I’ve been active in law practice management organizations for years and for all those years, the gurus have been preaching the gospel of flat and alternative billing over charging by the hour. A lawyer may be as honest as the day is long, but with hourly billing, there is no incentive to quickly and efficiently solve problems. Even when the fee is completely fair, the client is naturally suspicious. And it’s human nature to hate surprises, particularly when it involves money. If you want to see your business increase and your collections rise, charge for the job and not by the hour. This has largely been the rule for many years in the immigration bar, but I’m always surprised at how many lawyers still charge by the hour (particularly at the big firms).
The NY Times has a front page article this morning on the subject. I suspect the piece by Jonathan Glater will be talked about in firms all over the country today.