Is a Contingency Fee Agreement a Good Option? Get the Truth

Large, multi-million-dollar companies have entire floors of attorneys on staff to protect them. If you are involved in an accident and are injured, do you have access to the same attorneys? Can you afford to hire just one attorney? In our experience at The Law Offices of Larry H. Parker, many people who have been injured cannot afford their medical bills, let alone an attorney. This is why contingency fee agreements are often the best option.

Keep reading to learn more about how a personal injury attorney can help you by offering to take your case via contingency agreement. If you have questions, or are ready for a free legal consultation, contact us at 800-333-0000 right away.

What is the purpose of a contingency agreement?

Contingency agreements exist in personal injury law specifically so that even if a person cannot afford to hire an attorney, they can afford to get legal help. The way it works is simple: An attorney is not paid upfront. In fact, the client does not pay any legal fees upfront – including the cost of hiring expert witnesses, court fees, etc.

Instead, the lawyer gets paid from the settlement or jury or judge award. This is where the “contingency” part comes in – whether or not the attorney is paid is contingent on whether or not they get results. The terms of the agreement will be made clear upfront. In most cases, the attorney will get a percentage of the winnings. This amount is almost always different if the case goes to trial or if it is settled before trial. Why? Because the attorney’s costs are lower if they settle it before going to trial and as a result their take is smaller.

What costs are included in contingency agreements?

It depends on the attorney you chose to work with but generally includes both pre-filing costs and those that are incurred after filing. For example, the attorney would cover the costs of depositions, police reports, services, investigator fees, medical bills, medical reports, and filing reports. If necessary, they likely cover expert witness fees, arbitrator fees, and mediation fees.

Shouldn’t cases always be taken to court?

Many people assume that the best way to get the best outcome is to take the trail to court. While it is true that what an insurance company offers after, for example, a car accident, is not the best option, it is also true that negotiating may be the best way to get a fair offer.

There are two big dangers in taking a case to trial. First, the risk of getting less than the insurance company offered. Second, if that does happen then California law may require you to pay the court costs of the defendant. It may sound backwards, but the purpose is to try and reduce the number of cases that go to trial. To learn more about this and other options, contact The Law Offices of Larry H. Parker at 800-333-0000 for a free legal consultation.