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Lawyer Nussbaum counsels and advises clients about tax matters and other transactions that are largely tax- motivated. If a client-taxpayer's treatment of a transaction is
Lawyer Nussbaum counsels and advises clients about tax matters and other transactions that are largely tax- motivated. If a client-taxpayer's treatment of a transaction is not challenged by the Internal Revenue Service, the transaction may result in a substantial reduction in taxes to the client. If, on the other hand, the transaction is not upheld, the taxpayer will be required to pay the tax he had hoped to avoid plus interest. In advising a client on such a transaction with doubtful consequences, in which of the following fee arrangements would Lawyer Nussbaum be subject to discipline for the fee arrangements, assuming that the fee is not "unreasonable"? All answer choices are all ethical fee arrangements. Lawyer Nussbaum and Client Clinton agree on a fixed fee coupled with a contingency on the outcome of the case providing it is also understood that the fixed fee applies irrespective of the outcome and that the contingency applies only to the tax saving effected. Lawyer Nussbaum and Client Clinton agree on a contingent fee where Lawyer Nussbaum is only to be paid if he accomplishes a tax saving for the client. Question 3 1 pts Question 4 1 pts Lawyer Nussbaum and Client Clinton
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