Document background
The Legal Services Engagement Letter is a fundamental document in Canadian legal practice, required by provincial law societies and professional regulations to formalize attorney-client relationships. It serves multiple purposes: establishing the scope of representation, setting fee arrangements, ensuring regulatory compliance, and protecting both the law firm and client interests. This document must be executed before commencing legal services and typically includes details about the specific matter, team members involved, billing practices, conflict procedures, and termination rights. It needs to comply with provincial law society rules, federal anti-money laundering legislation, and privacy laws. The engagement letter is particularly crucial in complex matters or when representing sophisticated clients, as it helps prevent misunderstandings and sets clear expectations for the professional relationship.
