My wife's father died a couple of years ago. We went to the attorney who wrote the parent's trust years ago to settle things. She is the sole direct beneficiary with her son as contingent beneficiary. We had four goals:
1. Make wife trustee of the trust.
2. Create a declaration/abstract of trust so she can deal with trust issues with third parties.
3. Oversee distribution of house to wife and prepare deed in her name.
4. Advise on how the house distribution should be completed to not trigger a property tax reassessment. (Parent/child transfer.)
All information and original documents were brought to the original meeting where the death of the wife (my wife's mother) six months prior was discussed. No recommendations were made at the meeting other than the fact we should publish, even if there is not probate, just in case there was something out there we didn't know about. For the work we got a contract to pay $5,000 unrefundable with $1,000 for costs. (Mostly publication.)
Things become busy and nothing seems to get done, although my wife is not really putting any pressure on attorney. (Who was also having personal problems at the time. His spouse died a short time before our meeting and he got remarried during the time no work was getting done on the project. I motivated my wife and we both again went to the attorney a year after our original meeting with our goals and told him that all we want is the work done and don't really want to worry or talk about what was or was not done previously. He agreed. Although at this meeting he seemed to be surprised mom had died.
After a month he sends a bill for 20 hours of $500 work. Along with that, there was an affidavit of death to sign. There was credit given for the 5K paid on the bill. We told him to stop all work.
The one complication is the trust was a standard AB trust where father did not fund the B trust on mother's death.
The attorney has not given any advice or identified any legal issues to us in the work he did. We have no idea how much more it would cost to complete the engagement with the attorney and achieve our goals. Yet, we have $5K outstanding invoice with the guy and I'm wondering my next steps.
I have been quoted, from two other attorneys, fixed cost engagements for a $1-2 thousand less than the $5,000 we thought was a fixed price contract with the current attorney. The billing from the current attorney with the 20 hours was pretty sloppily done. Block billing, the attorney charging his $500 rate for him copying and typing in forms as he now has a virtual office rather than a fixed business with employees, and the hours of research without identifying any issues that would call for it are all major problems. If I go to the county Bar's billing arbitration, I honestly don't think he would win. We'd owe something, but with the dual claims of thinking it was a fixed fee contract that was reasonable to what others would charge and the problems in the billing from him treating it like an hourly fee contract, I have no idea what would be fair.
My plan is to send a letter to the attorney and restate our goals--which haven't changed from notes and some emails to the attorney from the start. Describe why we felt the contract was fixed fee (additional billings at rates listed in the contract was for additional services) and tell him we expect the goals achieved for the money he already has.
What could go in the letter, but I'm not sure if now is the time, is a detailed explanation as to why we feel the billing is balderdash to the point of fraud. But then the game is on and the goals are delayed until we go through whatever arbitration, litigation and ethics complaints require. Because of the amount billed, even getting another attorney to achieve the goals before resolving things with the current attorney could put us on the line for the other attorneys costs in addition to this one's.
What would the tone of your letter be? Would you offer to pay some of the additional billing IF the goals are completed?
1. Make wife trustee of the trust.
2. Create a declaration/abstract of trust so she can deal with trust issues with third parties.
3. Oversee distribution of house to wife and prepare deed in her name.
4. Advise on how the house distribution should be completed to not trigger a property tax reassessment. (Parent/child transfer.)
All information and original documents were brought to the original meeting where the death of the wife (my wife's mother) six months prior was discussed. No recommendations were made at the meeting other than the fact we should publish, even if there is not probate, just in case there was something out there we didn't know about. For the work we got a contract to pay $5,000 unrefundable with $1,000 for costs. (Mostly publication.)
Things become busy and nothing seems to get done, although my wife is not really putting any pressure on attorney. (Who was also having personal problems at the time. His spouse died a short time before our meeting and he got remarried during the time no work was getting done on the project. I motivated my wife and we both again went to the attorney a year after our original meeting with our goals and told him that all we want is the work done and don't really want to worry or talk about what was or was not done previously. He agreed. Although at this meeting he seemed to be surprised mom had died.
After a month he sends a bill for 20 hours of $500 work. Along with that, there was an affidavit of death to sign. There was credit given for the 5K paid on the bill. We told him to stop all work.
The one complication is the trust was a standard AB trust where father did not fund the B trust on mother's death.
The attorney has not given any advice or identified any legal issues to us in the work he did. We have no idea how much more it would cost to complete the engagement with the attorney and achieve our goals. Yet, we have $5K outstanding invoice with the guy and I'm wondering my next steps.
I have been quoted, from two other attorneys, fixed cost engagements for a $1-2 thousand less than the $5,000 we thought was a fixed price contract with the current attorney. The billing from the current attorney with the 20 hours was pretty sloppily done. Block billing, the attorney charging his $500 rate for him copying and typing in forms as he now has a virtual office rather than a fixed business with employees, and the hours of research without identifying any issues that would call for it are all major problems. If I go to the county Bar's billing arbitration, I honestly don't think he would win. We'd owe something, but with the dual claims of thinking it was a fixed fee contract that was reasonable to what others would charge and the problems in the billing from him treating it like an hourly fee contract, I have no idea what would be fair.
My plan is to send a letter to the attorney and restate our goals--which haven't changed from notes and some emails to the attorney from the start. Describe why we felt the contract was fixed fee (additional billings at rates listed in the contract was for additional services) and tell him we expect the goals achieved for the money he already has.
What could go in the letter, but I'm not sure if now is the time, is a detailed explanation as to why we feel the billing is balderdash to the point of fraud. But then the game is on and the goals are delayed until we go through whatever arbitration, litigation and ethics complaints require. Because of the amount billed, even getting another attorney to achieve the goals before resolving things with the current attorney could put us on the line for the other attorneys costs in addition to this one's.
What would the tone of your letter be? Would you offer to pay some of the additional billing IF the goals are completed?