When an attorney sues to collect fees, the client frequently counterclaims for malpractice or breach of fiduciary duty. The counterclaim may exceed the fees at issue.
Fee arbitration programs offer an alternative forum in many jurisdictions.
Alternative Names:
Malpractice Counterclaim, Counterclaim in Fee Action
Why it Matters?
This dynamic is why suing clients for fees carries risk disproportionate to the amount recovered, since a modest fee claim can generate a malpractice counterclaim, a disciplinary complaint, and reputational exposure. The counterclaim also revives claims that might otherwise have gone unasserted. Fee arbitration is the lower-risk path in most cases, and evaluating whether the fee is worth the exposure is the threshold decision.
Frequently Confused with
Related terms
Frequently asked questions
Why is suing for fees risky?
What is the alternative?
