Colorado Notice to Client of Client's Right to Arbitrate Dispute over Attorney's Fees

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Multi-State
Control #:
US-02641BG
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Description

Arbitration is an alternative means of settling a dispute by impartial persons without proceeding to a court trial. It is sometimes preferred as a means of settling a matter in order to avoid the expense, delay, and acrimony of litigation. There is no discovery and there are simplified rules of evidence in arbitration. The arbitrator or arbitrators are selected directly by the parties or are chosen in accordance with the terms of a contract in which the parties have agreed to use a court-ordered arbitrator or an arbitrator from the American Arbitration Association.


Courts have the inherent authority to supervise the charging of fees for legal services under their power to regulate the practice of law. A growing number of states, the courts and bar associations are seeking to encourage out-of-court resolution of fee disputes between attorneys and clients in alternative dispute resolution programs established and administered by bar associations. Typically these programs provide a client with the opportunity to voluntarily submit a fee dispute to either arbitration or mediation.


This form is a generic example that may be referred to when preparing such a form for your particular state. It is for illustrative purposes only. Local laws should be consulted to determine any specific requirements for such a form in a particular jurisdiction.

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FAQ

The State Bar's Mandatory Fee Arbitration Program is an informal, confidential, and lower-cost forum for resolving fee disputes between lawyers and their clients. This kind of arbitration is required for a lawyer if requested by a client.

Generally, a party in a breach of contract action is entitled to compensatory damages. However, if provided for in the contract itself, a party may recover attorney's fees in a breach of contract action.

Contingency fees mean you will pay the lawyer a certain percentage of the money you receive if you win the case or settle the matter out of court. If you lose your case, the lawyer does not receive any payment from you.

Employer to Pay Arbitration Fees. Further, requiring the employee to bear expenses may restrict or limit the employee's ability to bring claims. The Court, therefore, concluded that the employer should be required to pay all types of costs that are unique to arbitration. 3.

If an attorney is claiming that you owe an outstanding balance of fees and/or costs, the attorney must forward a ?Notice of Client's Right to Arbitration? form approved by the State Bar to you prior to filing a lawsuit or other proceeding to collect the amount owed.

A notice for arbitration is sent when a party wishes to submit the dispute with the other party to arbitration for resolution.

The General Rule in California: The Winner Does NOT Receive Attorney Fees and Costs: There is a common misconception that court decisions require the loser in a lawsuit to reimburse the winner for the fees and costs incurred during the lawsuit.

There are two main types of costs in arbitration ? administrative fees paid to the American Arbitration Association, and arbitrator compensation and expenses paid to the arbitrator who decides the case.

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Colorado Notice to Client of Client's Right to Arbitrate Dispute over Attorney's Fees