What is a contingency fee agreement?
In a contingency fee agreement the client is not charged an up front fee but agrees to give the lawyer a certain percentage of the money received if you win or settle your case out of court. If you lose, the lawyer does not receive a fee but you may still have to pay any court costs and other expenses that are involved. Depending on the circumstances, these costs can be quite high. In some cases, the lawyer may use the money you receive from the case to pay some of these additional costs for you when they are due. Be sure your contingency agreement spells out the percentage the lawyer will get, including if there is a difference between if it is settled or if the case goes to trial. Also, get an estimate of the court costs and other expenses, and find out whether the lawyer's share is paid after the other expenses are deducted or before, it can make a big difference in the amount you receive from the settlement. Some states do not allow contingency fee agreements in certain areas, such as divorce or criminal defense.
Other General Legal FAQs
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What is a retainer agreement?
A retainer agreement with a lawyer is like a down payment, it can be used to guarantee that the lawyer will be readily available to work on your particular case, … more -
What does a flat fee agreement with an attorney cover?
A flat fee is used most often by legal clinics and some law firms or lawyers for routine legal matters, like drawing up a simple will or handling an uncontested … more -
Is an initial consultation with a lawyer confidential?
Yes. Many lawyers provide free initial consultations to determine if the client has a case and for the client to determine if they want to hire the … more -
When hiring a lawyer should I consider the lawyer’s age?
Decide based on how well you feel the lawyer can handle your case, rather than being concerned about their age. Just remember that even though a lawyer may have … more -
What questions are important to ask a prospective attorney?
Some of the things you may want to ask the lawyer when you talk over the phone or meet include: How much experience do you have with legal issues similar to mine? How … more
