How Do Contingency Fee Deals Benefit Personal Injury Victims?

Law Blog

You have probably heard and seen the advertisements inviting accident victims to hire a personal injury lawyer without paying any money. These arrangements, known as contingency fee agreements, are popular with several types of lawyers because they benefit victims. To learn why this way of handling legal fees is the go-to for so many, read on.

Different Ways to Pay Legal Fees

Lawyers, even personal injury lawyers, may offer their clients a choice in how payments are arranged. Some lawyers charge by the hour. The client provides a retainer, which is an upfront payment, and the lawyer bills for their services from the retainer. Other lawyers charge a flat fee for services. For example, a personal injury lawyer might charge a flat rate of $1,000 to handle a slip and fall accident. However, by far the most common way personal accident lawyers charge is using a contingency fee plan.

The Benefits of a Contingency Fee Plan

This plan means victims can wait until later to pay for their legal services. Here are a few benefits to this type of payment arrangement:

• No money is required to get started on your case. Many victims are in no financial condition to spend a penny more than is necessary. The lawyer will begin working for you even if you don't pay them any money. That can mean you are paid by the at-fault driver even faster.
• You will know the value of your case. A contingency fee arrangement means the lawyer is paid when the case is over. However, if the case results in no money being paid, the lawyer is paid nothing. If you do win a settlement, though, the lawyer is paid a percentage of the settlement. That means the lawyer is not likely to work on a case unless they know you have a good chance of winning. Otherwise, they would be working for nothing now.
• Your lawyer's pay is based not only on winning the case but also on the amount of money you get in the settlement. Since the legal fee is a percentage of the settlement, the higher the settlement, the more the lawyer is paid. That means they will work to squeeze as much money as possible out of the other driver's insurer so that both of you will be paid what you deserve.

As the advertisements state, you can get legal help without any upfront money. Many personal injury lawyers will discuss your case at no charge so speak to a lawyer or their firm—such as Endres Law Firm—to find out more.

9 August 2022