Does billing by the hour reward inefficiency? Some condemn hourly billing as a system that creates an incentive to perform unnecessary tasks that needlessly prolong litigation. Flat fee billing has been touted as an alternative which creates better value for the client by eliminating the incentive to bill unnecessary hours.
Although savvy counsel interested in good client relations will be receptive to billing alternatives, a strong defense can be made that billing by the hour is the best option for a fair and reasonable way to compensate counsel for efficient and effective litigation services.
