What term refers to an advance or down payment given to engage the services of an attorney?

What term refers to an advance or down payment given to engage the services of an attorney?

• A. Fixed fee
• B. Retainer
• C. Contingency fee
• D. Hourly rate

Answer: (B)

An advance payment to engage an attorney is called a retainer. It acts as a deposit to secure the attorney’s services and to cover initial work and costs. The funds are typically held in trust and drawn down as work is performed, with the option to replenish if more work is needed. This differs from a fixed fee, which is a set price for a defined service regardless of time spent. It also differs from a contingency fee, which is paid only if you win or settle and is usually a percentage of the recovery. And it’s distinct from billing by the hour, where you’re charged for each hour worked rather than paying an upfront deposit to secure representation.

An advance payment to engage an attorney is called a retainer. It acts as a deposit to secure the attorney’s services and to cover initial work and costs. The funds are typically held in trust and drawn down as work is performed, with the option to replenish if more work is needed. This differs from a fixed fee, which is a set price for a defined service regardless of time spent. It also differs from a contingency fee, which is paid only if you win or settle and is usually a percentage of the recovery. And it’s distinct from billing by the hour, where you’re charged for each hour worked rather than paying an upfront deposit to secure representation.