Alternative Fee Arrangements: Their Popularity Soars
There was a time when many lawyers, settled in their ways, thought that they could ignore alternative fee arrangements. That day is clearly gone. The 2010 Fulbright Litigation Trends Survey announced that 51% of the corporate counsel responding to the survey were using some form of alternative fee arrangements.
Why? They cite lower costs first, then predictability, and then risk sharing. So what kind of AFAs do they favor? It’s a very mixed bag with fixed fees, conditional or contingent fees, blended rates, capped fees and performance/reward-based fees. Clearly, there is a lot of exploration going on and a lot . . . [more]
