One of the first questions people ask before contacting a lawyer is what it will cost. The answer depends on the case, but it helps to know how lawyers in Iceland usually calculate their fees.
Hourly rates
Most lawyers charge an hourly rate for the time they spend on your case. Rates vary with the lawyer's experience and the type of work, and the total depends on how much work the case turns out to need.
Lawyers' fees in Iceland are subject to 24% VAT, so check whether a quoted rate includes it. It is also sensible to ask for an estimate of the total cost and whether a cap on hours can be agreed.
Fixed prices
For well-defined tasks many lawyers offer a fixed price. Typical examples are simple contracts, wills and other work where the scope is predictable. A fixed price gives you a clear picture of the cost in advance.
Legal costs in court cases
In civil court cases the losing party can be ordered to pay all or part of the other side's legal costs (málskostnaður). This risk affects the overall cost of going to court, and a good lawyer will discuss it with you before you start.
Free legal aid (gjafsókn)
In some cases you can be granted free legal aid (gjafsókn), where the state pays all or part of the legal costs. It is mainly available when your income is below set limits and the case has reasonable grounds, and in certain types of case such as some family matters.
In criminal cases a suspect is usually entitled to a court-appointed defence lawyer, paid by the state in the first instance.
Personal injury claims
After traffic and other insured accidents, the liable insurer often covers a reasonable part of the lawyer's fees for pursuing a compensation claim. Ask about this when you contact a personal injury lawyer.
Free and low-cost advice
For a first orientation, the Icelandic Bar Association runs a free advice service, Lögmannavaktin, and law students at Icelandic universities offer free legal counselling. These services cannot take on your case, but they can help you understand where you stand.
Talk about fees from day one
The best way to avoid surprises is to discuss fees at the first meeting. Ask how the fee is calculated, what the case is likely to cost and whether any options exist to reduce it.
You can compare lawyers and contact them directly through the directory, by practice area or by region.