In most cases related to personal injuries, the service of a lawyer is provided based on a “contingency fee”. This will mean the fees of lawyers for representing their client will be deducted out of the final settlement for personal injury in the case of a client.
If the client fails to get any favorable outcome in other words does not get any money, then the lawyer will not get any fee.
The following are few things that you must know how much does a lawyer take from a settlement before hiring any personal injury lawyer.
1. Contingency fee
Usually, a personal injury lawyer may charge a contingency fee, which is a fixed percentage that was agreed between the lawyer and the client before engaging in a case. This percentage will be taken from your final settlement amount. A written agreement between the client and lawyer is also signed.
Usually, any law firm will settle for 1/3rd of your settlement amount. In rare cases, where lawyers agree for free is known as pro bono case. Usually, such cases are either humanitarian or any high-profile cases where the attorney may gain prominence by representing such cases.
2. Expected amount after settlement
Often many attorneys may use the following two methods to calculate the fee.
· Multiplier method
During the argument process, your attorney may say that whatever compensation amount you are entitled to must be quantified with the severity of your injuries. Typically, this is done on a 1 to 5 scale.
· Per diem method
Another method is per diem, where your damages are calculated based on your measured losses per day. Your daily wages out of your employment will be considered, which will be multiplied for the days you are out of work.
3. Settlement check received by your lawyer
It is a very common practice where your settlement check will be sent to your lawyer. This will ensure that your lawyer will be paid for his services. Most personal injury lawyers take only contingency cases and do not risk not getting any payment if no settlement check is received by them.
The lawyer may contact you as he will receive the settlement check, and then he must provide an itemized list about what he will deduct from your settlement check so that he can recover the personal injury lawyer fee to recover the cost and expenses incurred by him.
In case you dispute, then the lawyer will place your disputed amount in a certain trust account till the issue gets resolved.
What happens if before the settlement of the case you fire your lawyer?
In that case, your original lawyer can claim fees and expenses that were incurred by him and can sue both you and your personal injury defendant for the failure of protecting and honoring the lien of an attorney.
So, if you are ever in a condition, where you need to terminate your lawyer, then make a written agreement with him that he has no lawyer fees due from you. Nowadays, you can also use social media platforms like Facebook to interact with your lawyer too.