Policies
Limitation on Services, Cases, and "Guarantees"
Services
Ehlert & Associates does not offer tax advice. While many of the areas of the law and our client’s case in particular will likely have tax implications, any discussion of taxes are in a general way. Each client and potential client should discuss their tax situation with a licensed CPA or tax attorney. We do not prepare tax returns or send clients reminders at tax time. If required by law, we will send and file 1099s for income we recover on our client’s behalf to be included in their tax filings the following year. Additionally, Ehlert & Associates does not offer insurance advise. Any discussion about insurance is general in nature, and each client should consult their insurance agent regarding coverage.
Cases
The Scope of a case will be limited to what is listed in the client’s engagement letter, and does not extend to any other actual or potential litigation, appeals, arrangements or transactions that may arise out of the matter. When the matter concludes, Ehlert & Associates will have no further obligation to advise you. As such, if there are any later legal developments that may impact your future rights and liabilities, including changes in the applicable laws or regulations, you will have to engage us separately to advise on such developments.
"Guarantees"
Ehlert & Associates cannot guarantee the outcome of any client’s case. We will do our best to serve you efficiently, but the outcome of any matter is subject to inherent risks and other factors beyond our control. Therefore, we have not made, and cannot make, any guarantees or promises concerning the outcome of any matter we undertake.
Initial Consultation
Fees
There is a consultation fee of $200 per hour, minimum half-hour. We may not charge for initial consultations, or may waive the fee if you hire us and we accept regarding a matter discussed at the initial meeting, but this is not always the case and Ehlert & Associates reserves this right on a case-by-case basis. If there is a fee, we will inform you before the appointment.
Articles
Please review Articles addressing the legal aspects of your issue before your appointment to get the most out of it.
Scope
We discuss the particulars of your matter for a reasonable amount of time to analyze options and to determine whether we are able to represent you.
Confidentiality
You are not our client and we are not your attorney during the initial consultation. We have no duty to advise you or take your case. You are protected by limited client confidentiality which allows you to speak freely about your case and allows the firm to determine if we can represent you.
Attorney-Client Relationship
Ehlert & Associates PLLC does not represent you without express written agreement to do so. The Attorney-Client relationship commences when you make payment and sign the engagement letter.
Special concerns in the Attorney-Client relationship when there is more than one person or entity who engages us for representation. Where both or all parties have nearly the same interest in representation, we may be able to represent everyone. If, during the course of representation, your interest in the matter diverge or become adverse, we will withdraw from representing some or all parties. This may happen when one client makes claims against another client. Client confidentiality may become an issue where we represent more than one client on a matter. We address these topics and any other concerns likely to arise in the course of representation with potential clients prior to accepting the engagement.
Attorney-Client Communications
It is important for us to maintain open communication with each other throughout an engagement. We will regularly keep you informed of the status of the matter and will promptly notify you of any major case developments. We will consult with you whenever appropriate.
As a client, you agree to communicate with and provide us with complete and accurate information as needed to further the case. Further, you will timely notify us of any changes in the structure of your organization, changes to the personal information or residence of any individuals related to this matter, or any extended periods of time when you will be unavailable.
We use cell phones and e-mail in the course of the engagement. Our e-mail may not be encrypted so the use of such forms of communication under current technologies may place confidential or privileged information at risk. Similarly, the use of cell phones may place confidential or privileged information at risk. We use a web portal for clients to communicate and interact with the firm. While this may be more secure than email or text, it is not guaranteed encrypted. And where appropriate, we ask clients to write summaries or list facts of their circumstances. This saves time and increase accuracy. This is also a part of the client’s responsibility. Failure to cooperate will result in our termination of your representation.
Legal Fees and Costs
Ehlert & Associates takes on client matters based on a number of fee structures. The types of fees listed below are common examples. We reserve the right to determine types, amounts, and schedule at our discretion for any given case.
Quotes
Offers to take on representation for a stated fee (quote) are good for three calendar days only. Thereafter, the matter must be re-evaluated.
Flat fee
The fee is based upon the scope of engagement as defined in the engagement letter. See “Reasonableness” standard below. Unrelated matters incur separate fees. Flat fee work never includes customization of documents. Custom or unique drafting is billed at the hourly rate.
Hourly
We undertake the client’s engagement at an hourly rate for attorneys, paralegals, and law clerks working on their matter according to the hourly fee schedule attached to their engagement letter. Hourly attorney fees are generally higher for in-court appearances than for out-of-court work. These terms apply to all invoices billed on that engagement.
Contingent
The fee is based on either a fixed amount or percentage of the client’s recovery after paying all expenses of the engagement.
Reasonableness
We are able to offer flat fees based on certain assumptions about the type of work performed. For example, typical real estate transaction documents require a known amount of effort on the part of firm attorneys and staff. Review of a document likewise falls into this area. Where the facts of a client’s circumstances require extended time or resources, we reserve the right to adjust our fees accordingly. To continue the examples here, this would be where a transaction become more complex, requiring extensive draft revisions, or the doc review is many times the size of a typical document on the topic (a 50-page deed of trust, compared to a 15- or 25-page deed of trust).
