Most personal injury lawyers operate on a contingency basis. This means they do not require any payment upfront and only charge their clients a previously agreed-upon percentage of their total judgment or settlement if they win their case. This means that clients never have to pay out of pocket and make quality legal services available to all injured victims regardless of their socioeconomic status. As your case progresses, your attorney will cover the cost of any administrative work as well as any other payments related to handling your case.
If you are seeking legal representation for a personal injury case, it is necessary for you to understand the terms of their contingency fee structure and to work with a knowledgeable and experienced Virginia Beach personal injury lawyer from Shapiro, Washburn & Sharp. Contact us today to schedule a free consultation.
Personal Injury Case Fee Structures
Generally speaking, there are two kinds of fee structures where personal injury cases are concerned: contingency fees and hourly rates. Knowing the distinctions between these choices is vital to figuring out how much you will ultimately be paying for your legal services.
Hourly Fee
Some attorneys charge their clients an hourly rate based on how much time they spend working on your case. Hourly fees vary widely and are dependent on the attorney’s location, reputation, and experience. While an hourly fee structure is fairly uncommon in personal injury law, an attorney may implement this payment structure if they know a case will require an unanticipated or inconsistent amount of work.
Contingency Fee
For most personal injury attorneys, such as the team at Shapiro, Washburn & Sharp, a contingency fee is the standard arrangement. This payment structure means that our clients do not pay any hourly or out-of-pocket costs. Rather, our payment is contingent on whether or not we successfully resolve your case. If a settlement is obtained or the case is decided in your favor, your attorney will collect a percentage of any financial compensation you receive. If your case is unsuccessful, you do not owe any attorney’s fees.
How Does a Contingency Fee Arrangement Work?
As previously mentioned, a contingency fee means that you do not pay your attorney upfront. If your case is successful, they will simply collect a percentage of your settlement or award.
After finalizing your settlement, the defendant or insurer will send your money to your attorney directly. After they deduct their expenses and fees, they will then deposit the rest of your compensation for you.
Contingency fees are beneficial because they eliminate the monetary hindrance of having to pay upfront legal fees which can be challenging for someone who is already dealing with medical bills, lost wages, and other expenses arising from an injury. Working with an attorney who operates on a contingency fee also ensures that everyone’s best interests are congruous and that your lawyer is as motivated as possible to secure maximum financial compensation on your behalf.
What Percentage of My Compensation Will My Lawyer Take?
An article published by the American Bar Association shows that most attorneys take roughly 32% to 40% of a judgment or settlement as a fee in a personal injury case. It is worth mentioning that this percentage is subtracted from your settlement before you collect your financial compensation.
For example, if your settlement is $200,000 and your lawyer charges a 35% contingency fee, they will collect $70,000 from your settlement, leaving you with $130,000.
They will also subtract any associated expenses, like court fees. It is important that you fully understand how the fee structure works and are aware of any possible deductions before you agree to work with a personal injury attorney.
What Other Expenses Are Involved in a Personal Injury Case?
Along with your attorney’s fees, you will likely have other costs to take into consideration when pursuing an injury claim, such as fees for:
- Expert witnesses: In certain personal injury cases, attorneys commonly work with expert witnesses who can offer opinions and technical knowledge that are relevant to your case. The cost of hiring expert witnesses varies based on their individual qualifications and expertise.
- Court filing: Filing fees are also involved in the personal injury process. They vary based on the nature of your case and the jurisdiction in which it is filed.
- Medical liens: By law, healthcare providers and insurance companies can place liens on your payment until they are reimbursed for their services.
- Medical record retrieval: Getting copies of medical reports and records to use as evidence in your case usually involves a fee paid to record retrieval services or healthcare providers.
- Investigation expenses: In order to build a compelling case, your lawyer might decide to hire investigators to reconstruct the accident scene, interview witnesses, or track down evidence. This expense will be added to the total cost of your case.
- Various other expenses: Additional miscellaneous expenses might arise while your attorney is preparing your case. These can include administrative expenses, document copy fees, or postage. Although these expenses sound comparatively minor, they can quickly add up as your case progresses.
Although, even with a contingency fee structure, this list may seem intimidating, a skilled and reputable Virginia Beach personal injury lawyer will take these expenses into account when requesting your settlement. At Shapiro, Washburn & Sharp, we will ensure you collect enough compensation to cover not just the damages you have endured but your attorney’s fees as well.
Meet With a Virginia Beach Personal Injury Lawyer
Unfortunately, a lot of personal injury victims think they cannot afford quality legal representation, however, with a contingency fee arrangement in place, the Virginia Beach personal injury lawyers at Shapiro, Washburn & Sharp are able to help victims who need assistance. For example, in one recent case, we achieved a $1.275 million settlement for the surviving family of a woman who tragically passed away after experiencing “cardiac difficulties” during a heart catheterization procedure.
If you have concerns about pursuing a personal injury case or questions about the specifics of how a contingency fee will apply to your case, call (833) 997-1774 or fill out our online contact form to schedule your free case review. For your convenience, we have offices in Virginia Beach, Hampton, Norfolk, and Portsmouth.