Benefits of a Contingency Fee Arrangement
Some attorneys charge hourly fees, and others require clients to pay retainer fees. When it comes to personal injury lawyers, most of them work on a contingency fee arrangement. A contingency fee arrangement offers several benefits to personal injury victims. In this article, we discuss the meaning of a contingency fee arrangement and the benefits of such an arrangement.
What Is a Contingency Fee Arrangement?
A contingency fee arrangement is an agreement between a client and an attorney where the attorney’s fees are contingent upon the success of the case. In other words, with a contingency fee arrangement, the lawyer only gets paid if and after the case succeeds. In a personal injury case, any attorney working on a contingency fee arrangement only gets paid if and after the client recovers damages. Attorneys working on a contingency fee arrangement are not paid any retainer or hourly fees. While attorneys who charge hourly fees or require retainer fees must be paid regardless of the outcome of the case, attorneys who work on a contingency fee arrangement agree that the client will not have to pay anything out-of-pocket if their case does not succeed.
Contingency fees may vary. In Florida, contingency fees are generally between 33.3% and 40% of the total damages awarded. In other words, if your Florida personal injury case succeeds, your attorney would recover between 33.3% and 40% of the total damages awarded. If your case is settled outside of court, the attorney might charge a lower percentage than if your case goes to trial. Before entering into an agreement with an attorney, you should discuss the contingent fee arrangement with them. Ensure you discuss the percentage and any additional costs you may be responsible for even if your case is unsuccessful. Yes, sometimes, in the case of a contingency fee arrangement, personal injury victims have to cover certain costs and expenses even if their case is unsuccessful.
Benefits of a Contingency Fee Arrangement
A contingency fee arrangement offers several benefits. The following are some of the advantages of a contingency fee arrangement;
Risk-Free Access to Legal Representation
One of the biggest benefits of a contingency fee arrangement is that if your case does not succeed, you will not have to worry about owing the lawyer any fees. However, depending on the attorney, you may still be responsible for some costs.
Aligned Interests Between the Lawyer and Client
Since an attorney’s payment is tied to the successful outcome of the case, the attorney’s and client’s interests are aligned, resulting in the attorney working diligently and strategically to achieve the best possible outcome.
No Upfront Fees
With a contingency fee arrangement, someone who has suffered a personal injury and is not currently financially able to cover attorney costs does not have to worry about any upfront fees.
Motivation To Win
A contingency fee arrangement motivates an attorney to pursue the maximum possible compensation since their payment is a percentage of the recovery. When you hire an attorney on a contingency fee basis, you can expect them to work hard.
Contact Us for Legal Help
Our Fort Myers personal injury attorneys at The Pendas Law Firm are experienced in personal injury cases in Florida and can help you fight for the compensation you deserve. Contact us today to schedule a consultation and discuss your case.
The Pendas Law Firm also represents clients in the Tampa, Fort Lauderdale, Ocala, Orlando, Miami, Jacksonville, Bradenton, West Palm Beach, Daytona Beach, Naples, and Melbourne areas.
