When you first decide to engage a family lawyer, your lawyer will almost certainly ask you to sign a document. They may refer to this document as a Letter of Engagement or Warrant to Act.
The engagement letter is the first step in establishing a professional relationship with the client. Its primary purpose is to prevent misunderstandings regarding the responsibilities of each party to the lawyer-client agreement.
Before signing, it is important to understand what work the lawyer is being engaged to undertake, how legal fees will be charged, who will handle your matter and what happens if the scope of work changes during the divorce.
Key Points
- A Letter of Engagement sets out the terms on which your lawyer is engaged.
- Check exactly what work is and is not included in the agreed scope.
- Understand the legal fees, billing arrangements and any initial deposit required.
- Ask who will handle your matter and when additional fees may arise.
- Keep a copy of the signed Letter of Engagement for your records.
What Is a Letter of Engagement?
The Letter of Engagement would also set out the terms of your lawyer’s engagement. It is effectively a contract between you and your lawyer.
The Warrant to Act records the client’s authority for the lawyer or law firm to act on the client’s behalf in the relevant legal matter.
What Should the Letter of Engagement Cover?
A standard Letter of Engagement would include at least the following details:
- Your name, personal information and contact details
- The matter for which your lawyer is acting for you and the scope of their work
- The authority for the law firm to act on your behalf
- The fee schedule
- The initial deposit to be paid before your lawyer starts work (if any)
- The terms upon which the appointment of your lawyer may be terminated, whether by yourself or by your lawyers.
Depending on the engagement, the letter may also explain who is expected to work on the matter, how disbursements are treated, how frequently bills may be issued and what happens if additional work falls outside the original scope.
What Is a Warrant to Act?
This forms the Warrant to Act, which is typically part of a longer document called the Letter of Engagement.
The Warrant to Act records the client’s authority for the lawyer or law firm to act on the client’s behalf in the relevant legal matter.
What Should the Letter of Engagement Cover?
A standard Letter of Engagement would include at least the following details:
- Your name, personal information and contact details
- The matter for which your lawyer is acting for you and the scope of their work
- The authority for the law firm to act on your behalf
- The fee schedule
- The initial deposit to be paid before your lawyer starts work (if any)
- The terms upon which the appointment of your lawyer may be terminated, whether by yourself or by your lawyers.
Depending on the engagement, the letter may also explain who is expected to work on the matter, how disbursements are treated, how frequently bills may be issued and what happens if additional work falls outside the original scope.
Understanding the Scope of Work
One of the most important parts of the Letter of Engagement is the scope of work. It should be clear what the lawyer has been engaged to do and, equally, what is not included.
For a divorce, this may involve the divorce application itself, negotiations, ancillary matters concerning children or finances, mediation, court attendances or contested hearings. A fixed-fee engagement for an uncontested divorce, for example, should not automatically be assumed to cover work required if significant disputes later arise or if parties change the agreed settlement terms.
Before signing, ask whether the engagement covers the whole matter or only a particular stage. This can help avoid misunderstandings if the divorce becomes more complicated than initially expected.
Understanding Legal Fees
As can be seen from the above, the Letter of Engagement is a useful document to have between you and your lawyer. You would not want to be caught by surprise by your lawyer’s fees only after they are due.
Check whether the fees are fixed, hourly or a combination of both, and whether GST, Court filing fees, valuations, expert fees or other disbursements are included or charged separately. You should also understand when an initial deposit is required and when further payments may become due.
If different lawyers may work on the matter, you can also ask how their respective rates are applied and how time is recorded and billed.
Changing or Discharging Your Lawyer
You would also want to know the circumstances under which you may discharge your lawyer or vice versa.
The Letter of Engagement should explain how the engagement may be terminated and any obligations that continue when the lawyer-client relationship ends. If court proceedings have already started, there may also be procedural steps required when representation changes.
Your divorce lawyer should provide you with a copy of the signed Letter of Engagement. If they do not, make sure to ask for a copy as it is a crucial document to have when you are represented by a lawyer.
What to Check Before Signing
- Who will actually handle my divorce matter?
- What work is included in the agreed scope?
- What work is excluded or may attract additional fees?
- Are the fees fixed, hourly or structured differently for different stages?
- Are Court fees, valuations and other disbursements included?
- What happens to the fees if an uncontested matter becomes contested?
- How can I end the engagement or change lawyers?
At GJC Law, the scope of work and applicable estimated fees are explained before the firm is formally engaged. Our family law team handles both uncontested and contested divorce matters, including issues involving matrimonial assets, maintenance and children. Understanding the likely issues at the outset can also help determine the appropriate scope of legal work for your circumstances.
Frequently Asked Questions
A law firm will require the terms of its engagement and the client’s authority to act to be documented before formally undertaking the agreed legal work. The documents used may depend on the firm and the nature of the proceedings.
Check the scope of work, fee arrangements, initial deposit, disbursements, who will handle the matter and the circumstances in which additional fees may arise. You should also understand how either you or the law firm may end the engagement.
Not necessarily. This depends on the scope stated in the Letter of Engagement. A quoted fee may cover a particular stage or an agreed uncontested process, while negotiations, mediation, contested ancillary matters, hearings or other work may be charged separately.
If the original engagement was based on an uncontested matter, additional work may be required when disputes arise. Your lawyer should explain how the change affects the scope of work, strategy and legal fees before proceeding with substantial additional work.
Yes, although the Court will have to be notified if there are ongoing proceedings. You should also review the termination provisions in your existing Letter of Engagement and clarify any outstanding fees or documents.
This depends on the law firm’s working arrangements. Before engaging a firm, you can ask who will have primary responsibility for your matter, which other lawyers may work on it and how the team will communicate with you.
Speak With a GJC Law Family Lawyer
If you are considering engaging a divorce lawyer, a Strategic Divorce Consultation provides an opportunity to discuss your circumstances, the issues likely to arise and the appropriate way forward before deciding how you wish to proceed.
During the consultation, a GJC Law family lawyer can review your individual circumstances, identify key legal and practical issues and discuss possible next steps. If you subsequently decide to engage GJC Law, the proposed scope of work, applicable legal fees and terms of engagement will be explained before the firm is formally instructed.
30- and 60-minute Strategic Divorce Consultations are available.
We’re Here for You
We offer a range of consultation options depending on the guidance you need, from a Free 20-minute Divorce Process Consultation to a Strategic Divorce Consultation for personalised legal advice.
Contact us and we can help you choose the right option for your circumstances.
