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Contingency Fee Retainer Agreement Template for Canada

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Key Requirements PROMPT example:

Contingency Fee Retainer Agreement

"I need a Contingency Fee Retainer Agreement for a personal injury practice in Ontario, with a 30% contingency fee structure and specific provisions for handling disbursements in medical malpractice cases."

Document background
The Contingency Fee Retainer Agreement is a crucial document in Canadian legal practice that enables access to justice for clients who cannot afford traditional hourly legal fees. This agreement is commonly used in personal injury, employment disputes, class actions, and other civil litigation matters where monetary recovery is sought. It sets out the terms under which a lawyer will represent a client without upfront legal fees, instead receiving a percentage of any amount recovered through settlement or judgment. The agreement must comply with strict provincial law society regulations regarding fee caps, disclosure requirements, and client protections. It includes detailed provisions about fee calculation methods, treatment of disbursements, client rights, and termination provisions. This type of agreement is particularly important in ensuring access to legal services while protecting both client and lawyer interests through clear terms and transparent fee structures.
Suggested Sections

1. Parties: Identification of the lawyer/law firm and the client(s)

2. Background: Context of the legal matter and purpose of the agreement

3. Definitions: Key terms used throughout the agreement including 'recovered amount', 'disbursements', and 'contingency fee'

4. Scope of Services: Description of legal services to be provided and the specific matter being handled

5. Contingency Fee Structure: Detailed explanation of the percentage fee and how it will be calculated

6. Disbursements and Expenses: Explanation of costs separate from the contingency fee and how they will be handled

7. Payment Terms: When and how payment will be calculated and made from any settlement or judgment

8. Client's Rights and Obligations: Client's responsibilities and rights throughout the representation

9. Lawyer's Rights and Obligations: Lawyer's responsibilities and rights throughout the representation

10. Termination: Circumstances under which either party can end the agreement and the consequences

11. Governing Law: Specification that the agreement is governed by relevant provincial law

12. Acknowledgment and Signatures: Confirmation of understanding and acceptance of terms

Optional Sections

1. Multiple Client Provisions: Required when representing multiple clients in the same matter, addressing potential conflicts

2. Appeals Provisions: When the scope might include appeal proceedings and how fees would be handled

3. Assignment of Proceeds: When direct payment from settlement proceeds needs to be arranged

4. Alternative Fee Arrangements: When offering alternative fee structures if contingency is not successful

5. Class Action Provisions: Required for class action lawsuits, including court approval requirements

6. Third-Party Funding: When litigation funding might be involved in the case

7. Insurance Provisions: When dealing with insurance companies or coverage issues

8. Referral Fee Disclosure: When another lawyer has referred the case and will receive a fee

Suggested Schedules

1. Schedule A - Fee Calculation Examples: Detailed examples showing how the contingency fee will be calculated in various scenarios

2. Schedule B - Disbursements List: Comprehensive list of potential disbursements and their estimated costs

3. Schedule C - Client Rights Disclosure: Mandatory disclosure of client rights as required by the relevant Law Society

4. Schedule D - Risk Assessment: Assessment of case risks and potential outcomes

5. Appendix 1 - Provincial Law Society Requirements: Specific disclosures and forms required by the provincial law society

6. Appendix 2 - Related Party Consent Forms: Required forms for multiple clients or related parties

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

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Relevant Industries

Legal Services

Insurance

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Relevant Teams

Legal

Compliance

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Client Relations

Finance

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Relevant Roles

Lawyer

Legal Partner

Associate Lawyer

Managing Partner

Legal Operations Manager

Compliance Officer

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General Counsel

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Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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Contingency Fee Retainer Agreement

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