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Alternative Fee Arrangements
With clients seeking savings and a greater degree of predictability in their outside legal spend, alternative fee arrangements are becoming more common. Fulbright's 6th Annual Litigation Trends Survey of senior corporate counsel reveals that more than a third of the respondents increased their use of alternative fee arrangements because of the economic downturn. See Fulbright's 6th Annual Litigation Trends Survey Report, Fulbright & Jaworski L.L.P. (2009) at 3. Yet law firms are concerned that changing their fee models will negatively impact profitability. How can a law firm choose a fee arrangement that is beneficial for the client and calculated to be profitable for the firm? Once that fee is set, how can the law firm best manage the engagement to ensure sustained profitability? How can it measure profitability in this new environment?
Aligning the Law Firm's Perspective to the Client's
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