Contingency fees are a common payment arrangement used by personal injury lawyers. This type of fee structure allows clients to hire legal representation without having to pay any upfront costs. Instead, the lawyer’s fee is contingent upon the successful resolution of the case – typically in the form of a percentage of the final settlement or court award.
Understanding how contingency fees work can help individuals make informed decisions when seeking legal representation for a personal injury claim. Here’s an overview of how contingency fees operate and what clients should know before entering into this type of agreement.
When a client hires a personal injury lawyer on a contingency fee basis, they do not have to pay any money out-of-pocket for legal services. Instead, the lawyer agrees to take on the case and only collect their fee if they are able to secure compensation for the client. This means that if the case is unsuccessful and no money is recovered, the client does not owe anything to their attorney.
Typically, contingency fees are calculated as a percentage of the final settlement or court award obtained by the lawyer on behalf of their client. The specific percentage can vary depending on factors such as the complexity of the case, potential risks involved, and customary rates in that particular area or practice area.
It’s important for clients to understand that while there are no upfront costs associated with hiring a lawyer on contingency, they may still be responsible for certain expenses related to their case. These expenses could include court filing fees, expert witness fees, medical records retrieval costs, and other out-of-pocket expenditures necessary to pursue their claim.
Clients should also be aware that contingency fee agreements typically do not cover additional legal services outside of representing them in their personal injury claim. For example, if a client needs assistance with unrelated legal matters or wants advice on estate planning issues, these services would likely require separate payment arrangements with their attorney.
Before entering into a contingency fee agreement with a personal injury lawyer, it’s crucial for clients to carefully review and understand all terms outlined in the contract. Clients should ask questions about how fees will be calculated, what expenses they may be responsible for, and what happens if their case is unsuccessful.
By understanding how contingency fees work and being informed about potential costs associated with pursuing a personal injury claim through this payment structure, clients can make educated decisions when selecting legal representation for their case. Personal injury lawyers who work on contingency provide an accessible option for individuals seeking justice after suffering harm due to another party’s negligence or wrongdoing.
Brach Eichler Injury Lawyers
317 George Street, #320, New Brunswick, NJ, 08901
(732) 352-9005