Credit Union Retainer Plan

<body topmargin=0 leftmargin=0 marginheight=0 marginwidth=0> <table cellpadding=0 cellspacing=0 border=0><tr> <td valign="top" colspan=3 height=64 BGCOLOR="#FFFFFF" TEXT="#080000" bgproperties="fixed" background="04b64643.gif"> <div> <I>Credit Union Retainer Plan</I></div> <div> </div> </td> </tr><tr> <td valign="top" rowspan="2" width=160 BGCOLOR="#996666" TEXT="#080000" bgproperties="fixed" background="04a64643.gif"> <div> <A HREF="id7.htm" TARGET="_top" TITLE="Credit Union Law"><U><B>Credit Union Law</B></U></A></div> <bR> <div> <B>Home page of</B></div> <div> <A HREF="index.htm" TARGET="_top" TITLE="Stephen J. Edwards, Attorney at Law"><U><B>Stephen J. Edwards, Attorney at Law</B></U></A></div> </td> <td valign="top" height=389 colspan=2 BGCOLOR="#FFFFFF" TEXT="#080000" bgproperties="fixed" background="04b64643.gif"> <div> This plan is designed to give all Credit Unions an opportunity to obtain quality legal advice at an affordable cost.  Often Credit Unions do not obtain competent advice because they think it is too expensive.  This plan is a response to that lament.  The $1,500 annual fee offers 10 hours of legal representation for any purpose.  The plan has purposely been kept simple. It is recommended that any Credit Union employee be able to call to get the answer to that knotty problem that is confusing him or her at the moment.    A copy of the entire retainer agreement is set forth below.</div> <div>   </div> <DIV ALIGN="LEFT"></DIV> <div> <TABLE BORDER="2" CELLPADDING="2" CELLSPACING="1" WIDTH="508" BORDERCOLORLIGHT="#C0C0C0" BORDERCOLORDARK="#808080" FRAME="BOX" RULES="ALL" ALIGN="BOTTOM" HSPACE="0" VSPACE="0" > <tR> <tD VALIGN=TOP HEIGHT= 16 WIDTH="496"><IMG BORDER="0" SRC="1x1.gif" HEIGHT="16" ALIGN="bottom" WIDTH="496" HSPACE="0" VSPACE="0"></tD> </tR> </TABLE></div> <bR> <div> <B><U>RETAINER AGREEMENT</U></B></div> <bR> <bR> <div>      <B>THIS AGREEMENT, </B>dated as of <U>                                 </U>, between the <U>                                                   </U>Federal Credit Union, whose address is  <U>                                                                          </U>, hereinafter referred to as "Credit Union", and Stephen J. Edwards, Attorney at Law, P.O. Box 321, Mt. Freedom, New Jersey 07970, hereinafter referred to as "Attorney", covers the creation of a client-attorney relationship between the parties.</div> <bR> <div>      1.     <U>Term</U>:  The term of this agreement shall be from January 1, 2006 to December 31, 2006.</div> <bR> <div>      2.     <U>Amount of Retainer:</U> Credit Union shall pay to Attorney a retainer of $1,500.00.</div> <bR> <div>      3.     <U>Retainer Services</U>:  Attorney will furnish legal services, up to a total of 10 hours for the calendar year 2006.  Services in excess of 10 hours will be billed at the rate of $190.00 per hour.  These hours may be used for any legal services the credit union desires, except as set forth below.</div> <bR> <div>      4.     <U>Services Not Covered By Retainer</U>:</div> <bR> <div>      Mortgage loans and foreclosures;</div> <div>      Bankruptcy court appearances;</div> <div>      Collection accounts.</div> <bR> <div>      The above services will be negotiated separately, either on a flat fee, on a per transaction basis or at the rates set forth hereafter.</div> <bR> <div>      5.     <U>Services Rendered at No Charge</U>:  Questions by the Credit Union relating to information disseminated by the New Jersey Credit Union League will be answered by Attorney without charge.  This includes questions on material published in the Legal or Information Manuals, questions raised by League Consultants and general questions arising from League lectures & presentations.</div> <bR> <div>      6.      <U>Collection Accounts</U>:  Letters to members with delinquent accounts will be sent at no additional charge.  Attorney will handle delinquent loan accounts of New Jersey residents on a contingent fee basis.  You may choose to pay either a 25% or 30% fee.  