Contingency Fee: How Much does a Lawyer Cost?

What we do is we work on a contingency fee basis, meaning it doesn’t cost you any money upfront.

 

Contingency basis, in the context of legal representation, typically refers to an arrangement where a lawyer’s fees are dependent on the outcome or “contingent” upon the success of the case. In other words, the lawyer’s fee is contingent upon the client receiving a favorable outcome, such as a settlement or a judgment in their favor. If the client does not receive any compensation or favorable outcome, the lawyer may not charge a fee or may charge a reduced fee.

Contingency fees are commonly used in personal injury cases, where an injured person seeks compensation from a liable party for their injuries and damages. Personal injury cases are often handled on a contingency basis because the injured person may not have the financial means to pay an attorney’s fees upfront. With a contingency fee arrangement, the attorney agrees to represent the client and pursue the case without charging any upfront fees. Instead, the attorney’s fee is typically a percentage of the amount recovered from a settlement or judgment, and is paid only if the case is successful.

Contingency fee arrangements can vary depending on the attorney and the jurisdiction, but the percentage of the contingency fee is typically agreed upon in advance between the attorney and the client. It is important to carefully review and understand the terms of any contingency fee agreement, including the percentage of the fee, how costs and expenses will be handled, and what happens in the event of a loss or no recovery.

It’s worth noting that contingency fees may not cover certain expenses, such as court filing fees, expert witness fees, or other out-of-pocket costs incurred during the legal process. It’s important to clarify with your attorney what costs and expenses may be separate from the contingency fee and how they will be handled.

Contingency fee arrangements can provide access to legal representation for individuals who may not have the financial resources to pay upfront legal fees, but it’s important to carefully review and understand the terms of any contingency fee agreement, and consider seeking legal advice to fully understand your rights and obligations.

Why Do Personal Injury Attorneys Work on A Contingency Fee Agreement?

Personal injury lawyers often work on a contingency fee basis for several reasons:

1. Access to Justice: Contingency fee arrangements provide access to legal representation for individuals who may not have the financial means to pay upfront legal fees. Many people who have suffered personal injuries due to accidents or negligence may face financial challenges, including medical expenses, lost wages, and other damages. Contingency fees allow injured individuals to pursue their legal rights and seek compensation for their injuries without having to pay an attorney’s fees out of pocket.
2. Shared Risk: Contingency fees also share the risk between the attorney and the client. If the case is not successful, the attorney may not receive any payment for their time and effort invested in the case. This encourages personal injury lawyers to carefully evaluate and select cases they believe have merit, as their payment is contingent on the case’s outcome. It aligns the attorney’s interests with those of the client in seeking a favorable outcome.
3. Incentive for Results: Contingency fees provide an incentive for personal injury lawyers to obtain the best possible outcome for their clients. Since their fee is tied to the amount of compensation recovered, it motivates them to work diligently and advocate aggressively on behalf of their clients to maximize the recovery. This may include negotiating with insurance companies, gathering evidence, engaging in legal research, and preparing for trial.
4. Efficient Resolution: Contingency fee arrangements can promote efficient resolution of personal injury cases. Since the attorney’s fee is contingent upon a successful outcome, there may be an incentive to settle the case in a timely manner, rather than engaging in protracted litigation. This can benefit both the client and the attorney by potentially resolving the case faster and with less cost and uncertainty.
5. No Upfront Costs: Contingency fee arrangements relieve the client of the burden of paying upfront legal fees. This can be particularly helpful for individuals who may not have the financial means to pay for legal representation, allowing them to pursue their legal rights without incurring immediate financial expenses.

It’s important to note that contingency fees and their specific terms may vary depending on the attorney and the jurisdiction. If you are considering hiring a personal injury lawyer on a contingency fee basis, it’s crucial to thoroughly review and understand the terms of the contingency fee agreement, including the percentage of the fee, how costs and expenses will be handled, and what happens in the event of a loss or no recovery. Consulting with an experienced personal injury attorney can help you fully understand your rights and obligations in a contingency fee arrangement.

Herrman & Herrman: Our Fee Agreement

We do all of the work, and we advance all of the expenses, and only if we recover money for you do you owe us anything. And if we don’t recover money for you, we could work fifty hours or 5,000 hours, it doesn’t matter, we just work for free. So, our interests are aligned with yours, and it’s in our best interest to get you as much money as possible because then that raises our fee too. So, anybody can afford to hire us. Most of our clients are poorer or working class people who we understand to work paycheck to paycheck, so anybody can afford to hire us.

Let Herrman & Herrman Personal Injury Lawyers Help!

With over 100 years of combined experience among the legal team of Herrman & Herrman, P.L.L.C., our Texas personal injury attorneys have successfully resolved over 20,000 cases. When representing injured Texas residents, we fight for justice against wrongdoing and aggressively pursue the best resolution to complex personal injury claims.

If you or a loved one was injured, please contact us for a free initial consultation and case evaluation. Herrman & Herrman, P.L.L.C., is a locally based law firm focused on holding negligent individuals and companies accountable for their wrongdoing. We are not a personal injury mill that advertises nationwide. We provide individualized advocacy in attending to all aspects of claims that involve. Our firm has offices in the following locations: Corpus Christi, Corpus Christi South Side, Brownsville, McAllen, San Antonio, Houston, and Ft. Worth, TX.

We remain by our clients’ side, handling all aspects of their claims and attending to all legal, medical and financial needs. That dedication is combined with experience, legal knowledge, and insight from a former insurance adjuster and several former insurance defense attorneys. Whether our clients are suffering from physical pain from an accident or the emotional grief of death, we treat clients with compassion. We put their mind at ease during difficult times by answering their questions concerning the length of their claim, medical bills, financial compensation and their overall need for a lawyer.

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