One of the most important characteristics of a good lawyer is honest, ethical billing that is consistent with Rule 1-5: Fees of the American Bar Association, Center for Professional Responsibility. Our company was seeking counsel and strategy around FDA medical device approval. What she didn't tell ...us, is that she has questionable and unethical billing practices that depart greatly from Rule 1-5. Within five days of engaging her we had a bill for over $3,000.00 yet had nothing but sent her some electronic files and did one brief phone call for 43 minutes. We were explicit in telling her to not review the corporate drobox folder until we met telephonically to point her where she needed to focus. She agreed and 5 days later we had the one call that last 43 minutes. She spoke very little on the call except to acknowledge that all she had done was itemize the folders and printed them out (not sure why she did that since you don't want to print things you don't want to read or need to review) and wanted to wait to discuss more until she had read the files I was pointing her to. So basically, it was just a call to discuss what files we had sent her. I mentioned on the call that it should take about an hour to read the few things that were initially important to her (some previous FDA meeting notes, a few email correspondences, and become familiar with our device). It was very clear on the call she knew nothing about our device by the couple of questions she asked. We just figured now she would start learning and with the help of what was in the folders, a few historical documents, and our device report.
Within 5 days of the original engagement and this call, we had a bill for almost 3,300.00. Christine charges a retainer at 7,500 and her rate is 475.00 per hour with other staff such as consultants and law clerks ranging from 80-200.00.
Unethical billing practices include:
1) Credit card processing fraud: We paid a 4% fee to put the retainer on credit card which was 300.00 for a total of 7,800 total for the 7500 retainer. However, when she invoices of the retainer, she charges another 300.00 credit card processing.
2) Every item on her invoice is billed at her rate, of 475.00 including receiving files and "giving instructions" to her staff to file them. There was not one item billed at a lower rate that would be customary for such simple things as filing. We paid 427.50 just to “receive and download files”.
3) Invoices for hours outside of the engagement period. She lists the charge as "no charge" but if this was the free consult advertised all over the internet, you basically are not getting anything for free. Lawyers cannot ethically bill you for time spent discussing their engagement letter before it is signed so listing it and then stating you got it for free obviously raises big red flags about this lawyer's dedication the code of responsibility by the ABA.
4) Billing for work not completed. We paid 950.00 for 2 hours of reviewing files prior to the call. However, it was clear on the call she had not yet reviewed anything but her knowledge/questions, and by sheer admission.
5) Ignores time limitations by the client. We asked for 1 hour to review specific files but she lists 2.70 after the call.
She reluctantly wired back the remainder of our “non-refundable” retainer but stuck by an unethical invoice even including the fraudulent credit card processing fees and at least 2 hours of review that never occurred by her own admission. I tried to professionally point out these issues with her invoice after the initial shock of them and all of our requests to adjust the invoice in were refused. To this day we will continue to fight against at every level. I honestly think Christine is a very smart, well educated woman. The invoice is dripping with impropriety reflecting a troubled person with little integrity and for that I actually feel very sorry for her and the loss of good long term clients that it costs.