Advertising, Solicitation, Fees, and Client Communication
Advertising and solicitation
Rule 7.1 prohibits false or misleading communications about the lawyer or services. A communication is misleading if it omits a fact necessary to make the statement as a whole not materially misleading, creates an unjustified expectation, or compares the lawyer with other lawyers without factual basis. Rule 7.2 governs advertising and referral payments; lawyers may pay for advertising but not for case referrals, except in permitted reciprocal arrangements. Rule 7.3 restricts in-person, live telephone, and real-time electronic solicitation when the significant motive is pecuniary gain, unless the person is a lawyer or has a prior relationship. Written solicitation must be labeled 'Advertising Material' and cannot coerce or harass. Colorado allows certified specialists to state that fact if the certifying organization is approved.
Fees and communication
Rule 1.5 requires reasonable fees. Factors include time and labor, novelty, skill, customary fee, result, time limits, relationship, and experience. Contingent fees must be in writing and signed by the client, stating the percentage, expenses, and whether the percentage is before or after expenses. Contingent fees are prohibited in criminal cases and in domestic-relations matters where the fee is contingent on divorce, alimony, support, or property settlement. Rule 1.4 requires communication about fee changes, settlement offers, and decisions.
Worked example
A lawyer obtains a list of recent accident reports and mails a letter two days after a crash to an injured driver. The letter says, 'We have recovered millions; call now-the insurance company will otherwise destroy your case.' This is written solicitation, so it is not barred by Rule 7.3's in-person rule, but it must be labeled 'Advertising Material,' and the 'destroy your case' claim is misleading under Rule 7.1 because it creates unjustified fear and expectation. The lawyer cannot contact the driver if the lawyer knows the driver is represented.
Traps that cost marks
- Thinking all solicitation is prohibited; the rule targets live, targeted contact.
- Omitting the 'Advertising Material' label.
- Promising results or using 'specialist' without certification.
- Charging a contingent fee in a criminal or covered domestic-relations case.
- Failing to put a contingent fee in writing.