IN THE SUPREME COURT OF THE STATE OF ALASKA

                        ORDER NO.     1330   

                                   Amending Alaska Rule of
Professional Conduct 1.5 concerning fees. 

IT IS ORDERED:

     Alaska Rule of Professional Conduct 1.5 is amended to read:
    
         Rule 1.5  Fees.

               * * * *
               (b) The basis or rate of a fee exceeding
$500 shall be communicated to the client in a written fee agreement
before or within a reasonable time after commencing the
representation.  This written fee agreement shall include the
disclosure required under Rule 1.4(c).  In a case involving
litigation, the lawyer shall notify the client in the written fee
agreement of any costs, fees or expenses for which the client may
be liable if the client is not the prevailing party.
 
                           ALASKA COMMENT
                                           
              The words "if apparent to the client" were
deleted from Model Rule 1.5(a)(2). An attorney should be allowed to
increase his or her fees if there is a likelihood that the
representation will preclude other employment. This is true
regardless of whether the likelihood is apparent to the client.
          
              The Committee concluded that advice to the
          client concerning potential liability for
costs, attorney's fees and other expenses should be specifically
set out in the written fee agreement in order that the client might
be fully informed.
          
              In addition to the definition in Rule
9.1(b), the term "client" in this rule means any person or entity
legally responsible to pay the fees for professional services
rendered by a lawyer.


DATED:         July 9, 1998        

EFFECTIVE DATE:   January 15, 1999 



                                   ______________________________
                                   Chief Justice Matthews


                                   ______________________________
                                   Justice Compton


                                   ______________________________
                                   Justice Eastaugh


                                   ______________________________
                                   Justice Fabe
     

                                   ______________________________
                                   Justice Bryner