Legal problems on collection of lawyer fees : a comparative study between Thai and U.S. laws

Name: Thada Watudom

keyword: Lawyer fees

; Contingency fees

; Contingency fees agreement

Abstract: Lawyer fees play a fundamental role in legal practice, serving as compensation for legal services rendered. The structure and method of fee collection vary based on jurisdiction, case type, and specific fee arrangements. Common structures include the Flat Fee, where a fixed amount is charged for defined legal tasks, and the Contingency Fee, where a lawyer's fee is tied to the successful outcome of a case, typically a percentage of the client's recovery. Contingency fees are often used in personal injury and civil litigation cases., In Thailand, lawyer fees were historically regulated by the Lawyer Act, which explicitly prohibited agreements based on the client’s potential property recovery from the final judgment, commonly known as “Contingency Fee Agreements.” Such agreements, if established, were deemed null and void, with offending lawyers facing penalties for ethical violations. However, this prohibition was lifted following the enactment of the Regulation of the Lawyers Council on Conduct of Lawyers B.E. 2529, which shifted the regulation of lawyer-client fee agreements to the Civil and Commercial Code. This shift raises several legal challenges. Firstly, the removal of the prohibition on contingency fees introduces uncertainty regarding the legislature’s intent and raises questions about the permissibility of such arrangements under current law. Secondly, the absence of specific laws establishing proper fee arrangements and setting maximum permissible rates compels courts to rely on broad principles such as public order and good morals, resulting in inconsistencies in judicial interpretation. These issues highlight the need for clearer legal guidance to avoid potential conflicts with ethical standards and public order principles. To address these concerns, this independent study conducts a comparative analysis of the historical development of contingency fee prohibitions in the United States. The research highlights that the prohibition, originating from the "Maintenance and Champerty" doctrine in medieval England, became obsolete as the legal system evolved. In the U.S., contingency fee agreements were later allowed to enhance access to justice. In Thailand, where the justice system has advanced, contingency fee agreements should be reconsidered, and clearer regulations should be implemented. The study recommends the adoption of laws that define appropriate fee structures, including the establishment of maximum rates for contingency fee agreements to ensure fairness and ethical compliance.

Thammasat University. Thammasat University Library

Address: BANGKOK

Email: preserv@tu.ac.th

Name: Pinai Nanakorn

Role: advisor

Created: 2025

Modified: 2568-05-08

Issued: 2025-04-06

วิทยานิพนธ์/Thesis

application/pdf

DOI: 10.14457/TU.the.2024.30

eng

DegreeName: Master of Laws

Level: Master's Degree

Descipline: Business Laws

Grantor: Thammasat University

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