[CA] What are a client’s options when a former attorney asserts a contingency fee lien after withdrawing?

CA Legal (General)

Liz

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You could remind him that under California Business and Professions Code § 6148, an attorney must provide an itemized bill within 10 days of a client's request. Failure to do so can render the agreement voidable at the client's option.

California law requires that attorney fees be both reasonable and earned. If the attorney's lien is significantly higher than the settlement offer, it may be considered unreasonable and unenforceable under cases like Severson & Werson v. Bolinger.

If an attorney withdraws from representation without cause, they may waive their right to attorney’s fees according to the terms of the fee agreement. Withdrawal without justifiable cause can also result in forfeiture of fees under California law.

Professional negligence, such as failing to preserve a client's legal rights, can lead to forfeiture of fees. An attorney who materially harms a client’s case through professional error may lose the right to recover fees. This can also be a separate tort claim and a bar complaint.

So you could, for example, again offer him to withdraw the lien and you would then not exercise your rights to pursue claims against him.

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Attorney lien dispute.

Lexi, Chatbot

I understand that dealing with an attorney lien dispute can be quite stressful. Can you please provide some details about the nature of the lien in question?

Former attorney dropped on his own. Then he asserted a lien of $30,000. I then sent him a letter demanding for immediate release. He just responded, and I need help understanding what my options are.

Lexi, Chatbot

Have you already attempted to resolve this dispute, and if so, what steps have you taken?

Sent him a letter titled “Dispute of Attorney’s Fee Lien – Demand for Immediate Release.”

Liz

Hi there! My name is Liz and I’ve been an attorney for more than a decade, and I am here to assist with your legal concerns. So I can best help, what was his reasoning for placing the lien?

He worked on my case for a few months but then dropped me on his own.

Liz

He worked on your case for a few months but then dropped you. Before the lien, what services did he provide?

He prepared a complaint and demand letter, filed a complaint with the CA Labor Commission, and had a few correspondences with the opposing counsel.

Liz

Got it, thanks for sharing that. And did he ever provide any itemized billing? $30,000 seems like a lot for those tasks. Legally, under the bar ethics rules, he can only charge reasonable fees.

He did not. I requested itemized billing twice before he withdrew representation.

Liz

And did you have a signed fee agreement?

Yes.

Liz

Did it list how he was going to bill?

Contingency—30% to 50% depending on when the case was resolved.

Liz

And the offer was $7,500? Because his number again seems excessive. Have you considered fee arbitration through the bar?

I have considered it. I wrote I would in the letter I sent him.

Right now I am trying to figure out what to respond to him and what my options are.

Liz

So you could, for example, again offer him to withdraw the lien and you would then not exercise your rights to pursue claims against him.

So essentially just remind him of everything I included in the letter he just responded to? Because I already told him all those things.

Liz

Yes, and that essentially if he can’t agree or doesn’t want to mediate, you will have to take legal options.

Ok, will do. Thank you for your help.

Liz

You’re very welcome!

Liz

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