One of the most common inhibitors to accident victims hiring personal injury attorneys in Texas is concern over the cost. Most, if not all, San Antonio personal injury lawyers solve this problem by operating on a contingency fee basis. With this payment arrangement, clients do not have to pay anything upfront. They only get charged an attorney’s fee if the attorney wins the case.
What Does “Contingency Fee Basis” Mean?
A contingency fee payment structure means that attorney’s fees are contingent, or dependent upon, the law firm winning the case. If the lawyer does not win the case on behalf of the client, the client will not be charged anything for legal services rendered. The client pays $0 in fees upfront in this arrangement.
Suppose the case does result in financial compensation being awarded to the victim. In that case, the attorney working the case will take his or her fee directly from the settlement or judgment award won. Typically, fees are deducted as a percentage of the total case outcome, which is often between 25 and 40 percent.
If the fee is set at 33 percent, for example, and the case results in a settlement of $100,000, the attorney’s payment would be about $33,000. The percentage of the contingency fee will depend on the policy at the law firm as well as the specific details of the case, such as its complexity and whether it has to go to court.
What Are the Benefits of Contingency Fees?
The most obvious advantage of a contingency fee payment arrangement is that the injured accident victim does not have to pay any legal fees upfront. The client can have greater financial peace of mind during the aftermath of an accident; he or she will not have to front the costs of taking legal action in addition to dealing with medical bills, property damage and lost wages.
There is also an advantage created by the fact that the personal injury attorney will not get paid unless the client does. This incentivizes the lawyer to win the case. Since the amount of the fee depends on the outcome of the case, the attorney wants to secure the highest possible financial award on the client’s behalf.
How to Find a Personal Injury Lawyer that Works on a Contingency Fee Basis in Texas
Although most personal injury attorneys in Texas operate on a contingency fee basis, it is not a guarantee. Some lawyers may choose to use other fee structures, such as a flat rate or hourly rate. It is important to ask a prospective personal injury lawyer how he or she charges so that you know what to expect when it comes time to pay the bill.
If an attorney does not work on a contingency fee basis, you may end up paying substantially more for his or her services. You may also have to pay certain fees, such as a retainer, upfront before the attorney will begin to work on your case. Make sure you understand all of the fees assessed before you sign a retainer to hire the lawyer.
Do not be afraid to ask an attorney about his or her fees during your initial new client consultation. This case evaluation is generally free at personal injury law firms that take cases on a contingency fee basis. The attorney should be honest, transparent and upfront about how he or she charges for legal services. There should never be any hidden fees or surprise costs.
While an insurance company will be motivated to pay you as little as possible to protect its own profits, a personal injury lawyer operating on a contingency fee basis will want you to collect as much financial compensation as possible. Learn more about how this payment arrangement can benefit you by requesting a meeting at Hill Law Firm Accident and Injury Lawyers. We operate on a contingency fee basis for all personal injury cases. Contact us today.