When pursuing a personal injury claim, many individuals are concerned about the cost of hiring a lawyer. Fortunately, most personal injury attorneys work on a contingency fee basis, which means their payment is contingent on the outcome of your case.
A common arrangement is a one-third contingency fee, where the attorney receives one-third of the settlement or court award. This structure allows injured parties to pursue justice without upfront costs, as the attorney only gets paid if they successfully recover compensation.
Shapiro, Washburn & Sharp only practices personal injury law, and we only represent victims. Our clients pay no hourly or upfront fees, and we provide free consultations. Our firm does not accept every case, but when your case is accepted, you can rest assured you will get a rock-solid personal injury lawyer fighting for you to maximize your recovery. Call us today at 833-997-1774 for a free case evaluation.
What Is a One-Third Contingency Fee?
A one-third contingency fee means your attorney’s payment will equal one-third of the total amount recovered in your personal injury case. For example, if you receive a $90,000 settlement, your attorney would take $30,000 as their fee. This percentage is agreed upon in advance when you sign the attorney-client agreement.
The contingency fee arrangement benefits clients who might not have the financial resources to pay hourly legal fees. It aligns the attorney’s interests with the client’s, as the lawyer is motivated to secure the highest possible settlement or verdict. If the attorney does not win your case, you typically owe them nothing for their legal services.
What Does the Contingency Fee Cover?
The one-third contingency fee generally covers the attorney’s time, expertise, and effort in handling your case. This includes investigating the accident, gathering evidence, negotiating with insurance companies, and representing you in court if necessary.
However, the contingency fee may not include additional costs and expenses associated with your case. These costs could include court filing fees, deposition costs, expert witness fees, and charges for obtaining medical records. Whether these expenses are deducted from your settlement before or after the attorney’s fee is calculated will depend on the terms of your agreement, so it’s important to clarify this with your lawyer.
Are Contingency Fees Negotiable?
In many cases, contingency fees are standard, but they can sometimes be negotiable depending on the attorney and the complexity of your case. For straightforward cases with clear liability and significant damages, some lawyers may agree to a slightly lower percentage. Conversely, an attorney might propose a higher fee for complex or high-risk cases requiring extensive resources.
It’s essential to discuss the fee structure during your initial consultation and ensure you fully understand the terms before signing any agreement. A reputable attorney will explain their fee policy transparently and answer any questions you have about the financial aspects of your case.
How Does a Contingency Fee Work If There Is No Recovery?
One of the primary advantages of a contingency fee is that you do not owe your attorney anything if they are unable to recover compensation on your behalf. This “no win, no fee” arrangement minimizes the financial risk to you as a client.
However, you may still be responsible for certain case-related expenses, depending on the terms of your agreement. For example, if your case incurs costs for expert witnesses or court filings, you might need to reimburse those expenses even if your attorney does not win your case. Always review your agreement carefully to understand your obligations in this scenario.
Why Is a One-Third Contingency Fee a Fair Arrangement?
A one-third contingency fee is considered fair because it provides access to legal representation without requiring clients to pay upfront or out-of-pocket. For injured individuals facing medical bills, lost wages, and other financial burdens, this arrangement ensures they can pursue justice regardless of their financial situation.
The contingency fee also incentivizes attorneys to work diligently on behalf of their clients. Since their payment is tied to the outcome, they have a vested interest in achieving the best possible result. This structure creates a partnership where both the client and attorney share a common goal: maximizing the recovery.
What Should I Do If I’ve Been Injured in an Accident?
If you’ve been injured due to someone else’s negligence, the first step is to seek medical treatment. Once your immediate needs are addressed, contact an attorney specializing in personal injury cases to discuss your options.
At Shapiro, Washburn & Sharp, we have decades of experience handling personal injury claims. We understand how to navigate the legal process and work with you to maximize the value of your case. Call us at 833-997-1774 to schedule a free consultation, and let us help you get the compensation you deserve.