Answer:
The attorney should write a check to Lue for $500 and leave the rest of the money ($800 - $500 = $300) in the Clients' Fund Account. He also has to explain Lue that his legal fees were $300 (= $50 per hour x 6 hours) and resolve that matter with him.
The client is responsible for paying his legal fees whether he wins or losses a case unless some other specific arrangement was made.