The Importance of Non-Engagement Letters for Law Firms
April 5, 2024
In law firms, the focus is often on securing new clients, but what about the ones who got away? Overlooking potential clients who decided to go another route can lead to potential issues down the line. According to an article by Attoney at Work, Non-engagement letters, which are the opposite of engagement letters, serve to formally communicate to individuals that they are not your clients. While it might feel awkward to send such letters, they serve as an essential precautionary measure.
These letters are particularly crucial in two scenarios. Firstly, when individuals discuss their case with you but don’t ultimately retain your services, there’s a risk they may later claim you provided legal advice, leading to complaints or even lawsuits. A non-engagement letter clarifies that no formal relationship was established and any initial impressions shared were not legal advice.
Secondly, in cases where there’s ongoing but unfulfilled interest in hiring you, failure to formalize the relationship could still lead to allegations of providing legal advice. By promptly sending a non-engagement letter when it’s clear the person won’t be retaining your services, you mitigate this risk.
Writing a non-engagement letter may feel awkward, but it’s essential for protecting yourself from potential complaints or legal actions. Bar associations and insurance carriers often provide sample letters for guidance. Incorporating non-engagement letters into your regular business practices can safeguard you against misunderstandings and legal liabilities.
Get the free newsletter
Subscribe for news, insights and thought leadership curated for the law firm audience.