Today’s post is a short rant about the practice and dangers of discounting your legal fees, followed by a useful collection of 20 questions I found earlier that you should be asking yourself if you are discounting your fees.
I’ll start off by disclosing that I hate it when lawyers discount their fees. I especially hate it when this is done without any request by the client – a far more prevalent practice than is perhaps admitted – or consultation with others in the firm (including the practice of discounting on other lawyers’ rates in your firm without even asking them if this is OK!).
While I have a level of sympathy with Dentons argument – and the reality is that PEP figures really are meaningless to all but those who work in the firm, at the same time I do feel that the makings of this situation are those of the law firms themselves.
To expand, in the days prior to LLP status, law firms avoided the press – both legal and non-legal – like the plague. Then publications such as Martindale-Hubbell, Chambers and Asia Pacific Legal 500 started to gain traction and firms started to disclose the business/deals they had undertaken in the past 12 months in the hopes of getting good listings/rankings. In most cases this was done without firms asking their clients if they put any credit in these rankings and their feedback on the benefits of such a strategy.