When I first started my law practice, I often took on smaller cases, as they were better than having no work at all. I also believed that handling these smaller matters well might lead clients to trust my firm with larger, more lucrative cases. At times, I even agreed to favorable fee arrangements, hoping it would help build relationships with bigger clients and open the door to more work. However, in my experience, smaller matters don’t always result in additional work, and lawyers should be cautious about offering discounted fees in anticipation of future referrals.
Early in my career, the general counsel of a mid-sized company approached me with a small matter that needed attention. They emphasized it wouldn’t require much effort and requested a flat-fee arrangement since the matter wasn’t of significant value to them. I accepted, thinking this could lead to more substantial work in the future.
As it turned out, the matter required far more time and effort than expected. I spent many hours on it but successfully resolved an issue the client had been struggling with for over a year in just a few days. My work exceeded the client’s expectations, and I assumed this would result in larger matters being referred to my firm.
Over the years, this client continued to reach out, but only for smaller cases—none of which aligned with the higher-level work my firm had grown to handle. The general counsel even once mentioned they were looking for “small” matters to send our way, which frustrated me. My firm was now handling large-scale cases for significant clients, yet this company seemed to view us as a firm for minor tasks.
In another instance, I was referred a small litigation case by a source that appeared to have the potential for ongoing work. They suggested that offering the client a favorable rate on this case might lead to more referrals. Hoping for future opportunities, I agreed to a discounted rate. My firm delivered excellent results, and the case resolved favorably, but no further work ever came from the client. It seemed the promise of additional work had been a tactic to secure lower fees, with no intention of following through.
Ultimately, I’ve learned that lawyers should avoid relying on the promise of future work when negotiating fees, particularly for smaller matters. Clients may not have any intention of sending larger cases, and attorneys should focus on fair compensation for the work at hand instead of chasing hypothetical opportunities.
