A fee structure is a reusable billing arrangement. It is used to record a customer’s existing fee agreements with their outside counsel. A fee structure includes a general description of the work to be performed, the area of law, what fee types will be used (flat fee, hourly, etc.). The same fee structure may be used for many similar matters that have the same terms. After set-up of the fee structures, the customer invites law firms to make offers. That offer would apply to every matter using the same fee structure.
A fee offer may include the timekeeper rates, level rates, cost for work divided into stages, discounts, and any other payment terms. Fee offers are not tied to individual matters; instead, they apply to all matters that use the same fee structure. The rates remain in effect until the law firm submits a new offer, and the client approves it.