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What’s the Difference Between a Subscription Plan and a Retainer Fee?

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Whether you own a residential, commercial, or specialty trade construction business, a Cotney Construction Law Subscription Plan can help you reduce risk and effectively budget your legal expenses. In this editorial, a Knoxville construction attorney will discuss how our subscription plans differs from the antiquated retainer model. Remember, legal services don’t have to be complicated or expensive. To learn more about our subscription plans, please visit our website or give us a call at 888-365-2511. 

The Differences Between a Retainer and a Subscription Plan 

The old legal retainer model needs some dusting off. That’s why we now offer subscription plans at Cotney Construction Law. Let’s assess the difference between these two payment methods for legal services and how a subscription plan can benefit your construction business: 

Access to On-Demand Attorneys

A retainer is either a single payment or ongoing payment that a client pays an attorney for their future legal services. In other words, it’s a deposit that a client pays to hire and “retain” the lawyer. A subscription plan is a monthly fee for ongoing legal services, so you receive instant access to our knowledgeable, “on-demand” Knoxville construction attorneys. In other words, a retainer is a rainy day fund; whereas a subscription plan is an everyday fund. 

Day-to-Day Legal Assistance 

Retainers are common for clients that require legal services for trials and lawsuits that can take years to resolve. In some cases, this money can sit in an account untouched for months or even years. Our subscription plans fulfill all of your business’s non-litigation, day-to-day legal needs. For example, if you need assistance with a preliminary lien notice or claim of lien, a Knoxville construction lien lawyer can help.  

Fixed Monthly Payments

Retainer accounts can run low or be depleted overtime. This results in the client either refilling the account or terminating the provided legal services. With a subscription plan, you pay a fixed monthly fee for legal services, so your construction business doesn’t need to worry about whether or not it needs to pony up more money to ensure its legal needs are covered. 

Budgeting Legal Expenses

There is no guarantee of how much you will end up spending on legal services after a retainer fee is depleted. In most cases, once the retainer has dried up, the attorney will institute a contingency fee or require their client to pay by the hour. Conversely, there are no unexpected legal fees with a monthly subscription plan. With no surprises, you can effectively budget legal expenses because you know exactly what you owe every month. 

Avoid Disputes

Retainer fees can often lead to disputes. For example, if an attorney accesses the funds in the account for personal use, this is a clear violation of the retainer agreement and can impact the client’s legal matter. When you pay a fixed monthly fee for legal services, there’s little room for misunderstanding what you owe each month.

Know What’s Covered

Another issue is that the written agreement for a retainer fee may not clearly define the services an attorney provides to access the account. Depending on the details of a retainer agreement, the lawyer may access the account for legal services that a client didn’t anticipate. By comparison, a subscription plan has simplified this process. You get the flexibility of selecting a plan that provides you with exactly the legal services you need.  

Peace of Mind

Retainer fees are often nonrefundable. If the retainer account has leftover funds, that’s tough luck for the client. With a subscription plan, you have peace of mind knowing that the money you invest into the plan is being utilized each month for the services you need at a cost-effective price. 

We’re Committed to the Construction Industry

Subscriptions plans and retainer fees do actually have one common characteristic. Clients generally utilize either form of payment because they want access to a high-profile attorney that practices in a specific area of law. Fortunately, at Cotney Construction Law, our subscription plans provide you with access to knowledgeable and experienced construction attorneys that understand the complexities of the construction industry. Our monthly subscription services are designed specifically for your ongoing needs. They’re flexible and affordably priced at a fixed rate. This way, you get the services your operations require and access to an on-demand attorney when you need them. 

To learn more about our subscription plans and to schedule a FREE legal analysis today, consult the attorneys of Cotney Construction Law.

If you would like to speak with a Knoxville mechanic’s lien law attorney, please contact us today.

Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.