FIND LAWYERS
LEGAL DOCUMENTS
RESOURCES
Enterprise

What is a Retainer for a Lawyer?

January 17, 2022
Clients Rate Lawyers on our Platform 4.9/5 Stars
based on 3,464 reviews
Home Blog What is a Retainer for a Lawyer?

Need help with a Business Contract?

CREATE A FREE PROJECT POSTING
Post Project Now

A retainer for a lawyer is a payment based on a fee agreement between an attorney and a client. The retainer amount is paid upfront and is based on the attorney’s hourly rate or other agreed upon fee.

It is important to note that the retainer is the payment made to an attorney or law firm, while the legal retainer agreement is the written fee agreement, the contract into which you enter with the attorney.

What is a Legal Retainer Agreement?

A legal retainer agreement serves as a work-for-hire contract between the attorney and the client. The contract explains a period of work within which the attorney(s) will charge at a determined rate per hour. The work period may be defined or undefined. The legal retainer agreement may be for a particular matter or general services over a period of time.

For example, you meet with a lawyer to discuss an issue involving ongoing legal needs for your company. The lawyer will then provide you with a legal retainer agreement to review and sign so you can retain the attorney as counsel for your matter.

The legal services agreement may include the following six sections:

  1. Billing Rate. The billing rates for each professional who might work on your behalf. This includes the lead attorney, other partners, associates, and possibly paralegals. These fees will be quotes on a per-hour basis.
  2. Other Costs. Other costs that may be billable to you, the client. These fees may include server and court fees, as well as expert and consultant fees where necessary.
  3. Billing Frequency. How often you, the client, will be billed.
  4. Line Items. The expected itemization of the bills
  5. Client File Storage. Policies regarding the storing of the client files.
  6. Responsibilities. What, if any, responsibilities the attorney might have to the client if the representation ends before the legal matter is resolved

Here is an article outlining the specifics of a legal retainer agreement that includes additional references if you would like further information.

How Retainers for Lawyers Work

The lawyer retainer is basically an agreement between you and the lawyer that you would like to reserve a certain amount of the lawyer’s time. This time could be used for a specific issue or, in the case of a business, it might provide you with quick access to the attorney’s time.

A legal retainer is an amount of money that is given to the attorney in advance of their work for you. It is called a retainer because the money remains your property until the attorney has earned the payment, and allows you to ‘retain’ their services.

Hourly fees, for example, are deducted from the retainer on a regular schedule, as are other fees as they accrue. The schedule of deductions will be mentioned in the legal retainer agreement.

It is important to remember that the retainer amount is not meant to cover the entire cost of the attorney’s work. It may cover a percentage, no matter how small. It may also be more than enough for the work at hand, in which case, you will receive a refund of the unused amount.

If the retainer drops below a certain amount, the attorney or firm may request additional funds for the retainer. Those are funds to bring the amount back up to its original number in order to continue legal services.

Here is an article about how a legal retainer works.

Why Do Lawyers Use Retainers?

There are three good reasons why lawyers use retainers:

  1. Compensation. The retainer is a form of compensation for use of the attorney’s reputation. In the event that the name association could resolve the matter quickly, it’s in your best interest to have the attorney available for a letter, email, or telephone call.
  2. Availability. The attorney is also compensated for making themselves available to you throughout the course of events. If you need your attorney’s help, they will be there for you. Consequently, as a professional, the attorney is justified in knowing they will be compensated.
  3. Incurred Costs. The retainer protects the attorney for incurred costs as the work proceeds. They don’t have to worry about the expenses that arise from handling any particular matter. Also, if for whatever reason, you are unwilling or unable to pay the attorney the agreed upon fees, the attorney has the opportunity to recoup at least some of their costs.

Some clients might worry that by providing a retainer they may be paying for nothing if the matter should settle quickly and with little trouble. As mentioned above, the purpose of the retainer is to protect both you and the attorney. The money only changes hands when it is earned by the attorney or the firm.

