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Thursday, April 15, 2010

What is a retainer?

In "lawyerspeak", a retainer can refer to at least one (or both) of the following:

1. The agreement you and your lawyer will sign at the commencement of your solicitor-client relationship. It will form the basis of that relationship and it will confirm its key terms, for example, what you are retaining the lawyer to do, at what rate you will be billed and how often, who will work on your file (eg: juniors, law clerks);

and

2. The amount of money you will pay to your lawyer at the beginning of your relationship (and which you will be expected to replenish from time to time) from which your lawyer will pay his or her fees. This sum of money is held by the lawyer in his or her trust account and can be debited only once your lawyer renders an account to you.  The funds representing your retainer do not belong to the lawyer. They are your funds and your lawyer can only access them once an account is rendered and to the extent of that account.

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