Can Law Firms Charge for Preparing a Response to an Enquiry Letter?
We believe that law firms can charge their clients their reasonable fees and disbursements incurred in connection with preparing and delivering a Response Letter. We believe this follows from the determination that law firms are obliged to provide Response Letters pursuant to express or implied terms of their existing or prior engagements. Obviously, the amount of such fees and disbursements must be reasonable and otherwise meet the governing requirements concerning solicitors’ accounts in force in the applicable jurisdiction. Finally, law firms must ensure their fees and disbursements for Response Letters are consistent with any contractual engagement terms they have entered into with their clients. Should Lawyers Be Concerned About Effecting a Waiver of Privilege in Responding to Enquiry Letters? Canadian and other common law courts are divided on whether communications to auditors by clients or their legal counsel of otherwise privileged information gives rise to a waiver of privile