The lawyer’s time may be charged by the hour, by the task, or by some combination of the two. Fees can take a variety of different forms:

  • Hourly Fee. The attorney keeps track of the time worked on a particular matter and charges a set rate per hour. Often, lawyers and firms will charge for fractions of the hour. That could be 5-minute, 6-minute, or 10-minute blocks as opposed to charging by the minute.
  • Engagement Fees. If the legal matter is substantial and potentially time consuming, you may need to pay a fee in addition to expected earned portion of the retainer. This engagement fee ensures that the lawyer or firm is compensated rather than lose money or business by taking on such a big case and possibly forgoing other work.
  • Flat Fees. A flat fee will cover all the work that the lawyer expects will be necessary in order to take care of your matter. Occasionally, there might be need for additional fees but that should be noted in your agreement.
  • Contingency Fee. This fee is the lawyer’s guarantee of a percentage of whatever monies are recovered in your case.

Click here for more information on attorney fees.

Meet some lawyers on our platform

Meghan T.

16 projects on CC
View Profile

Ryenne S.

64 projects on CC
View Profile

Anand A.

25 projects on CC
View Profile

Dean F.

1 project on CC
View Profile

Are Retainers Refunded by Lawyers?

That depends on the wording in your legal retainer agreement. It also depends on the nature of the agreed-upon billing.

If your agreement established a flat fee for the work on a particular matter, then you will not be receiving a refund. Even the lawyer was able to clear the matter quickly, effectively, and much faster than anticipated, they have earned that fixed fee.

However, if your agreement states that the lawyer will be working on an hourly basis with no flat fee, then you should be eligible for some kind of refund.

There are several very important steps that you should take before you sign a retainer agreement. Here is a list of tips that should help.

  • Read Carefully. Read the retainer agreement carefully from top to bottom, then read it again. Make sure you ask for clarification on any wording or subjects that you don’t understand.
  • Make a List. Make a list for yourself of the terms of the agreement as you understand them. As you read through the paperwork, compare your list to what is covered by the attorney.
  • Full Understanding. Make sure that you have a full understanding and agreement about the fees, the payment/billing schedule, and the scope of the engagement. You don’t want any surprises;
  • Don’t Rush. Remember that, barring an emergency situation, you are not in a rush. The attorney should not be pressuring you to sign and you should take your time until you are certain that all the points are perfectly clear.

Those steps are the key points to keep in mind as you move forward in your relationship with an attorney. For more information, take a look at this article here.

Get Help with a Legal Project

Post a project in ContractsCounsel’s marketplace to get fee proposals from lawyers in our network. All lawyers are vetted by our team and peer-reviewed by our customers for you to explore before hiring.

How ContractsCounsel Works
Hiring a lawyer on ContractsCounsel is easy, transparent and affordable.
1. Post a Free Project
Complete our 4-step process to provide info on what you need done.
2. Get Bids to Review
Receive flat-fee bids from lawyers in our marketplace to compare.
3. Start Your Project
Securely pay to start working with the lawyer you select.

Meet some of our Lawyers

View Cherryl
Member Since:
November 4, 2022

Cherryl M.

Contract Attorney
Free Consultation
Get Free Proposal
London, GB
4 Yrs Experience
Licensed in CA
University of California, Hastings College of the Law

I am a U.S. lawyer (licensed in California) and have recently relocated to London. I hold a bachelor’s degree in Political Science from the University of California, Berkeley and a Juris Doctor law degree from the University of California, Hastings College of the Law. I have extensive experience in providing legal services and support in areas of business, labor & employment, IP enforcement (patent infringement, copyright & trademark), and other litigation matters; Reviewing, drafting, and editing business and legal documents/contracts; Conducting legal research and analysis, drafting memorandums, pleadings, discovery, document review, various motions, mediation briefs, and other litigation related activities; Reviewing and preparation of templates, policies, and processes for compliance with laws and regulations; educating and advising on legal and compliance issues.

View Karl D.
Member Since:
October 28, 2022

Karl D. S.

