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Contact: Rachel Decker, Media Coordinator, HALT
rdecker@halt.org or 202-887-8255
Washington, DC
Today the nation's first comprehensive study of the out-of-court programs that resolve lawyer-client fee disputes ranked Louisiana's
fee arbitration system 19th in the nation and issued the state's system a C-Minus
grade. To spur reform of these important but under-utilized forums,
legal
consumer watchdog group HALT - An Organization of Americans for Legal Reform
released its 2007 Fee Arbitration Report Card, analyzing programs in all 50
states and D.C.
"The most pervasive complaint about lawyers is that their fees are too high
for the work done," stated HALT Senior Counsel Suzanne M. Blonder.
"Louisiana has a program that's meant to help clients and lawyers resolve
everyday fee disputes, but unfortunately the state's rules allow lawyers to
reject a client's request to settle the conflict through arbitration -
forcing many consumers to take their cases to court, which can be time-consuming
and costly."
Unlike fee arbitration programs in most states, Louisiana only permits non-lawyer
arbitrators to serve on the panels that decide fee disputes when the
amount in dispute is over $25,000, by far the highest dollar minimum in the
country. "The Louisiana bar's heavy reliance on lawyers to resolve fee
disputes adds to the public's perception that the fee arbitration system is
of the lawyers, by the lawyers and for the lawyers," explained Blonder.
HALT's Report Card graded states in six categories: (1) whether lawyers
must participate in arbitration at a client's request; (2) the ease of
initiating arbitration; (3) the amount of publicity of the state's fee
arbitration system; (4) the program's reliance on non-lawyer arbitrators;
(5) whether non-binding mediation is offered as an alternative to
arbitration; and (6) how the system enforces arbitration awards.
The top five states - D.C., Maine, New Jersey, New York and California - scored
no higher than a B average. Three states - New Hampshire, Vermont and West
Virginia - flunked. Another eight received Incompletes because they do not
offer statewide systems to settle lawyer-client fee disputes.
"In an era of skyrocketing lawyer fees, we hope Louisiana officials will
reform the state's fee arbitration program so that more residents will take
advantage of this critical program," stated Blonder.
Information about the Fee Arbitration Report Card, including Louisiana's Report Card, can be found at www.halt.org. Founded in 1978, HALT - An Organization of Americans for Legal Reform is a nonpartisan, nonprofit public interest group that challenges the legal establishment to increase accountability and reduce costs in the civil justice system.
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