Flat Fee Billing

Alternative billing is back in the spotlight thanks to a new ad campaign by the Chicago law firm McguireWoods. (Click here for a sample of the ad.) Marketing professional Larry Bodine reports that McguireWoods is raising some eyebrows with the marketing message "It's not about serving the clock. It's about serving our clients."

Flat fee arrangements are not unknown in domestic relations practices. Alabama lawyer Lee Borden handles uncontested divorces for a flat fee. If you are really adventurous you can try using a flat fee system even in contested proceedings. The idea is to identify discrete tasks, such as "draft petition" or "answer interrogatories," and assign a flat fee to each. To see an example, take a look at this sample fee schedule from ProDoc.

Flat fee billing can also make sense for appeals. The amount of work involved is reasonably predictable, and clients appreciate knowing in advance what the appeal will cost.

Flat fee billing rewards efficiency, improves collections, and reduces fee disputes. And if McguireWoods is right, it can also help you market your practice.