Lawyers
- Details
- Parent Category: Lawyers
- Created on Friday, 12 December 2008 18:41
- Last Updated on Saturday, 22 December 2012 18:51
Statutory Costs for Lawyers
How much can attorneys bill for their services?
Generally, as much as you two agree on – within good morals. Starting July 2006, the Law on Remuneration of Attorneys (RVG) legally determining the payment of attorneys, determines that attorney and client are to negotiate the fees for out-of-court services. What you can expect is that attorneys will calculate for supposed time needed. Be sure to first negotiate, and then assign. To complain afterward is not only unfair – but hardly of influence. Following §316 BGB, the attorney will be to determine his fees by himself – as far as is reasonable. “Reasonable” is not billing for answering the question on the costs of the assignment.
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I do not have much money, but I do have a claim to be collected. Can I make a deal with my attorney to give him 50% of what he collects?
It is illegal for German attorneys working under German law to exclusively be paid on what he collects. You can agree on a certain bonus on top of legal fees. However, there is the possibility of a loophole: if you are a foreigner and live abroad, you might be able to contend that foreign law controls the contract with your lawyer. If you have a cost efficient attorney, he might find other loopholes.
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I would like to hire an attorney to help me, but neither do I have any money, nor do I have a legal insurance. Is there any way around this?
Germany grants needy persons the possibility of legal aid, which will be granted from the Rechtsantragsstelle at your local Amtsgericht. You will have to prove your financial disability by presenting a copy of notice granting your support (Arbeitslosengeldbescheid, Sozialgeldbescheid, stipend, etc.). Best would be to have the original (and a copy to submit) of your mentioned notice and your rental contract with you. Then when at the office, tell your story in German (or have somebody to speak in German with you!) and you shall receive a "Rechtshilfebescheid (legal aid notice)". Every competent attorney will have to accept this. Be aware not to expect too much because the attorney’s reimbursement is not very much. Best would be to prepare your appointment by having a structured story to tell, timetable (if a lot of events are to discussed).
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My wife and I, both renters of our apartments were sued by our landlord. As I read our attorney’s bill, I read of a surcharge because we were two persons he consulted. That can’t be true because he didn’t have any extra work what so ever, “we” are only one client.
That is absolutely legal and in accordance with §7 RVG! You can count approx. 30% more of the fee per further person to consult in the same matter.
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I need an attorney to collect money because the opposite side refuses to pay. I have legal insurance. How do I process my claim?
First, collect and select all documents related to your claim. Then make an appointment with the attorney of your consent. He might deal with your legal insurance company. Ask your attorney, if he will apply for legal coverage for you. Reckon that this might be charged separately. The value in dispute for this service will be his possible fees in your collection case. Attorneys have done this work as a matter of service for a long time. Especially since the redoing of the statutory fees for attorneys, legal insurance companies have tried to bribe attorney to deals much lower than what the law entitles them. As a rule of the thumb, the bill for obtaining insurance coverage must be significantly lower than the bill for your actual case!
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a.) in Civil or Commercial Matters
These statutory costs must be considered as minimum fees for an attorney fighting in court for you. You can always be persuaded to pay more and sometimes it is only just to pay more. Consider another thing: if you agreed to pay more and won your case, then you can only be refunded for the amount of the statutory fees.
When talking to an attorney, I keep hearing “risk of litigation (Prozeßrisiko)”. What is he hinting at?
Lawyers talk of “risk of litigation” whenever they want to inform you of what your total costs will be if you lose a case in civil courts. In Germany, the loser pays it all – no matter if plaintiff or defendant. In other words, if you lose a civil case the litigation risk is what you will end up paying. This means that if you lose a case in court, you will not only have to pay court fees and your attorney but your opponent’s attorney, too. Your opponent’s attorney will cost as much as your own. Keep this in mind, when planning to sue somebody.
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What does a case in court cost me? My case is ruled by the value of € 600.
Representation fee |
58.50 |
Appointment fee |
54.00 |
Flat expenses for postage and telephony |
20.00 |
21.20 |
|
Total without court fees |
153.70 |
Court fees |
105.00 |
Total with court fees |
258.70 |
(financial) risk of litigation |
€ 412.40 |
My case is ruled by the value of € 1,200.
