Legal Question in Insurance Law in Jordan

lawyer fees

Following a fire in a factory a dispute arose between the owner and the insurance co.

The owner appointed a lawyer to raise a case against the insurer. they agreed in writing

that the lawyer remuniration will be a percentage of amounts collected from insurers.The

property was mortgaged to secure bank loan for less than the sum insured and bank was named

as a benifeciary in the insurance policy.The bank joined the legal action as plaintiff.The

court ruled that the amount of loss(which is less than the debt) to be paid to the bank.No

doubt the owner eventually benifited from action but the problem is that the lawyer is

unable to collect any thing due to the owner financial difficulties.

Can the lawyer ask the higher court to enable him to collect his fees from the insurer

before the bank knowing that all legal work was made by by him and bank lawyer was only

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Asked on 6/09/07, 1:55 pm

1 Answer from Attorneys

Maryam Abdallah Maryam Abdallah Law Firm

Re: lawyer fees

The lawyer appointed by the owner to follow up on the case remains the sole legal representative of the latter & the owner alone is to be responsible for his fees, unless the lawyer can prove that he was appointed explicitely or implicitely by the bank to represent his interest in the case against the insurer.

This is why the lawyer cannot force the bank to pay his legal fees neither can he compete with the bank on the amount of money received from the insurer as this would decrease the amount paid to the bank for the loss in Property to guarantee the loan, which is why the insurance was made & the bank was named as sole beneficiary in the 1st place!

However, being a lawyer, I would like to discuss further options the lawyer might have depending on his jurisdiction in case he/she chooses to contact me directly.

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Answered on 6/23/07, 9:05 pm


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