If you've ever hired a lawyer (or looked into hiring one), you may be wondering why he or she charges so much -- typically in the hundreds of dollars per hour. How do lawyers set their fees?
One place to look is the American Bar Association's rule on attorney's fees. Rule 1.5 states, "A lawyer shall not make an agreement for, charge, or collect an unreasonable fee."
So what exactly is a reasonable fee, and how do lawyers determine how much to charge?