Managing the Client Relationship

Question 1

What are the four stages of managing the client relationship?

Answer 1

1/ initial client/matter screening
2/ non-engagement or engagement
3/ implementation
4/ disengagement or completion

Question 2

What should a non-engagement letter include?

Answer 2

• date of interview/consultation
• confirm that paralegal is not retained for matter discussed
• explain the reasons for declining the retainer in general terms
• refer to any applicable statute of limitations and upcoming court dates, urge immediate action if appropriate
• DO NOT include any opinion or advice regarding the matter unless careful research to support the opinion has been done, and the matter is within the paralegal’s scope of practice
• recommend the prospective client seek other legal representation
• list any documentation or other property provided during the consultation, being returned
• send letter via registered mail/process server, or any method that allows paralegal to confirm delivery
• copy and retain in paralegal’s file.

Question 3

What should be included in an engagement letter/retainer agreement?

Answer 3

• clearly identify clients via legal names
• identify any specific needs that the client may have
• explain elements of a joint retainer if applicable
• outline other issues re confidential information
• confirm client’s goals and the suggested strategy to meet those goals
• outline scope of representation and set out any limits
• advise client of CSO representation limitations, if applicable
• specify what the paralegal needs from the client for representation
• describe key steps and processes in representation
• identify the paralegal primarily responsible for the retainer and any additional staff members who will be involved/their functions
• provide an estimated time for the key steps and completion of the matter
• set out the method and frequency with which the paralegal will communicate w the client
  -CLEARLY OUTLINE FEES and type of fees
• clearly outline potential disbursements and indicate client responsibilities for those
• indicate whether a money retainer is required and when it needs to be replenished.
• indicate when client can expect interim bills and the final bill,
• indicate consequences of late payment
• indicate consequences of non-payment, including potential withdrawal of services re the Paralegal Rules and Guidelines
• outline other circumstances that may or will result in termination/withdrawal of services
• outline consequences of paralegal cannot obtain adequate instructions to complete tasks for which they were retained
• discuss ownership of file contents and work product, transfer of files, and the paralegal’s file retention/destruction policy if the retainer is ended by the client or paralegal
• specify that any changes to terms of retainer/engagement must be in writing
• clearly state that engagement does not begin until the retainer is signed by client and returned to the paralegal, and any applicable money retainer has been paid.

Question 4

When is a paralegal required to document the terms of engagement?

Answer 4

Always recommended to do so, but must do so when acting in a limited scope retainer.

Question 5

Paralegals who are retained on a contingency fee basis on or after July 1, 2021 are required to enter into a….

Answer 5

standard form contingency fee agreement with the client, except in limited circumstances.

Question 6

when a paralegal recognizes a task for which they lack competence, they must

Answer 6

1/ decline to act
2/ obtain the client’s instructions to retain, consult or collaborate with a licensee who is competent for that task, or
3/ obtain the client’s consult for the paralegal to become competent without undue delay, risk or expense to the client

Question 7

What needs to be included in a closing letter? (reporting letter/disengagement letter/termination letter)

Answer 7

• confirmation that the matter was completed and the outcome of the matter
• detail steps taken to complete the matter
• specify the additional steps to be taken by the client/paralegal in the future to protect the client’s interests re the completed matter
• inquire whether the client requires any further assistance from the paralegal if any new developments occur
• confirm the return of client property
• advise client of arrangements for storage and retrieval of file contents where applicable
• remind the client of the paralegal’s document retention and destruction policy regarding the client file as outlined in engagement letter
• include the final account and provide a trust statement reconciling funds received and disbursed if appropriate, and
• thank the client for the opportunity to work on the matter