Multistate Professional Responsibility Exam Practice Question
An attorney meets with a prospective client who needs representation in a defamation dispute. The attorney’s engagement letter specifies that an advanced fee is collected at the start, stating that no refund would be provided if representation ends. The client signs and later seeks a refund of unused fees. The attorney refuses. Which position best describes the attorney’s duty regarding the fee agreement?
The attorney is allowed to deny refunds once the client signs the contract. The agreement about nonrefundable status supersedes professional rules.
The attorney can rely on disclaimers about availability to justify retaining the advanced fees despite minimal work performed.
The attorney is allowed to revise the contract after the client ends representation to maintain control of the advanced fees.
The attorney is expected to return unearned fees. A contract removing refunds for work not completed violates ethical rules.
Lawyers must ensure that advanced fees are reasonable and earned. A lump-sum amount labeled as nonrefundable that deprives the client of recourse for unearned work can violate professional rules. An agreement must clarify whether part of the payment is a true retainer that compensates for availability or an advanced fee subject to refund for unearned work. A contractual clause that denies the client a refund for unearned fees is unenforceable. Other answers incorrectly suggest a contract can validly block refunds or rely on disclaimers to sidestep the need to account for unearned work. Revising the contract after representation ends is also improper.
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