Advisory Opinion: 1911

Year Issued: 2000

RPC(s): RPC 1.8(e)

Subject: Contingent fee agreement provides that repayment of costs advanced is contingent on outcome

The inquirer asked if a lawyer may enter into a contingent fee agreement in which the lawyer advances the costs on behalf of the client, with repayment of those advances contingent on the outcome of the case.

The committee stated that RPC 1.8(e) prohibits a lawyer from advancing the expenses of litigation the payment of which is contingent on the outcome of the litigation. Therefore, it is the opinion of the committee that the fee agreement the inquirer proposed would violate RPC 1.8(e).

Advisory Opinions are provided for the education of the Bar and reflect the opinion of the Committee on Professional Ethics (CPE) or its predecessors. Advisory Opinions are provided pursuant to the authorization granted by the Board of Governors, but are not individually approved by the Board and do not reflect the official position of the Bar association. Laws other than the Washington State Rules of Professional Conduct may apply to the inquiry. The Committee's answer does not include or opine about any other applicable law other than the meaning of the Rules of Professional Conduct.