Legal Question in Legal Ethics in California

Out with the old, in with the new?

It sounds like you have a personal injury matter which is at the stage of settlement with monies offered by the insurance company for a complete settlement of all claims. In any matter regarding legal fees you must look at your contract. If it's a contingency fee contract [ you and the lawyer split the proceeds] and there's no money on the table, you can certainly discharge your old lawyer and his fee is generally determined on a "quantum meruit" basis. This means how much he receives for work performed is dependent upon factors such as time expended, difficulty of the case, other cases he refused for your case, and other factors. Sometimes courts will use what the call a "lodestar" formula. States can also differ on fees under contingency contracts. For example, the maximum in Louisiana where I'm licensed is 50%. Florida, where I live, has a specific scheme outlined by the Bar Association that's to be used. It sounds like your new layers are telling you that you may have a reasonable settlement offer which has already been tendered by the insurance company. If such is the case, it sounds like they're telling you the old lawyer has earned his contingency fee on the proceeds of the money offered in settlement. Since each State has its own rules you might wish to contact your state's bar association and ask them about your situation and the requirements for a valid contingency fee contract if that's what you have. This may not be the answer you want, but I hope it helps. Your other option is to talk to your potential new lawyers and ask them to explain to you what they're talking about and make it make common sense.