A contingency fee is a payment arrangement allowing you to hire an attorney without paying any upfront fees. Instead, the lawyer’s fee will be a percentage of the compensation you recover in your case.
If you don’t win, you don’t pay legal fees. This type of agreement is common in personal injury law and makes it easier for accident victims to get legal assistance. Learn more in this article.
How Do Contingency Fees Work?
Contingency fees are designed to reduce financial risk for injured clients. Instead of charging by the hour, the attorney agrees to take a portion of your settlement or court award as payment.
Here’s a simple breakdown:
- You do not have to pay anything upfront or out of pocket during the case.
- If your case is successful, the attorney will take a set percentage of the money you recover.
- If you lose your case, you will owe nothing in attorney’s fees.
This structure aligns your lawyer’s goals with your own—both of you want to win.
What Is a Typical Contingency Fee Percentage?
In most personal injury cases, the contingency fee ranges from 33% to 40% of the total recovery. However, the exact percentage can depend on:
- The complexity of your case
- Whether the case settles out of court or goes to trial
- Local rules and ethical guidelines
If a case is resolved quickly through a settlement, your attorney may charge a lower percentage. However, if the case goes to trial, the fee may increase to reflect the additional time and effort involved.
Your lawyer should explain the fee structure clearly at the start of your case so there are no surprises later.
What Does the Contingency Fee Cover?
A contingency fee usually covers all the legal services your attorney provides, including:
- Investigating the accident
- Collecting medical records and evidence
- Negotiating with insurance companies
- Preparing legal documents
- Courtroom representation (if necessary)
Some law firms also cover other expenses, like court filing fees, expert witness costs, and postage, but these are often billed separately. Be sure to ask whether these case costs are deducted before or after calculating the attorney’s percentage.
What Should You Look for in a Contingency Fee Agreement?
Before signing anything, make sure your agreement includes information on:
- The exact percentage the attorney will take
- How case-related expenses will be handled
- When you are expected to reimburse those expenses
- What happens if you decide to switch attorneys
Read the agreement carefully and don’t hesitate to ask questions. A reputable personal injury firm will walk you through the terms and explain everything in plain language.
Are There Risks With Contingency Fees?
While contingency fees can be very helpful, they’re not risk-free. If your case settles quickly, you may wonder if the fee seems high for the work performed. On the other hand, in complex cases that go to trial, the lawyer may earn a larger fee, but they’re also investing significant time and resources.
Keep in mind that the fee structure is about sharing risk and rewarding successful results. You get legal help with no upfront cost, and the lawyer gets paid for a job well done.
What If You Lose Your Case?
If your case is unsuccessful, you generally do not owe any attorney’s fees. That’s the key benefit of a contingency arrangement.
However, you may still be responsible for some out-of-pocket expenses, like court filing fees or costs of obtaining records. This is why it’s important to review the agreement carefully before proceeding.
Ask your attorney about how these costs will be handled if your claim doesn’t result in compensation.
Is a Contingency Fee Right for My Case?
For most victims, the answer is yes. A contingency fee arrangement can offer peace of mind during a difficult time. You can get the legal help you need without taking on more financial stress.
If your injuries were caused by someone else’s negligence—whether in a car accident, slip and fall, or another type of incident—a lawyer who works on a contingency fee basis can help you pursue fair compensation without worrying about how to pay for legal services upfront.
Contact Coker Law Personal Injury Lawyers for a Free Consultation
If you were injured in an accident and want to learn more about contingency fees, help is available. Understanding how this arrangement works can help you make confident decisions as you move forward with your case.
Reach out to Coker Law Personal Injury Lawyers today to schedule a free consultation with a Jacksonville personal injury lawyer. You can contact us online or call (904) 356-6071.