Representation fee |
110.50 |
Appointment fee |
102.00 |
Flat expenses for postage and telephony |
20.00 |
VAT |
37.20 |
Total without court fees |
269.70 |
Court fees |
165.00 |
Total with court fees |
434.70 |
(financial) risk of litigation |
€ 704.40 |
My case is ruled by the value of EUR 2,500.
Representation fee
|
209.30
|
Appointment fee
|
193.20
|
Flat expenses for postage and telephony
|
20.00
|
VAT
|
67.60
|
Total without court fees
|
490.10
|
Court fees
|
243.00
|
Total with court fees
|
733.10
|
(financial) risk of litigation
|
€ 1,223.20
|
My case is ruled by the default value of EUR 5,000.
Representation fee
|
391.30
|
Appointment fee
|
361.20
|
Flat expenses for postage and telephony
|
20.00
|
VAT
|
123.60
|
Total without court fees
|
896.10
|
Court fees
|
363.00
|
Total with court fees
|
1,259.10
|
(financial) risk of litigation
|
€ 2,155.20
|
b.) in Penal Matters
How much can a lawyer demand by law for his work in defending me against the state attorney?
He can bill you as a basic fee between € 30 – 300. This basic fee covers becoming oriented with the case and giving the client a first orientation – disregarding when the attorney was hired. However, expect that the penal attorney might request more – depending on the complexity of your case.
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List of the Most Common Legal Fees in Penal Matters
Representation fee out of court
|
30 – 250
|
Representation fee in court (AG)
|
60 – 400
|
Representation fee in court (penal chambers at LG)
|
40 – 270
|
Representation fee in court (OLG)
|
80 – 580
|
Pleading fee in court, per trial day
|
70 – 470
|
Representation fee second instance
|
70 – 470
|
Representation fee third instance
|
100 – 930
|
Pleading fee in court, third instance
|
100 – 470
|
Do not forget to add € 20 flat for postage and telephony, and 19% VAT. But do not expect that no attorney will ever want more or less.
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What if I cannot afford an attorney to defend me?
In the case you are not so well off, the state will come up for the attorney’s costs. You must apply for this and you can also be assigned an attorney if you cannot name an attorney of your trust.
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c.) in Administrative Matters
For what can an attorney charge in an administrative matter?
Basically, he can only charge you for the fees he earned. This is true for each and every matter. Disregarding this, he can represent you in three different situations (= matters). First is the “administrative procedure (Verwaltungsverfahren)”, second the “objection procedure (Widerspruchsverfahren)” and third the “complaint in court proceedings (Klage)”. In addition, temporary injunction proceedings are another matter – next to the main proceeding. After filing a contradiction to the office, the application for obtaining an effective precedent (to block enforcement of the administrative decision) is also considered as a different matter. Each of these matters will be billed separately (§17 no. 1 RVG).
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How high is the value in a dispute?
If the value of your case cannot be calculated, then law determines this value as € 5,000 (§52 II GKG).
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What does a case in court cost me? My case is ruled by the default value of € 5,000.
Representation fee
|
391.30
|
Pleading fee
|
361.20
|
Flat expenses for postage and telephony
|
20.00
|
16% VAT
|
123.60
|
Total without court fees
|
896.10
|
Court fees
|
363.00
|
Total with court fees
|
1,259.10
|
- Details
- Parent Category: Lawyers
- Created on Tuesday, 25 November 2008 02:19
- Last Updated on Wednesday, 15 July 2015 09:28
Lawyers
Hiring an attorney almost always results in an obligation to pay. Bear in mind, that §49 b BRAO forbids attorneys to consult for free. But, how do you know what an attorney can legally collect? Generally, a billing act (Rechtsanwaltsvergütungsgesetz = RVG) sets the fee. The general rule is that the higher the value in dispute the higher the fee. However, it is possible to negotiate for out of court work. Whenever negotiating, offer some kind of help or waive his liability to reduce his fees. This is no guarantee but a start in negotiating. Attorneys can demand reasonable advances – usually the full fee. Below, some of the most typical fees will be shown. Anyhow, it is possible to bill hours for out of court consulting. If you prefer paying by time then ask your attorney if he would mind billing his time. If the one you asked is not so inclined, then try another one.
I visited an attorney the other day. Kind and polite as he was, I did not get a clear answer to questions. He always came up with at least two possible solutions. I thought law is an exact science. Funny, eh?
