Fee guarantee

Keystone guarantees fee exposure of Acting Lawyers in respect of each client up to the amount of £2,500 (excluding VAT) in the following circumstances:

• The client is owned by Central Office or a lawyer other than the Acting Lawyer.
• The Engagement Letter is written by a lawyer other than the Acting Lawyer and does not ask for Costs on Account and there has been no request for Costs on Account.
• Work is not being undertaken during the Grace Period.
• Non-payment of fees is due to bankruptcy/insolvency or the client's unjustified refusal to pay.

By definition, the Keystone Fee Guarantee only applies where there is a shortfall of Client Funds to settle that client's Invoice. Where this is the case, funds shall be applied in this order: i) disbursements, ii) Acting Lawyer's fees, iii) Central Office's fees, iv) Lead Lawyer's fees, v) Client Owner's fees, and vi) Introducer Fees.

If, during the course of your work, you become concerned as to the reliability of a client for whom we do not hold sufficient Costs on Account, you should inform all lawyers working on the matter and consider asking for Costs on Account. In extreme cases, you may want to discuss (with the Director of Operations and Compliance) ceasing to act.

Proper management of the client by the Lead Lawyer and/or Client Owner should avoid fee exposure. If it transpires that the Lead Lawyer or Client Owner has been unreasonably neglectful in failing to limit the fee exposure of an Acting Lawyer(s), Central Office may require a personal contribution from that Lead Lawyer and/or Client Owner to compensate any colleagues who have been unreasonably prejudiced.

Whatever the circumstances, Central Office will not seek a contribution from any lawyer in respect of the share that Central Office would have received on an unpaid Invoice.