Simple English definitions for legal terms
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Fee-splitting is when two or more lawyers divide the money they earn from a case. This can happen when one lawyer refers a case to another lawyer and they share the fee. However, some states think this is not okay. It can also happen when two lawyers work on a case together but are not in the same law firm. But, lawyers are not allowed to split fees with people who are not lawyers.
Fee-splitting is the practice of dividing attorney's fees between two or more lawyers. This can happen in two ways:
It is important to note that attorneys are not allowed to split fees with non-lawyers under most states' ethics rules.
Example 1: Lawyer A refers a client to Lawyer B for a personal injury case. Lawyer B wins the case and earns a fee of $10,000. Lawyer A and Lawyer B agree to split the fee equally. This is fee-splitting.
Example 2: Lawyer C and Lawyer D work together to represent a client in a divorce case. They both work on the case and earn a fee of $20,000. They agree to split the fee equally. This is also fee-splitting.
These examples illustrate how lawyers can split fees when they work together on a case or when one lawyer refers a case to another. However, it is important to follow the ethics rules of each state to avoid any unethical practices.