Do you sign contracts to perform without having those contracts reviewed by an attorney? If you’re like many struggling performers, the answer is probably “yes.” Most of us are so happy just to get a contract that we eagerly read through it, glossing over the parts we don’t understand. We rationalize our confusion by telling ourselves something like “This is just boilerplate, dozens of people have signed one just like this and nothing happened to them.” Then we sign the contract, hoping nothing bad will occur.
Most singers have no idea that there is an affordable alternative: prepaid legal coverage. Prepaid legal coverage began in Germany in the early 1900s, and is widely accepted all over Europe, with millions of members enrolled. The largest U.S. firm of its kind has been in business for 30 years, but prepaid legal coverage is still very new to this country.
An amazing percentage of Americans need legal help at any given time (for example, 70 percent of Americans do not have a will, according to the American Bar Association), but many Americans neglect their legal needs in hopes that the problem will disappear. Why? Because we weigh the cost of hiring an attorney against the real or potential cost of the problem itself, and decide to wait it out. Most of us check our bank accounts before checking out our rights.
The legal issues the average singer may encounter range from worrying about an IRS audit, reviewing a lease agreement, or protecting themselves in case of identity theft, to the need for a will to be written, and business or tax advice. Child custody and support issues loom large in a country where one of every two marriages ends in divorce. You may be dealing with these issues, or you know someone who has. And you know how much time legal worries can consume and how hard it can be to figure out what to do or where to go for help.
Prepaid Legal Service Plans
emphasize preventive law
Pre-paid legal service plans work much like HMOs. The risk for legal services is pooled and spread over a large group of customers. Plan participants pay a small monthly fee (i.e., $13.95/month in New York) and have access to an established network of attorneys for advice and service, just as HMO members have access to a network of physicians. And like HMOs, participants can always choose to use a lawyer out of network, though the plan won’t pay for it. Unlike a discount card, most of the services are included in that small monthly fee.
Pre-paid legal plans typically cover the following:
Free consultation by telephone. You have access, at no charge, to a national network of provider attorneys both in your home state and in any other state regarding any personal or business legal matter. You may consult an attorney as often as you wish. Many legal concerns are solved through consultation alone. Another great feature—you don’t have to set an appointment, take time away from your day job and, therefore, lose income. Just call your legal service on their 800 number and talk away. You’ll never receive a bill, so you don’t feel rushed to keep the cost down.
Free follow-up services. The provider attorney can solve some problems merely by writing a letter or making a phone call on your behalf, at no charge. If you’ve ever been stiffed on a performance fee, you can imagine how fast things will change in your favor when the opposing party receives a demand letter on a large law firm’s letterhead, or a phone call from an attorney, asking when the check will be delivered to you. Suddenly you’re more than just another singer with no clout—you’re a powerful person who has legal backup.
Free document review. A provider attorney will review personal documents, such as leases, insurance policies or performance contracts at no charge. He or she will also explain the terms of the documents, answer specific questions you have and make suggestions to turn the contract to your favor. This is invaluable when you’re struggling to understand your lease, or a performance or management contract.
Wills, Living Wills, Health Care Proxies and Powers of Attorney are available at no charge or for a small fee.
Twenty to 30 percent discount off regular hourly rates for additional services, such as, real estate closings, bankruptcies and divorces.
Traffic court representation. Got a lead foot? Some plans provide representation in traffic court at no additional fee. Most of us wouldn’t cut out of a rehearsal to appear in traffic court, we’d just pay the fine and endure the points. Also, if you’re doing a gig out of state and get a traffic ticket, it’s great to know you can fight that ticket without having to make an expensive trip back to the area. The attorney will be paid by your coverage, and you don’t even have to appear in court!
Civil or criminal defense. Some plans provide 50-70 hours of prepaid attorney time to represent a member in case of civil or criminal suit, or IRS audit. Other plans offer this service at a discounted flat fee, such as $50 per hour.
Quality control. Members may be occasionally asked to evaluate the lawyer and the services performed. Some plans, such as PrePaid Legal Services in Oklahoma, require their provider attorneys to be highly ranked by the Martindale Hubbel Law Directory to insure the participation of top-notch attorneys.
24-hour coverage in case of arrest. Some plans offer an 800 number 24 hours a day in case of arrest or detainment by the police. Every plan differs in the specific items it covers, but plans generally cost very little for a high level of quick access to an attorney for advice and legal services. Plans start at $11 per month and cover your entire family, including spouse or domestic partner and children (including teen drivers). If you were to seek an attorney’s help on your own, even only once a year, with the average hourly rate at $125, you can easily see how much you can save with a prepaid plan.
Summary
The benefits of pre-paid legal plans, particularly the more affordable access plans, include easy access to a national pool of highly ranked attorneys, significant cost savings, and, in many cases, preventive services that can help with issues before they reach crisis proportions. For instance, you may be able to call on a lawyer for advice on mediating a dispute with a small company over performance pay instead of arguing until the dispute becomes a lawsuit.
How to find prepaid legal plans
Pre-paid legal service plans are available to individuals or families through legal service organizations and sometimes through churches, educational institutions, alumni associations, business groups, credit unions, and employers. For example, the New York state teachers’ union offers its membership a plan for legal help via a prepaid option. Additionally, prepaid plans are available through independent sales representatives and local insurance representatives who also offer property/casualty, health or life insurance.