Expenses
In the course of providing legal services, we may incur expenses including document processing (printing, faxing, scanning), travel (flight, ground transport, gas, parking, lodging), 3rd party fees (experts, non-experts, process servers), government fees (court, county clerk, secretary of state), and overtime for firm staff. Clients are responsible for such out-of-pocket expenses.
Pricing and Payment
Advance payment is generally required. We will not engage in detailed discussion, read documents, create a file, draft documents, or docket your case until payment is made. Fees are plus expenses, unless otherwise noted and in the engagement letter.
For flat fee or short engagements, entire payment is due in advance and applied when expenses incurred or engagement completed. Unless fees are contingent, we require clients to deposit funds into a trust account for payment of invoices as they become due.
Our billing statements for fees, expenses, costs and disbursements will be prepared and emailed on or about 1st and 15th of the month. The balance on these billing statements will be applied against funds deposited in the client’s trust account. When the deposit is depleted, payment is due upon receipt. At the conclusion of representation, any balance remaining in the trust account will be refunded by law firm check and mailed to the Client within ten business days regardless of who deposited the funds initially unless circumstances require otherwise.
For convenience, we accept credit card and debit card payment online. Clients with a balance on their invoice can make payment online. By making payment with a credit card, clients consent to the charges placed on their card and agree to the arbitration provisions in their engagement letters as a substitution for charge-backs.
Consultations and Document Reviews
These policies relate specifically to Business/Real Estate consultations and document reviews.
Advance Payment
We will inform you how much the consultation will be in advance based on our preliminary discussions about the matter of your concern. Payment can be made Online in advance or made at the meeting. Be advised, we will not review any materials until payment is made.
Consultation v. Retainer
Consultation is limited to a defined meeting where you meet with an attorney to discuss a particular legal or business matter. We review circumstances and facts related to that matter, and discuss options. Representation concludes when the meeting ends. Consultation does not include negotiation. Retainers involve Ehlert & Associates’ ongoing representation of your interest in a matter for a defined time period at a pre-negotiated rate. Because it precludes us from taking on other work, you agree that we may draw against the retainer a set amount each month whether you call upon our services or not.
Reasonableness
Flat fee pricing is offered to clients based on presumptions involved in providing services, allowing clients predictability in their legal costs. Where client requests or circumstances of the matter change, we reserve the right to adjust our fees, convert to an hourly fee structure, or decline representation and refund the unused portion of the client’s payment. Examples where this might apply include consultation on a technical area of law (i.e., securities regulation or healthcare), document review of an unusually lengthy document, or an opposing party in an uncontested case.
Document Preparation and Delivery
Limitations on Doc Prep
Flat fee doc prep does not include negotiation with the other parties to the transaction. Document preparation fees are for drafting the initial document and making corrections within three business days of delivery. A document preparation fee is not a retainer for ongoing corrections or major rewrites.
Preparation
Once engaged, clients download a spreadsheet-based questionnaire from the Client Portal which requests the base information we require to begin drafting (a term sheet). Clients fill the questionnaire and upload any 3rd party documents necessary. For legal descriptions of real property, you are responsible for providing clear, legible descriptions to work from (lot and block, or meets and bounds). In some cases this may require ordering a new survey. We are not responsible for errors in the legal description supplied to us or where we are supplied illegible exhibits to work from.
Initial Draft
Once we have a complete set of client data, our goal is to have an initial draft ready for review within 24-48 hours, but this schedule is not guaranteed. We advise clients of significant delivery delays whenever possible.
Delivery and Review
Documents are viewed, commented on, and corrected through the Client Portal. It is the client’s responsibility to read drafts and promptly request corrections. Clients have three business days to request changes and corrections. Drafts are considered final after the third day. All deliveries are final and there are no returns.
Review of Drafted Docs
Detailed explanation of documents we draft for clients entails an extra level of service. While we are willing to provide a brief explanation of what a particular document does and how it addresses particular terms of the transaction, we decline to go into the legal theories and comparative legal analysis at this level of service.
Trustee service
Unless the client supplies otherwise, Ehlert & Associates is the default trustee on deeds of trust as a placeholder only. This is not to imply that we consent to exercise powers of a trustee without a supplemental engagement letter and compensation. If clients need to foreclose on the deed of trust and not engage our services, they must substitute us as trustee with their preferred service provider.
Filing real estate docs
Clients are responsible for filing real estate documents that are required to be filed in the real property records. Ehlert & Associates provides this service in Texas for an additional fee per doc, plus government fees. This is always by 1st class mail unless otherwise requested at additional charge.
Clerical errors
Clients are deemed to have approved final drafts after the third business day from delivery without comment. We will correct clerical errors without additional charge at our discretion; however, we are not responsible for additional filing fees or charges.
Title Closing Doc Prep Exception
Where parties to a real estate transaction close at a title company, doc prep fees may be paid at close with the proceeds of the transaction. The party requesting our service will be responsible for payment if the transaction fails to close. Traditionally, the lender chooses the attorney to draft and is the client even though the borrower pays the fee, in which case the lender would be responsible for the fee if the transaction falls through.
