True Retainer Agreement

She has cashed a retainer or down payment and deducts her hourly rate while working for her client and earns the fees. However, under rule 3-700 (D) (2), a lawyer must repay the balance of the outstanding advance. Clients: Always get a written agreement with your lawyer, read it and ask them where you think you need more information and negotiate the terms if something is unacceptable to you. Make sure you know what you`re getting into! You simply cannot escape the fact that advances that are not “true” are eligible under Rule 3-700(D)(2), to the extent that they are not deserved, regardless of how the pricing agreement characterizes the payment [Matthew v. State Bar (1989) 49 Cal.3d 784; see also Federal Savings &Loan v. Angell, Holmes and Lea (9th Cir. 1988) 838 F.2d 395; 397-398].