Risk agency refers to a special entrusted litigation agency between the entrusted agent and the parties. If the client does not pay the agency fee in advance, after the case is executed, the client will pay a certain proportion of the creditor's rights executed in place to the agent as a reward. If the case is lost or the execution fails, the agent will not get any return; If the creditor's rights are executed in place, the client will pay the agent in accordance with the agreed high proportion, which has certain risks for both parties, so it is called risk agency.
Risk agents are divided into partial risk agents and total risk agents:
Partial risk agent: after paying a certain basic lawyer fee in advance, the lawyer fee will be paid in proportion according to the result, which is lower than the above-mentioned all-insurance agent.
All-insurance agent: it needs to be determined through consultation with lawyers according to the specific circumstances of the case. Generally, it will be charged in proportion according to the results of the case, generally not exceeding 30% of the contract amount.
I hope the above content can help you. If in doubt, please consult a professional lawyer.
Legal basis: Article 11 of the Measures for the Administration of Lawyers' Service Fees in People's Republic of China (PRC).
When a law firm handles civil cases involving property relations, if the client still asks for risk agency after being informed of the government's guidance price, the risk agency fee may be implemented, except for the following circumstances:
(1) Marriage and inheritance cases;
(2) Requesting social insurance benefits or minimum living security benefits;
(3) Requesting to pay alimony, alimony, alimony, pension, relief fund and compensation for work-related injuries;
(4) Request for payment of labor remuneration, etc.
Article 12
It is forbidden to carry out risk agency fees in criminal litigation cases, administrative litigation cases, state compensation cases and group litigation cases.
Article 13
To implement the risk agency fee, the law firm shall sign a risk agency fee contract with the client, and stipulate the risk responsibility, charging method, charging amount or proportion that both parties should bear.
The maximum risk agency fee shall not be higher than 30% of the target amount agreed in the charging contract.