Shipping
We ship USPS, UPS, and FedEx. We place tracking information on our Client Portal for review. We are not responsible for tracking or replacing missing shipments.
Registered Agent Services
In addition to the information provided under the Registered Agent Service. This is an independent contract between Ehlert & Associates and the Entity Client. All documents not from the Secretary of State of Texas, the Texas Comptroller’s office, or process server will be thrown away as rubbish. The documents from parties listed will be scanned and emailed to the address listed in the contract. It is up to the entity to keep us informed of the most current method of notification. Fees are paid yearly, in advance.
Title Insurance and Title Companies
Ehlert & Associates is not a title company, nor associated with any title company, and does not offer title insurance. A title search can be obtained by the client, but is not included in the fee of any of our services. Real estate buyers are strongly advised to check the status of title and taxes as part of their due diligence before purchasing. See our Article section for information about title insurance.
We are not responsible for actions of title companies. Our documents are legally effective, but may not be accepted by title companies or their underwriters. Each has the own preferences and requirements. It is up to each client to determine if they are best served by a particular provider.
Threats of Litigation and Representation
Litigation
Ehlert & Associates will not write a letter or email threatening litigation unless clients have demonstrated significant assets available to satisfy the requirements below to file a lawsuit.
Litigation requires serious commitment by both client and attorney in terms of time and expense. Ethically, attorneys may only file meritorious cases, and face sanctions for filing frivolous suits. Because of these and other considerations, we only accept litigation matters under certain conditions:
- Clients must deposit a substantial retainer before we will threaten a lawsuit in a demand letter.
- Clients must show significant liquid resources to carry a suit through trial.
- We will never file a frivolous, illegal, or unjust suit.
As discussed above, in-court rates are higher than out-of-court rates.
Plaintiffs
Except for Temporary Restraining Orders (TROs) and evictions, initial retainer to file suit starts at $5,000. This amount will vary depending on the strength of the facts supporting recovery, complexity of the law applied, and time required to prosecute. Clients typically make additional deposits into their trust account as the suit progresses. TROs and evictions have a separate fee structure.
Defendants
Initial retainer to answer a suit starts at $5,000, unless clients file counter-claims, then it starts at $9,000. As for plaintiffs, the amount depends on the strength of the facts supporting recovery, complexity of the law applied, and time required to prosecute. Clients typically make additional deposits into their trust account as the suit progresses.
Meetings, Court Dates, and Scheduling
Attorney Interviews
We view requests to interview our firm to assess suitability “to join their team” as paid consultations. Due to time restraints and the demands of other clients, our business model does not allow for free discussions at the office. Our staff are often at different networking events after hours and occasionally during the day. See our Calendar for days and times of where we may be for in-person discussions.
Court Dates
We calendar attorneys to appear in court only after a retainer is paid and engagement letter is signed by the client detailing the scope of our representation. Notifying us of a pending court appearance does not make Ehlert & Associates responsible for representing you. If we take on your case, we will confirm with the court and expressly confirm with the client.
Alternate Representation
In the event of a scheduling conflict with a court date, the firm reserves the right to substitute qualified alternate counsel to represent clients at court appearances for firm attorneys. Fees to the client will not increase because of substituted counsel.
Client Default or Illegality
Client Default
A client is in breach of the engagement letter by failure to make payment as agreed or fails to perform their obligations. In event of client default, we may immediately terminate attorney-client relationship and cease providing services. The firm will perform an accounting of the client’s trust account and submit a final invoice. If there is a positive balance left, we will promptly issue the client a refund by firm check.
Withdrawal
We may withdraw representation for the following reasons:
- Clients must deposit a substantial retainer before we will threaten a lawsuit in a demand letter.
- Clients must show significant liquid resources to carry a suit through trial.
- We will never file a frivolous, illegal, or unjust suit.
There may be other reasons for withdrawing representation not listed above. In the event we terminate representation, we will inform the person designated in the engagement letter.
Illegality
Attorneys at Ehlert & Associates must reveal confidential information to authorities where clients will likely commit criminal or fraudulent acts that will result in death or substantial bodily harm to others. We will also cooperate with authorities where we believe it necessary to prevent clients from committing other criminal or fraudulent acts. We will not advise clients in performing illegal acts.
Record Keeping and Technology Use
Client Portal
Ehlert & Associates utilizes 21st century technology. Upon request, we set up a web portal for you to access docs, upload docs, comment on drafts, request corrections, communicate with us, view tasks and calendar appointments, monitor trust balances, and pay invoices. While communications may be more secure than regular email, we cannot guarantee that it will be encrypted. You will be required to log in with a password. Keep your password safe and do not share it with others. You are responsible for actions taken when logged into the portal.
Records
We keep as much of each client’s file in electronic format. Files are stored on third party servers in data centers. Ehlert & Associates takes every reasonable precaution to maintain the security and privacy of client data; however, we disclaim liability for breaches caused by vendor negligence.
Technology Use
We use technology to keep our expenses and overhead low and pass the savings to our clients. This matches the Texas Supreme Court’s e-filing order – a requirement that all court systems in Texas use electronic means to file records. Because of this, clients who insist on less efficient means of communication will be charged for the additional expense.