the attorney receives a predetermined percentage of the client's recovery or settlement in the case; this is common in personal injury and other civil litigation matters. A fixed fee is a set amount that the attorney and client agree upon before the work begins, which is often used for more predictable legal services. When an attorney charges by the hour, they may require a fee deposit, also known as a retainer, which serves as a security for payment. This retainer must be replenished if it runs low, according to the terms of the agreement between the attorney and client. Importantly, any unearned portion of the fee deposit must be kept in the attorney's trust account and cannot be withdrawn until the attorney has performed the corresponding legal work and is entitled to payment.