ALA Case Analysis and Interpretation 2

Question 1

A legal administrator notices that a high-value litigation matter has had no billing entries for 45 days despite active court deadlines. What is the most appropriate immediate action?

Accepted Answer

Contact the responsible attorney to confirm matter status and capture any unbilled time

Answer

Proactively contacting the responsible attorney ensures accurate billing capture and confirms no critical deadlines are being missed.

Question 2

When interpreting a retainer agreement that is ambiguous about whether expense reimbursements are capped, which interpretive principle should the administrator apply first?

Accepted Answer

Review the parties' course of dealing and prior invoices for context

Answer

Course of dealing and prior invoices provide extrinsic evidence of the parties' intent before resorting to formal legal doctrines.

Question 3

A firm's case management report shows that 30% of matters exceed their original budget estimates by more than 20%. Which root-cause analysis approach is most effective?

Accepted Answer

Analyze matters by practice group, matter type, and originating attorney to identify patterns

Answer

Segmenting overruns by practice group, matter type, and attorney reveals systemic causes rather than applying uniform adjustments.

Question 4

During case review, an administrator finds that a contingency fee matter settled for $500,000 with a 33% fee agreement, but the client was billed $20,000 in expenses separately. What is the correct fee calculation?

Accepted Answer

$165,000 fee applied to the gross settlement

Answer

Under a standard 33% contingency on gross recovery, the fee is $165,000, with expenses addressed separately per the agreement terms.

Question 5

A legal administrator is reviewing a matter where a key witness recanted testimony after settlement. What case management implication does this present?

Accepted Answer

The file should be retained with documentation noting the post-settlement development for potential malpractice defense

Answer

Post-settlement developments should be documented in the file to protect the firm in any subsequent malpractice or ethics claims.

(ALA) Association of Legal Administrators CLM Practice Test

(ALA) Association of Legal Administrators CLM Practice Test

ALA Case Analysis and Interpretation 2