3 Myths about Contingency Fees You Shouldn't Fall For

Posted on: 2 July 2015

If you are currently looking for an attorney to represent you in a personal injury case, it is vital that you understand how contingency fees work since that is how the vast majority of personal injury lawyers are compensated.

Myth #1: You Have to Agree to the Initial Fee Plan Your Attorney Presents

Many individuals wrongly assume that they have no wiggle room when it comes to the fees that your attorney wishes to charge you. That is not true. Take your attorney's initial contingency fee plan as an initial offer.

Take some time to look over it and ask additional questions. Here are a few questions that you should ask:

  • What type of settlement offer does your attorney think they may be able to obtain for your case?
  • Approximately how many hours of work does your attorney estimate that your case will take?
  • How much does your attorney generally charge per hour?

Use the information that your attorney provides to make sure that the fee they are charging seems fair based on the amount of work they anticipate they will have to put into your case and the type of settlement offer they are hoping to obtain for your case. If you are not comfortable with the contingency fee they plan to take out of your settlement, see if you can negotiate further. 

Myth #2: You'll Still Have to Pay Your Attorney If You Lose Your Case

Many individuals also wrongly assume that if they lose their case, they will still have to compensate their attorney in some way. The beauty of having an attorney work for you on a contingency fee basis is that they agree to charge you only if they are able to negotiate a settlement or win your case if it goes to trial.

If your attorney is not able to obtain a settlement or loses your case if it goes to trial, you will not have to legally compensate your attorney for their time and effort on your behalf.

Myth #3: You Will Not Have Any Additional Costs

Finally, many people wrongly believe that the contingency fee will take care of all the costs associated with their case.

The contingency fee only compensates your attorney. You will have to cover filing costs with the court in regards to your case. You may have to pay for copies of the legal documents associated with your case. There could also be other costs that you may also be responsible for paying.

Before you agree to a contingency fee to compensate your attorney, make sure you understand exactly how it works and what it covers. Finally, make sure you don't fall for any of the myths listed above. For more information on personal injury lawyers, visit sites like http://caminezlaw.net.