If you choose the 25% option, you must send a non-refundable fee of $75.00 with the account.  If you choose the 30% option, no fee is required.  You may decide which option to choose on a case-by-case basis.  Costs will be billed on a monthly basis.  If no recovery is effectuated, Attorney will receive no further amounts.  The amount of the claim includes principal, interest and the collection charge provided in your note.</div> <bR> <div>           Attorney will remit monies collected on a monthly basis.  A status report of all matters being handled will be sent with each remittance.</div> <bR> <div>           Claims against out-of-state delinquents will be forwarded to attorneys located in the area where the debtor resides by Attorney, who will act as your agent.  In addition to the contingent fee charged by the out-of-state attorney, Attorney will charge the Credit Union a contingent fee of 10% of all money collected by the out-of-state attorney plus our actual out-of-pocket disbursements for telephone, postage and photocopying.  Attorney cannot guarantee the acceptance by the out-of-state attorney of a claim on the same basis as set forth above.  Contingent collection fees, suit fees, and court costs vary from state to state.  However, out-of-state attorneys will generally accept a matter on a 25% contingent fee basis.</div> <bR> <div>      7.     <U>Collection Account Litigation</U>:  If a delinquent member files an answer to a Credit Union law suit and such defense requires an appearance in court, Attorney will charge a fee of $500.00 per half day spent in Court.  Court appearance fees are in addition to the fees set forth in Paragraph 6.</div> <bR> <div>           If the defendant files a counter claim demanding a judgment against the Credit Union, and your bonding company refuses to defend on your behalf, Attorney will defend against the counter claim.  Such services will be billed at $190.00 per hour, plus costs.</div> <bR> <div>      8.     <U>Litigation Against Credit Union</U>:  If a member or other person institutes a suit against the Credit Union and your bonding company or liability insurance company refuses to defend the action, Attorney will represent the Credit Union on a time basis of $190.00 per hour, plus costs.</div> <bR> <bR> <bR> <div> <U>                                                                          </U>   </div> <div> Stephen J. Edwards</div> <bR> <bR> <bR> <div>                                   Federal Credit Union</div> <bR> <bR> <div> By:<U>                                                                     </U></div> <div>                               </div> <DIV ALIGN="LEFT"></DIV> <div> <U> <TABLE BORDER="2" CELLPADDING="2" CELLSPACING="1" WIDTH="508" BORDERCOLORLIGHT="#C0C0C0" BORDERCOLORDARK="#808080" FRAME="BOX" RULES="ALL" ALIGN="BOTTOM" HSPACE="0" VSPACE="0" > <tR> <tD VALIGN=TOP HEIGHT= 16 WIDTH="496"><IMG BORDER="0" SRC="1x1.gif" HEIGHT="16" ALIGN="bottom" WIDTH="496" HSPACE="0" VSPACE="0"></tD> </tR> </TABLE></U></div> <bR> <div> <B>Please call if you would like any information about becoming a retainer client.  We will be happy to provide you with a list of Credit Unions that are already represented and encourage you to call them and discuss with them their experience with the plan.</B></div> </td> </tr><tr> <td valign="top" colspan=2 height=27 BGCOLOR="#996666" TEXT="#080000" bgproperties="fixed" background="04a64643.gif"> <div> <A HREF="id52.htm" TARGET="_top" TITLE="Current Topic"><U><IMG SRC="04c0d120.gif" border=0 width="13" height="18" ALT="previous" ALIGN="BOTTOM" HSPACE="0" VSPACE="0"></U></A>   <A HREF="id75.htm" TARGET="_top" TITLE="Sample Forms for Credit Unions"><U><IMG SRC="04d0d120.gif" border=0 width="13" height="18" ALT="next" ALIGN="BOTTOM" HSPACE="0" VSPACE="0"></U></A>      <IMG BORDER="0" SRC="1x1.gif" HEIGHT="18" ALIGN="BOTTOM" HSPACE="0" VSPACE="0" WIDTH="18">  <A HREF="id7.htm" TARGET="_top" TITLE="Credit Union Law"><U><IMG SRC="04f12120.gif" border=0 width="18" height="18" ALT="up" ALIGN="BOTTOM" HSPACE="0" VSPACE="0"></U></A></div> <bR> </td> </tr></table></body>