Following saying tells how exact the science "law" is: "Two lawyers three opinions." In many cases, it is true that you cannot get a clear "white" or "black" as an answer. The gray zone in law is pretty large and as long as you are not in the black zone, you are still legal. This might be disappointing, however, not all situations are really exactly the same – just as much as two persons are not alike.
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Since law is so very ambiguous, why do we need lawyers?
Simple: First of all, to determine about where you stand in the grey zone – more towards legality or more towards illegality. Second, to determine how to proceed further in direction of the with or black zone. And finally of course to persuade the opposing side or the judge that you are really on the right side of the law – in contrast to an opposing opinion.
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Can I hire an attorney to fight for my rights? And will I get my money back?
It is generally imaginable to hire an attorney and charge his costs to the other side, but that depends if there are grounds for such reimbursement. Supposing there are grounds to charge, then it still depends on whether these costs were necessary. If you directly hired an attorney then his costs might not be chargeable. By “directly”, we mean without first presenting your claim in matters of daily life and talking the matter over with them by yourself. After you present your claims, if the opponent refuses to compensate, then hire an attorney. Your attorney will tell you whose opinion is right. Remember, in Germany, it is often considered threatening if you hire an attorney. Understand this as a three-level ritual in “conflict settlement”: First, you personally argue with your opponents. Second, if that does not help, you threaten to hire an attorney to get your rights, and maybe even allow a short period of time to reflect on your threat. Inconsistent people often fall short at this level by not realizing their threat, by not hiring an attorney. As a part of this step, the attorney will put forward his (actually your) arguments. Maybe, after some arguing, the attorney will threaten with the third level: going to court.
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He lost my case even though my lawyer did all he could to win. Now, I do not want to pay him. Will I be able to count on that?
No! He is obliged to invoice you and you are obligated to pay. This is absolutely conforming to German law and understanding. It is generally forbidden for the attorney to waive his bills and not collect on his services (§49b BRAO).
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My lawyer turned out to be an idiot. He ruined my case and I lost. Can I collect damages from him? What can I do if he refuses to pay?
I am sorry for your rotten luck. Your lawyer is legally obligated to fight for you with all reasonable means. Since he fouled it up, you can sue him for damages you incurred. However, if you believe he fouled it up by not winning the case, you have no grounds for damages. §49b BRAO forbids attorneys to guarantee a certain result.
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I hired a lawyer to get my residence permit. He made a whole lot of commotion, demanding a whole lot of documents, contracts. I paid office fees. In the end, my permit was denied. This stupid lawyer didn’t do anything! I hired him to do all the work and get the permit. I want my money back because he didn’t do his job.
For several reasons: No way! First of all, you did not realize that attorneys in Germany are prohibited from guaranteeing a certain result. Second, you did not understand the function of lawyer here. Lawyers are not magicians; they are service providers in the area of law. Their services are aimed at testing the probability of the case, revising your application, instructing you on the requirements, efforts in persuading the authorities, etc. It is your task to supply your lawyer the required documents and information – as best as possible. When you are considering to give an official a "little gift" or bakshish, then bear in your mind that bribery is illegal in Germany (§§299, 334 ff. StGB). This illegality is not only a formality but is really taken seriously and prosecuted.
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As I read in the judgment to my complaint in court, my attorney argued with outdated and overruled arguments. Is my attorney liable for losing the case?
All attorneys have the general duty to go the safest, most economic and using current law. In the above case, he failed to be updated so that he is responsible for your damages. Supposing the safest answer would have been not to file a case in court, you will be entitled to be refunded for all legal costs of the defendant. However, you must first pay the opposing attorney and / or defendant – even though you are entitled to refunding. To enforce the erring attorney, you can hire another attorney to enforce payment if necessary. You could also contact the local Attorney’s chamber and ask them to mediate between you and your lawyer. This is a free service, but it takes a great deal of patience on your part, because it takes a very long time but will not get you any money – only a "black spot" in the attorney's personal file. Visit Bundesrechtsanwaltskammer, the website of the Federal Chamber of Attorneys, to find the chamber having jurisdiction over your case.
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I want to sue my debtor for a sum of € 5,100. Do I need an attorney?
Yes, you do (§78 ZPO). In all cases where the value in dispute exceeds € 5,000, you are always required to have an attorney argue your case. So, if you want to sue him for € 200, for instance, you are not required to have an attorney. You need an attorney for all family matters and divorces – no matter what the disputed amount is.
