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Legal tech glossary

Terms every small-firm lawyer should know.

Plain-language definitions for billing, trust, intake, and practice management concepts.

Retainer agreement

A retainer agreement is a contract between a lawyer and client that sets out the scope of legal services, fee structure, billing terms, and each party's responsibilities before work begins.

Trust account

A trust account is a separate bank account where a law firm holds client funds — retainers, settlements, and other monies belonging to clients — distinct from the firm's operating account.

IOLTA

IOLTA (Interest on Lawyers' Trust Accounts) is a program requiring lawyers to deposit short-term or nominal client funds into pooled trust accounts, with interest directed to civil legal aid rather than the firm or client.

Engagement letter

An engagement letter is a written document confirming that a lawyer has been hired, outlining the scope of representation, fee arrangement, billing practices, and terms for ending the relationship.

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