Attorney
Free Consultation
Get Free Proposal
Middlebury, Connecticut
10 Yrs Experience
Licensed in CT, MA
Pepperdine University School of Law

Karl D. Shehu, has a multidisciplinary practice encompassing small business law, estate and legacy planning, real estate law, and litigation. Attorney Shehu has assisted families, physicians, professionals, and people of faith provide for their loved ones by crafting individualized estate and legacy plans. Protecting families and safeguarding families is his passion. Attorney Shehu routinely represents lenders, buyers, sellers, and businesses in real estate transactions, researching and resolving title defects, escrowing funds, and drafting lending documents. To date, Attorney Shehu has closed a real estate deal in every town in Connecticut. As a litigator, Attorney Shehu has proven willing to engage in contentious court battles to obtain results for his clients. While practicing at DLA Piper, LLP, in Boston, Attorney Shehu represented the world’s largest pharmaceutical companies in multidistrict litigations filed throughout the United States. He has been a passionate advocate for immigrants and the seriously injured, frequently advising against lowball settlement offers. He is willing to try every case to verdict, and he meticulously prepares every case for trial. Attorney Shehu began his legal career as a consumer lawyer, utilizing fee-shifting statutes to force unscrupulous businesses to pay the legal fees of aggrieved consumers. For example, in Access Therapies v. Mendoza, 1:13-cv-01317 (S.D. Ind. 2014), Attorney Shehu utilized unique interpretations of the Trafficking Victims Protection Act, Truth-in-Lending Act, and Racketeer Influenced and Corrupt Organizations Act (RICO) to obtain a favorable result for his immigrant client. Attorney Shehu is a Waterbury, Connecticut native. He attended Our Lady of Mount Carmel grammar school, The Loomis Chaffee School, and Chase Collegiate School before earning degrees from Boston College, the University of Oxford’s Said Business School in England, and Pepperdine University School of Law. At Oxford, Karl was voted president of his class. Outside of his law practice, Attorney Shehu has worked to improve the world around him by participating in numerous charitable endeavors. He is a former candidate for the Connecticut Senate and a parishioner of St. Patrick Parish and Oratory in Waterbury. In addition, Attorney Shehu has written extensively on the Twenty-fifth Amendment and law firm retention by multinational firms.

View Kimbrelly
Member Since:
November 1, 2022

Kimbrelly K.

Attorney
Free Consultation
Get Free Proposal
Lake Lure, NC
24 Yrs Experience
Licensed in NC
University of North Carolina at Chapel Hill

Attorney Kegler has been licensed to practice law in ​the State of North Carolina since 1998. Over the years,​ she has worked in firms that focused on small​ business financing, initial startup formation, to​ starting several businesses of her own with bootstrap​ financing to venture capital funding. As a Certified​ Dream Manager, she couples the skills of listening to​ understand the big picture to get to solutions that not​ only fit today's needs but also the long term needs of​ her entrepreneurial clients.​

View Christina
Member Since:
November 1, 2022

Christina S.

Managing Attorney
Free Consultation
Get Free Proposal
Kingsport, TN
11 Yrs Experience
Licensed in TN
Appalachian Law School

I am an attorney who has been practicing for over a decade, experienced in multiple areas of law, both from a litigation and more procedural side. The great thing about my practice is that it has trained me to deal with so many different types of problems and to find solutions in a variety of legal scenarios that are almost never similar.

View Maigan
Member Since:
November 2, 2022

Maigan W.

Principal Attorney
Free Consultation
Get Free Proposal
San Diego, California
1 Yr Experience
Licensed in CA
California Western School of LaW

Maigan is a registered nurse and attorney with tech law experience, specifically in Web3, including NFTs. Maigan acted as general counsel for a NFT platform for two years and speaks and understands smart contracts. As a registered nurse, Maigan is in a unique position to understand health law issues and graduated with a concentration in health law distinction. Maigan is happy to help you create a business entity, draft and negotiate contracts and agreements, apply for trademarks, draft terms of service and privacy notices, draft terms of sale for NFT drops, draft web3 licenses, and act as a consultant for other attorneys looking for someone who understands web3 and NFTs. Maigan speaks conversational Spanish.

View David
Member Since:
November 2, 2022

David W.

