Disclaimer: This article is for educational purposes only and does not constitute legal advice. Consult a qualified probate attorney in Michigan for advice tailored to your situation.
Detailed Answer
An initial probate representation agreement is a written contract between you (the client or personal representative) and a probate attorney defining the services the attorney will perform, the fee structure, and how additional tasks will be handled. Under Michigan law, fee agreements must comply with the Michigan Rules of Professional Conduct (MRPC) Rule 1.5 (https://www.michbar.org/generalinfo/rule1-5) and attorneys employed by a personal representative have their compensation approved by the probate court under MCL 700.3807 (https://www.legislature.mi.gov/doc.aspx?mcl-700-3807).
To determine which tasks your agreement covers, follow these steps:
- Review the “Scope of Representation” section. This section should list each service the attorney will handle. Common tasks include:
- Preparing and filing the probate petition with the probate court.
- Serving notices to heirs, beneficiaries, and creditors.
- Identifying, locating, and inventorying estate assets.
- Arranging appraisals when required.
- Responding to creditor claims and managing estate debts.
- Filing periodic accountings and inventories with the court.
- Preparing and filing federal and state estate tax returns.
- Distributing assets to beneficiaries and closing the estate.
- Identify exclusions or conditions. Look for language that excludes certain tasks, such as contested hearings, will contests, fiduciary litigation, real estate closings, guardianship appointments, or IRS audits. These often require separate agreements or additional fees.
- Check fee structure and retainer terms. Fee arrangements may be flat-fee, hourly, or contingent. MRPC Rule 1.5 requires that attorneys clearly describe how fees are calculated and when the retainer is earned or refunded.
- Ask for clarifications. If any item is vague—e.g., “court appearances as needed”—ask the attorney to clarify which hearings or stages are included. You can request a written amendment before signing.
- Compare similar agreements. If you have multiple fee proposals, compare the lists of included tasks. A lower fee may come with a narrower scope, leading to higher costs later for additional services.
- Understand court oversight. Under MCL 700.3807, the probate court reviews and approves attorney fees. If you believe tasks were omitted or fees are unreasonable, you can request a hearing to adjust the scope or fee.
Helpful Hints
- Ask for a task-by-task checklist in the engagement letter to avoid surprises.
- Confirm how billing increments are calculated (e.g., six-minute increments for hourly rates).
- Keep copies of all drafts and signed agreements for your records.
- Note key deadlines in Michigan probate (e.g., filing the petition within 14 days of appointment).
- Use the State Bar of Michigan’s fee dispute program (MCR 9.113) if disagreements arise.
- Review the Michigan Probate Court’s local rules; some counties require additional disclosures in fee agreements.