Only Paying Your Lawyer If You Win
It is common for a lawyer to be told by a client that they only want to pay if the lawyer wins the case. While the phrasing may be different, the client is basically seeking a contingency fee agreement. When a lawyer agrees to work on a contingency fee basis, it means that they will only get paid if the client wins the case or reaches a settlement. In other words, the lawyer’s fee is contingent upon the outcome of the case. If the client does not win or settle the case, the lawyer will not receive any payment for their services. The lawyer may or may not seek a recovery of their expenses.
Contingency fees are commonly used in personal injury cases, where the client may not have the financial resources to pay for a lawyer’s services upfront due to an inability to work arising from accident-related injuries or otherwise. By agreeing to work on a contingency fee basis, the lawyer takes on the financial risk of the case and should be motivated to work hard to achieve a successful outcome for the client.
The percentage of the recovery that the lawyer receives as a contingency fee can vary depending on the type of case and the jurisdiction. In many cases in Maryland and D.C., the fee often ranges from 33 1/3 to 40% of the gross recovery. It is important to note that while a contingency fee arrangement can be beneficial for some clients, it may not be the best option for every case. So, a client should consider the various pros and cons of entering into a contingency fee agreement before doing so.
Henderson Law has represented individuals and companies in complex cases involving personal injury, motor vehicle accidents, legal malpractice, medical malpractice, and business litigation, as well as numerous additional areas of expertise. If you need legal representation in the Maryland and D.C. areas, call us today at (410) 721-1979.