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How do I find an attorney located in my area?
There are several ways to do this. You can ask friends, colleagues at work, look in the yellow pages, or try advertisement on expat portals. Last but not least try the LG2G Directory!
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How much can attorneys bill for their services?
Generally, as much as you two agree on – within good morals. Starting July 2006, the Law on Remuneration of Attorneys (RVG) legally determining the payment of attorneys, provides that attorney and client are to negotiate the fees for out-of-court services upfront. What you can expect is that attorneys will calculate for supposed time needed. Be sure to first negotiate, and then assign. To complain afterward is not only unfair – but hardly of influence. Following §316 BGB, the attorney will be to determine his fees by himself – as far as is reasonable. “Reasonable” is what can be taken for in-court assignments.
§
I do not have much money, but I do have a claim to be collected. Can I make a deal with my attorney to give him 50% of what he collects?
It is illegal for German attorneys working under German law to exclusively be paid on what he collects – as this is hidden success fee (§49b BRAO). You can agree on a certain bonus on top of legal fees.
§
My wife and I, both renters of our apartments were sued by our landlord. As I read our attorney's bill, I read of a surcharge because we were two persons he consulted. That can't be true because he didn't have any extra work what so ever, “we” are only one client.
That is absolutely legal and in accordance with §7 RVG.
§
I need an attorney to collect money because the opposite side refuses to pay. I have legal insurance. How do I process my claim?
First, collect and select all documents related to your claim. Then make an appointment with an attorney. He might deal with your legal insurance company. Ask your attorney, if he will apply for legal coverage for you. Reckon that this might be charged separately. The value in dispute for this service will be his possible fees in your collection case. Attorneys have done this work as a matter of service for a long time. Especially since the redoing of the statutory fees for attorneys, legal insurance companies have tried to bribe attorney to deals much lower than what the law entitles them. As a rule of the thumb, the bill for obtaining insurance coverage must be significantly lower than the bill for your actual case!
§
- Details
- Parent Category: Lawyers
- Created on Friday, 12 December 2008 18:34
- Last Updated on Saturday, 22 December 2012 18:51
Notare (Notary publics)
What functions does a German notary public (Notar) have?
A public notary (Notar) is a bearer of an independent public office. His main function is to certify documents and to authenticate copies of documents (§1 BNotO). By education, a notary public is an attorney in Germany, and not just any decent person as in some other countries. Some German states allow a notary public to practice law and serve as a notary public at the same time. If you do not speak German well, ask him beforehand if he speaks your language. You cannot expect a notary public to speak a foreign language but it is also far from unusual that there is one, who speaks more than just German. If you really want to be on the safe side, visit the public notary with a certified translator of your choice. A certified translator might be expensive, yet you would have a neutral witness in case of a dispute.
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What does a notary cost?
Notary public fees are determined exclusively by value of the documentation in accordance with a special fee ordinance. There is no possibility for negotiation! If you want to have a document certified for a limited liability company, for instance, the value of the documentation will be the company’s capital stock. Since minimum capital stock in Germany must be € 25,000, fees for such services start at € 100.
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Isn’t just a waste of money to notarize my last will? I know what I’m doing and the structure of my assets are not that complicated.
Not really. If you do not notarize your testament, you will have to apply for a certificate of inheritance at your local county court (Amtsgericht). The costs will be approximately the same as for notarization. The application proceedings for an inheritance certificate last – at least in Berlin – for a minimum of six months.
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As I heard, I have to sign in front of a notary public for a valid last will, which is not in hand-writing. How much does notarization cost me?
To understand following table please know that “worth” refers to assets = credits – debits. The shown notary are all including (i.e. reimbursements, 19% VAT). Additional costs will arise if these documents are to be stored at court.
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Value
|
Last will
|
Joint last will / inheritance contract
|
General PoA *
|
Precautionary and Patient’s Last Will |
50,000.00
|
132.00
|
264.00
|
66.00
|
39.00
|
100,000.00
|
207.00
|
414.00
|
103.50
|
39.00
|
500,000.00
|
807.00
|
1,614.00
|
403.50
|
39.00
|
1,000,000.00
|
1,557.00
|
3,114.00
|
403.50**
|
39.00
|
* = General power of attorney
** = maximum fee |
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