Attorney
Free Consultation
Get Free Proposal
Texas
6 Yrs Experience
Licensed in TX
South Texas College of Law

Founder David W. Weygandt, the Singing Lawyer, is passionate about helping families and businesses stay in tune with what they care about and avoid conflict. When injustice has been done, David is proud to stand up to the modern Goliath and vindicate your rights on your behalf. David lives and practices law in The Woodlands, Texas, and assists clients all across Texas.

View Dean
Member Since:
November 18, 2022

Dean F.

Managing Attorney
Free Consultation
Get Free Proposal
Castle Rock, CO
26 Yrs Experience
Licensed in CA, CO, TN
University of Mississippi School of Law

Ferraro Law Firm was founded by Dean C. Ferraro. Dean earned his Bachelor's Degree from California State Polytechnic University, Pomona ("Cal Poly Pomona") in 1992 and his J.D. Degree from the University of Mississippi School of Law ("Ole Miss") in 1996. He is licensed to practice law in the State Courts of Colorado, Tennessee, and California. Dean is also admitted to practice before the United States District Courts of Colorado (District of Colorado), California (Central District), and Tennessee (Eastern District). Shortly after earning his law license and working for a private law firm, Dean joined the District Attorney's office, where he worked for five successful years as one of the leading prosecuting attorneys in the State of Tennessee. After seven years of practicing law in Tennessee, Dean moved back to his birth state and practiced law in California from 2003-2015. In 2015, Dean moved with his family to Colorado, practicing law in beautiful Castle Rock, where he is recognized as a highly-effective attorney, well-versed in many areas of law. Dean's career has entailed practicing multiple areas of law, including civil litigation with a large law firm, prosecuting criminal cases as an Assistant District Attorney, In-House Counsel for Safeco Insurance, and as the founding member of an online law group that helped thousands of people get affordable legal services. Pursuing his passion for helping others, Dean now utilizes his legal and entrepreneurial experience to help his clients in their personal and business lives. Dean is also a bestselling author of two legal thrillers, Murder in Santa Barbara and Murder in Vail. He currently is working on his next legal thriller, The Grove Conspiracy, set to be published in 2023.

View Ben
Member Since:
November 28, 2022

Ben P.

Partner
Free Consultation
Get Free Proposal
Overland Park, KS
20 Yrs Experience
Licensed in KS, MO, VA
American University, Washington College of Law

Ben Prell is a "business concern" lawyer. Whether a legal issue or concern could develop into a dispute, or already has, he stands ready to advise, assist, and advocate for his clients. Over more than 20 years of practice, Ben has represented clients in all manner of business disputes. He has handled matters that include business ownership and control disputes, non-competition agreements, contract breaches, employment disputes, securities fraud, misappropriation of trade secrets, and intellectual property infringement. Ben provides advice and counsel to businesses regarding litigation and regulatory risk management, compliance with federal regulations, and contract negotiation, revisions and updates. Ben’s recent work includes the successful resolution of cases involving the defense of C-Level executives who became embroiled in larger disputes with their company’s buyers or creditors and the disputed ownership and control of multiple businesses. He has also served as counsel for court-appointed receivers, brought wrongful termination and compensation claims by executives and minority shareholders and addressed securities fraud claims, a partnership claim related to the development of a cellulosic ethanol plant, and a contract dispute involving information technology services. His efforts on behalf of his clients led to his recognition as one of Kansas and Missouri’s Rising Stars by Super Lawyers®.

View Ari
Member Since:
November 28, 2022

Ari G.

Of Counsel
Free Consultation
Get Free Proposal
Ann Arbor, MI
1 Yr Experience
Licensed in MI
University of Michigan

Ari is a transactional attorney with substantial experience serving clients in regulated industries. He has worked extensively with companies in regulated state cannabis markets on developing governance documents (LLC operating agreements, corporate bylaws, etc...), as well as drafting and negotiating all manner of business and real estate contracts.

View Jason
Member Since:
December 1, 2022

Jason P.

