What is the difference between arbitration and mediation?
Both arbitration and mediation involve a neutral third party. In arbitration, the arbitrator hears evidence and arguments, and then issues a decision that may be binding or nonbinding. In mediation, the mediator helps the parties reach their own voluntary agreement.
Can my attorney require me to participate in fee mediation?
No. Both sides must agree to mediation. The State Bar will notify the opposing party if mediation is requested.
What is the deadline for requesting fee arbitration and mediation?
If you received a Notice of Client’s Right to Fee Arbitration form from the attorney, you have 30 days from the date you received it to submit your arbitration request form to the program. You must also submit your arbitration request if you first wish to mediate the fee dispute.
If you do not file the request form within 30 days of receiving the notice, you will lose your right to arbitrate your fee dispute. A telephone call or letter to the program requesting arbitration will not protect that right. You must be sure that the request form is complete and submitted with any required filing fee.
If the attorney has already filed a lawsuit against you for unpaid fees, you may elect either to respond to the lawsuit or request fee arbitration. If you file a response to the lawsuit, you will lose your right to arbitrate the fee dispute. If you request arbitration, the lawsuit will be stayed, but you should file the appropriate notice of automatic stay with the court. To preserve your right to arbitrate, you should file a request for arbitration promptly.
Your request for mediation is part of the State Bar request for arbitration, so it will follow the same timelines listed above.
If I think an attorney has engaged in misconduct or malpractice, will fee mediation help me?
No. The mediator will not decide any issues related to attorney misconduct and/or malpractice and has no authority to make any determinations regarding the attorney’s conduct or to discipline attorneys for professional misconduct.
If you wish to file a disciplinary complaint with the State Bar of California about your attorney’s conduct, you may do so online. Please keep in mind that a discipline complaint and a request to arbitrate and mediate a fee dispute are separate matters. Filing a complaint may result in disciplinary action against the attorney; however, the result may or may not require the attorney to refund fees.
If you think you have a separate claim for legal malpractice, you should seek legal counsel.
May I ask for fee mediation if I want a refund of fees I have already paid to an attorney?
If you are seeking a refund of attorney’s fees that you have already paid, you may request fee mediation as a preliminary option along with arbitration as long as you are still within the legal time limit for filing a lawsuit about the fee dispute. To preserve your right to arbitrate, and to potentially mediate a fee dispute, you should file a request for arbitration promptly.
How do I request fee mediation?
For disputes filed with the State Bar, simply check the box agreeing to mediate on the request for fee arbitration form. Some local bar associations offer fee mediation in addition to fee arbitration. Find local fee arbitration programs.
Can an attorney refuse to mediate a disputed fee?
Yes. Mediation is voluntary and either side can decline to mediate. All parties must agree for a mediation to go forward.
What happens at a fee mediation?
Mediations will take place by videoconference. Usually, the parties are in separate areas to start but may be brought together later in the process. The mediator will typically meet separately with one party, and then the other, to understand their perspectives and to identify areas of potential agreement. This “shuttle diplomacy” will take place until an agreement is reached, or until it is clear to the mediator that it is not possible for the parties to reach an agreement. If an agreement is reached, it will be memorialized in a writing called a settlement agreement.
You may be represented by an attorney, but it is not required. You can arrange for an interpreter to attend the mediation with you.
The mediation is confidential. This means that nothing said in a mediation can be used as evidence in any later proceeding by any party at the mediation.
Should I agree to mediation?
The decision to agree to mediate is entirely up to you, but the attorney will also have to agree in order for the mediation to occur.
How does the Fee Mediation Program work?
If the dispute is eligible to be filed with the State Bar for fee arbitration, you will have the option of agreeing to mediation as part of the request for arbitration. Some local bars also offer fee mediation, but most local programs only offer fee arbitration.
When you complete the Request for Arbitration with the State Bar, you will be asked to indicate whether you are interested in mediating the fee dispute. Once your request is accepted, including receipt of payment of the applicable fee arbitration filing fee, the State Bar will serve your request to the opposing party. As part of the opposing party’s written reply to the request, they will indicate whether they agree to mediate the fee dispute prior to arbitration.
If both parties agree to mediation, a mediator will be assigned to help you and attorney try to reach a settlement of your dispute, and you will receive further instructions at that time.
I had a bad experience with a Live Scan vendor. Can I report them to the State Bar?
Live Scan vendors are contracted through the DOJ and are not under the authority of the State Bar. Live Scan vendor complaints may be submitted to the State Bar, which will be sent to the DOJ. If you recently submitted your fingerprints through a DOJ-contracted Live Scan vendor and have had a negative experience, we encourage you to complete the Live Scan Vendor Complaint Form and email the completed form to the State Bar.
