If you or a loved one has been injured due to someone else’s negligence, hiring a Chicago personal injury lawyer can make a significant difference in the outcome of your case. However, a common question clients have is about the cost of hiring a lawyer, especially if medical bills are piling up. This is where the contingency fee system comes in, which allows you to pay nothing unless your lawyer wins or settles your case.
What Is a Contingency Fee?
A contingency fee is a common payment structure in personal injury cases. Under the contingency fee, you do not pay hourly or upfront fees to retain your attorney. Instead, you pay a fixed percentage of the amount recovered on your behalf through a trial or settlement. This percentage often ranges from 30 to 40 percent, depending on the type of case and other factors.
If your lawyer does not win, you usually owe nothing for attorney fees. Most personal injury lawyers also offer a free initial consultation to evaluate your case. During this meeting, they will assess your case and explain the contingency fee arrangement in detail, including the percentage they will earn. This free consultation is also an opportunity to ask any questions you have about the fee agreement before agreeing to hire a personal injury attorney to represent you.
The Benefits of Contingency Fees for Clients
Contingency fees provide several key benefits for personal injury clients, which make them a popular payment arrangement.
There are no upfront costs in a contingency fee arrangement. Many people hesitate to hire a personal injury lawyer due to the perceived cost of hourly or upfront fees. With a contingency fee, you do not need to pay anything upfront, reducing the financial burden on you and your family after an injury.
Contingency fee arrangements allow for equal access to legal representation: Even clients who might not otherwise be able to afford a lawyer can access skilled legal representation with contingency fees. This can significantly improve your chances of obtaining fair compensation. Personal injury lawyers have the knowledge and experience to resolve cases effectively.
Working on a contingency fee basis creates motivation for your lawyer to win. A contingency fee means that your lawyer’s payment is tied to the outcome of your case. This means that your law only receives payment for their work if they win compensation for you through a settlement agreement or trial verdict. This arrangement gives your lawyer a strong incentive to protect your rights and fight for maximum compensation.
Contingency fee arrangements create reduced financial risk for personal injury victims. Personal injury cases can take months or even years to resolve. They also typically involve substantial costs for investigation, court filings, and expert witnesses. Your lawyer may advance these costs under a contingency fee arrangement so you do not have to bear the financial risk that your case may not succeed.
A Chicago personal injury lawyer will discuss the benefits of the contingency fee system during an initial consultation.
What to Consider Before Signing a Contingency Fee Agreement
It is crucial to consider the following before signing a contingency fee agreement:
- Fee percentage: Most personal injury lawyers charge between 30 and 40 percent as their contingency fee, but it is always wise to discuss this upfront and confirm it in the written agreement.
- Case expenses: You may be responsible for certain other expenses, such as fees for expert witnesses or court filings. Your lawyer may advance these costs and then deduct them from your final settlement. Make sure to review what expenses you may be responsible for in your fee agreement.
- Selectivity: Chicago personal injury lawyers who take cases on a contingency basis may be more selective about the cases they agree to take on. They may avoid taking cases that are weak or lack evidence or may negotiate higher fees depending on the facts of the case.
It is natural to have questions about the expenses you may incur while working with a Chicago personal injury lawyer. Illinois Supreme Court rules require a lawyer practicing in the state to give you a written fee agreement that explains how the fee is determined and other expenses that may be deducted from your recovery.
Schedule a Free Consultation to Learn More About Contingency Fees
If you are considering hiring a personal injury lawyer in Chicago, a contingency fee arrangement can provide a path to skilled representation without upfront costs. Many personal injury lawyers take cases involving car accidents, slip and fall accidents, and other incidents on a contingency fee basis each day. This makes legal services available to a range of personal injury victims, and you do not have to be worried about the cost of mounting medical bills, lost income, and other expenses while also paying for legal representation.
If you or a loved one has been injured, speak with a Chicago personal injury lawyer about your case. An attorney at Powell and Pisman Injury Lawyers can evaluate your case and answer your questions regarding contingency fee arrangements. Contact us to schedule a free consultation at (312) 635-5400.