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Contingency: How does it work?

Contingency: How does it work?

Melbourne Injury Lawyer / By

In the aftermath of an injury, medical bills pile up quickly, and lost wages due to the inability to work may make your financial situation seem hopeless. The last thing you need at this difficult time is the hassle of paying an attorney. Many injury victims hesitate to contact a lawyer because they believe they can’t afford it. While this might be true in virtually any other area of law, it’s not the case when personal injury is involved.

In an injury case, attorneys get paid “on contingency,” which means that they only get paid if the case is won or settled. The fee is usually a flat rate percentage of the winning monetary sum, and the attorney is paid an agreed-upon percentage taken directly from that amount. If the case is tried again or appealed to a higher court, an additional percentage may be attached to the costs.

Fees on successful outcome

In general, the fees for personal injury cases are:

  • 33 1/3 percent of any recovery up to $1 million for a case that’s settled before the filing of an answer or demand for appointment of arbitrators (or if there is no response)
  • 40 percent of any recovery up to $1 million for a case that ends after the filing of an answer or demand for appointment of arbitrators.
  • 30 percent of the recovery for a winning case between $1 million and $2 million.
  • 20 percent of the recovery for a winning case above $2 million.
  • 5 percent of the recovery may be an optional addition to the original fee if the case is appealed, or the attorney has to seek post-judgment relief or file an action to help collect the judgment from the first case

Alternative injury lawyer fee structure

In some legal cases, the issue may not be so much that the defendant disagrees with being liable for damages, but takes issue with the amount that the prosecution team wants as compensation for the personal injury case.

For these particular cases, the fees are:

  • 33 1/3 percent of any recovery up to $1 million
  • 20 percent of any recovery between $1 and $2 million
  • 15 percent of any recovery in excess of $2 million

Narrowing down these costs beforehand is rarely possible, primarily because research costs may vary depending on current and additional witnesses, as well as information presented during the ongoing case. The victim in a personal injury case should receive an itemized bill for all fees after the trial is complete. If the case was won, this itemized bill will usually show the costs and expenses deducted from the winning amount.

If you’ve been hurt because of someone else’s carelessness, you deserve justice. Let your personal injury lawyer worry about the money while you recover. Couture Law PA stands ready to fight for you while you focus on recovery.

Call the Melbourne personal injury lawyers at Couture Law P.A. today to schedule an appointment.

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