Business Lawyer
Free Consultation
Get Free Proposal
Portland, OR
6 Yrs Experience
Licensed in OR, WA
Lewis & Clark Law School

Jason is a self-starting, go-getting lawyer who takes a pragmatic approach to helping his clients. He co-founded Fortify Law because he was not satisfied with the traditional approach to providing legal services. He firmly believes that legal costs should be predictable, transparent and value-driven. Jason’s entrepreneurial mindset enables him to better understand his clients’ needs. His first taste of entrepreneurship came from an early age when he helped manage his family’s small free range cattle farm. Every morning, before school, he would deliver hay to a herd of 50 hungry cows. In addition, he was responsible for sweeping "the shop" at his parent's 40-employee HVAC business. Before becoming a lawyer, he clerked at the Lewis & Clark Small Business Legal Clinic where he handled a diverse range of legal issues including establishing new businesses, registering trademarks, and drafting contracts. He also spent time working with the in-house team at adidas® where, among other things, he reviewed and negotiated complex agreements and created training materials for employees. He also previously worked with Meriwether Group, a Portland-based business consulting firm focused on accelerating the growth of disruptive consumer brands and facilitating founder exits. These experiences have enabled Jason to not only understand the unique legal hurdles that can threaten a business, but also help position them for growth. Jason's practice focuses on Business and Intellectual Property Law, including: ​ -Reviewing and negotiating contracts -Resolving internal corporate disputes -Creating employment and HR policies -Registering and protecting intellectual property -Forming new businesses and subsidiaries -Facilitating Business mergers, acquisitions, and exit strategies -Conducting international business transactions ​​ In his free time, Jason is an adventure junkie and gear-head. He especially enjoys backpacking, kayaking, and snowboarding. He is also a technology enthusiast, craft beer connoisseur, and avid soccer player.

View Todd
Member Since:
December 7, 2022

Todd H.

Attorney
Free Consultation
Get Free Proposal
Virginia
19 Yrs Experience
Licensed in VA
University of Richmond

20 years experienced attorney, Corp/commercial RE/wills trusts/ contracts/ reg compliance

Find the best lawyer for your project

Browse Lawyers Now
CONTRACT LAWYERS BY CITY
Learn About Contracts
other helpful articles

"ContractsCounsel puts on-demand legal services in the cloud. Not only is their service more convenient and time-efficient than visiting brick and mortar offices, but it’s more affordable too—and I’ve been universally impressed by the quality of talent provided. If you’re looking for a modern way for your small business to meet legal needs, I can’t recommend them enough!"

5.0
CEO,
ZivergeTech

"This was an easy way to find an attorney to help me with a contract quickly. It was easy to work with Contracts Counsel to submit a bid and compare the lawyers on their experience and cost. I ended up finding someone who was a great fit for what I needed."

5.0
Consultant,
Healthcare

"ContractsCounsel suited my needs perfectly, and I really appreciate the work to get me a price that worked with my budget and the scope of work."

5.0
Musician,
Randy Gibson

"I would recommend Contracts Counsel if you require legal work."

5.0
President,
TAS Logistics

"ContractsCounsel helped me find a sensational lawyer who curated a contract fitting my needs quickly and efficiently. I really appreciated the ease of the system and the immediate responses from multiple lawyers!"

5.0
Life Coach,
Health & Wellness

"ContractsCounsel came through in a big way for my start up. Their platform put me in touch with the right lawyers for my industry and the team was as responsive as humanly possible during the whole process. I'll be back for more contract work in the future, as the lawyers they've vetted for these services are top tier."

5.0
Founder,
OptiMe

Want to speak to someone?

Get in touch below and we will schedule a time to connect!

Request a call

Stay in touch with us

Get helpful updates on where life and legal meet.

Thanks for submitting. We will be in touch shortly!

© 2020-2022, ContractsCounsel, Inc.

Disclaimer: ContractsCounsel is not a law firm and does not provide any kind of legal opinions, advice, or recommendations. The relationship between users and ContractsCounsel are not protected as attorney-client privilege or as legal work product. All relationships between business users and the independent lawyers featured on this website will be governed by the individual engagement letters provided by each lawyer. Please review our Privacy Statement and Terms of Use for additional information.