Q: Is it common today for mass tort law firms to bill the client for interest charges they accrue to work the clients case?
A:
Without additional information this is very difficult to respond to. A lot depends on the retainer agreement. Maybe its ok, maybe not. What if they have to spend $50,000 for deposition costs and it requires financing at 10% for 5 years. Should the law firm just eat the $25,000 in financing charges? Or should this come out of the payments from the defendants- which of course diminish the amount the Plaintiffs receive. It may also be awarded as a necessary cost by the Court in which case it does not come out of the Plaintiff's share, and the firm receives full payment on its expenses.
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Tim Akpinar agrees with this answer
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