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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 Nebraska's
fee arbitration system 12th in the nation and issued the state's system a C
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.
"Nebraska 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 often cost-prohibitive."
HALT did praise Nebraska's fee arbitration program for its clear and
comprehensive Web site, but found fault with the self-regulated nature of
its system. Non-lawyers are given only a token voice on the panels that
decide lawyer-client fee disputes. "The Nebraska bar's heavy reliance on
lawyers as arbitrators 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 on the Report Card. 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 Nebraska officials will
reform the state's fee arbitration program so that more residents will be
able to effectively resolve disputes with attorneys," stated Blonder.
Information about the Fee Arbitration Report Card, including Nebraska'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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