The elephant in the room, when you’re talking about a family law case, is always going to be the lingering question of how much it will cost. One part of that will be – if you choose to retain counsel – exactly how much that representation will cost.
But there are other costs, too, and ones that you won’t want to ignore, especially as you look at the big picture. Will your housing costs change? Will you have to pay to move – and all of those related costs? Will you refinance? Rent a new place on a single income? Will you receive child and/or spousal support? Will you have to re-purchase items for the home that your ex took in the split? Will you refinance your car? Will you have to maintain your own health insurance? Take on a portion of the marital debt (and pay it on a single income)? Pay for the “extras” (like extracurricular activities) that child support doesn’t fully cover? Have to submit QDROS or go through costly appraisals or valuations?
There are a million different variables to consider and it’s smart to make sure that you’re taking them all into account, but – as far as the family law part is concerned – I can speak most reliably to the cost of retaining counsel. I know, I know, it’s only one part of a much larger picture, but it’s the only part of the process where I really have inside information.
How much does a family law attorney cost?
There’s no ‘one size fits all’ when it comes to divorce and/or custody representation. I wish there was, because it would make this article a lot easier to write. But there are some hard and fast rules that I can explain, so I’ll start there.
Most family law attorneys work on retainers. A retainer is an amount of money taken up front, put into an escrow account, and then billed from as work is done. Most retainers will have a “floor,” meaning that, after your account balance falls to a certain level, you will be expected to replenish and keep it at a specific level. You may have to “maintain” the original retainer amount, but usually this is a lesser amount. There may also be a clause that specifies a different “floor” when litigation is pending.
This is a way of guaranteeing that the attorney’s fees are paid. If you did a “pay as you go” fee structure, it would be far easier to run into a deficit. Lawyers, like most other people, can’t usually afford to work without pay. It’s not only our own paychecks – our own mortgages, electric bills, cell phone costs, and childcare fees – that matter, either; most attorneys also employ a number of paralegals and/or secretaries, as well as other office personnel, like firm administrators, bookkeepers, and receptionists. Everyone, unfortunately, has to be paid, much like people occupying those same positions in other industries require payment for their services.
It is possible that an attorney could work on a flat fee arrangement – meaning, “I’ll provide this specific service for this specific amount of money” – but they often don’t because there are so many variables in a family law case that can make it difficult to estimate costs ahead of time. Actually exchanging specific work – usually billed at a specific hourly rate in increments of a tenth of an hour as actual work is actually completed – for specific dollars is viewed, generally, as a more realistic way of keeping costs appropriate, so that the attorney is not underpaid and the client isn’t overpaying, which could – theoretically – happen on a flat fee system.
Family lawyers also can’t work on contingent fees. You’ve probably seen this in personal injury firm advertisements (“there’s no fee unless we get money for you!”) but it doesn’t work in family law. Not only is it considered unethical, but it wouldn’t be practical to administer. Most PI attorneys are taking 15-30% of your total overall settlement amount (and it could be more if you went to court). There’s no similar way to determine the “value” of a case ahead of time. After all, 10% or 20% or 30% of your total overall settlement would be bizarre. Do people who have a lot of money just have to pony up that kind of cash – or are people whose portfolios are worth less just not able to retain an attorney at all? It just doesn’t work, which is why it is considered unethical.
What kind of a retainer can I expect in a family law case?
Retainers involving litigation – going to court – are more than ones that don’t, though you could switch between retainer types at different points throughout your case. If you wanted to start trying to negotiate a separation agreement, you could later retain the attorney to represent you in a litigated case.
Typically, in the Hampton Roads area of Virginia, retainers for separation agreements (and custody agreements) start around $3,000 and go up from there.
A contested divorce case starts at more like $7,000 and goes up.
Contested custody in the juvenile court usually starts in the neighborhood of $5,000, depending on the type and complexity.
Keep in mind that a retainer is never an estimate of overall costs; it’s just an amount needed up front to retain the attorney and the law firm on the case. Your case could ultimately cost more or less; any additional fees would be payable subject to the terms of the retainer agreement you signed when you retained, and any leftover money would be refunded to you, also subject to the terms of the retainer agreement you signed when you retained.
How can I tell whether an attorney is more or less expensive than another?
The best way to determine overall cost is usually by looking at the attorney’s hourly ate, which is highly dependent on their geographical area as well as their years of experience. A more experienced attorney will generally charge more than a less experienced attorney.
Look, too, to whether the attorney has a dedicated paralegal, as this can be one big difference between how Attorney A and Attorney B run their practice. Particularly if one attorney is a solo attorney or in a very small firm, you may find that their hourly rate is lower, but that they’re juggling things that run the gamut – from court appearances to filing – that, in a larger firm would be delegated to a paralegal or even a secretary with a lesser (or even nonexistent) hourly rate.
But wait! There’s more.
There’s so much to say about attorney’s fees and costs in a family law case that this is only part 1. For more information stay tuned for part 2 – and visit our website at hoflaw.com in the meantime.