The Economics of US-Style Contingent Fees and UK-Style Conditional Fees
نویسندگان
چکیده
منابع مشابه
The Economics of US-style Contingent Fees and UK-style Conditional Fees∗
Under contingent fees the attorney gets a share of the judgement; under conditional fees the lawyer gets an upscale premium if the case is won which is, however, unrelated to the adjudicated amount. We compare conditional and contingent fees in a principal-agent framework where the lawyer chooses unobservable effort after she has observed the amount at stake. Contingent fees provide better ince...
متن کاملContingent fees and litigation settlement
Policy makers and static economic models often argue that contingent fees cause lawyers to settle cases sooner than their clients would like, so as to avoid accumulating costs of bargaining. Yet, in a dynamic setting, a willingness to sink costs can be a strategic advantage when seeking to establish the credibility of threats. This paper shows that this can be the case for cost-bearing continge...
متن کاملThe Problem of Contingent Fees for Waiters
In a series of influential papers, Lester Brickman (2003a, 2003b, 2004) has argued that the income and effective hourly rate of tort lawyers using contingent fees has increased by 1400% since 1960 and that the market for contingent fee lawyers is uncompetitive as evidenced by lack of price advertising and uniform pricing across practitioners, cases and time. He also argues that contingent fee l...
متن کاملFees hike leads to UK student riot
More than a hundred students crowded into a small basement room in an old Oxford College one Monday evening. A few were experienced in political protests, but most seemed to be wide-eyed beginners. All were elated because, just a few days before, their protest march in the centre of Oxford had attracted more than 1,000 participants and successfully scared away Business Secretary Vince Cable (Li...
متن کاملThe Economics of Hedge Funds : Alpha , Fees , Leverage , and Valuation ∗
Hedge fund managers charge management fees on assets under management (AUM) and incentive fees indexed to the high-water mark (HWM). We study the effects of fees and alpha on managerial dynamic leverage choice and valuation. Our main results are: (i) high-powered incentive fees encourage excessive risk taking, while management fees have the opposite effect; (ii) agency conflicts have significan...
متن کاملذخیره در منابع من
با ذخیره ی این منبع در منابع من، دسترسی به آن را برای استفاده های بعدی آسان تر کنید
ژورنال
عنوان ژورنال: SSRN Electronic Journal
سال: 2004
ISSN: 1556-5068
DOI: 10.2139/ssrn.546742