Will I be assessed fees from the State Bar?
Yes. The 2025 annual fees will be available to calculate and pay online through My State Bar Profile effective February 1, 2025.
What if I didn’t take enough courses during the compliance period?
Failure to complete the requirements during the compliance period will result in your having to make up the deficiency. You will have to submit all required hours to the online log and then submit the proof of compliance. You will also need to provide the audit submission cover sheet, a brief cover letter explaining why you were unable to complete the requirements during the compliance period along with the $205 deficiency fee for non-compliance by the deadline.
Do I send in the original certificates or the copies?
Photocopies are sufficient for the purposes of the audit. Hold on to your originals through the end of the year you report MCLE compliance.
The MCLE Compliance Department does not keep track of the education an attorney has completed: Attorneys are responsible for keeping certificates of attendance and a record of self-study activities. These records should be used to tally hours.
Certificates of attendance list the overall amount of credit available for an activity and whether any credit is available for legal ethics, prevention of substance abuse, or elimination of bias in the legal profession. Contact the provider directly regarding lost certificates of attendance or if information about an activity is incomplete.
What compensation and immunities do Special Masters receive?
Special Masters serve without compensation, but for purposes of immunities are considered public employees of the government entity causing the search warrant to be issued.
Does SB 94 apply to circumstances where an attorney who represents a borrower in a civil action against a lending institution (for example, alleging that the lender engaged in predatory or unlawful loan practices) receives an offer from the defendant to settle the civil action by granting the borrower a loan modification?
No. SB 94 applies only to employment contracts which are entered into for the purpose of obtaining a loan modification or forbearance for a borrower. If the genuine purpose and goal of an employment contract is to pursue remedies other than a loan modification or forbearance, SB 94 does not apply.
Summary of the Law
On October 11, 2009, the following code provisions, referred to collectively as SB 94, became effective:
California Civil Code, section 2944.6(a) providing that any person who offers to negotiate, arrange or perform a mortgage loan modification or forbearance in exchange for a fee paid by the borrower, shall provide the borrower, prior to entering into a fee agreement, a separate statement advising the borrower of various points including the fact that it is not necessary to pay a third party to arrange for a modification or forbearance and that the United States Department of Housing and Urban Development provides a list of non-profit organizations that provide assistance to borrowers at no cost.
California Civil Code, section 2944.7(a)(1) providing that it shall be unlawful for any person who offers to negotiate, arrange or perform a mortgage loan modification or forbearance in exchange for a fee paid by the borrower, to claim, demand, charge, collect or receive any compensation until after the person has fully performed each and every service the person contracted to perform or represented that he or she would perform.
Section 2944.7(a)(2) prohibiting the taking of any wage assignment, lien or other security to secure the payment of compensation.
Section 2944.7(a)(3) prohibiting the taking of any power of attorney from the borrower for any purpose.
Section 2944.7(d) providing that the section applies only to mortgages and deeds of trust secured by residential real property containing four or fewer dwelling units.
California Business and Professions Code, section 6106.3, providing that a violation of Civil Code sections 2944.6 or 2944.7 by a member of the State Bar of California constitutes a cause for the imposition of discipline.
What if the fee agreement was oral and a written agreement was not required?
If the fee agreement was oral, and a written fee agreement was not required, the arbitrator will decide what you and the attorney intended as the terms of your agreement. For example, the arbitrator will determine the agreed upon hourly rate and any other fees or costs. You should be prepared to present any evidence that supports your claim, whether that evidence is in the form of written documents or a witness who was present when you discussed the fee with your attorney.
Who can come with me to the hearing?
You should check the program rules to see if nonparties and nonwitnesses may attend with you and, if so, whether that person may speak on your behalf. If allowed, that person will be bound by the same rules of confidentiality as everyone else.
Can I contact the arbitrator after the hearing?
Unless you have been directed to do so by the arbitrator, you should not contact or send any correspondence to the arbitrator after the hearing has concluded. You may contact the program administrator if you have questions.
Are there any exceptions to the reporting obligation under rule 8.3?
Yes, there are exceptions to the reporting obligation under rule 8.3. For example, rule 8.3 does not apply to information gained by a lawyer while participating in a substance use or mental health program, or information that is protected by confidentiality rules or laws.
What activities can I perform in the e-learning portal?
You can:
View and complete courses.
Download MCLE certificates or certifications of completion for completed courses.
View announcements and messages.
Generate reports.
How do I locate my MCLE Certificate or Certificate of Completion?
Go to your Learning page, and then click on the Completed tab. Once there, click the “+” icon for the course you want the certificate for. Click on the ribbon icon to view your completion certificate. Download/save a copy of the certificate for your records. The certificate will be available for only 30 days from the date of completion.
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