A lot of people live in fear of facing litigation because of a lack of funds to pay lawyers. After all, lawyers are quite costly. However, it's not at all times that you have to pay an attorney up-front or with your own money. Instead, you can work with a contingency-fee lawyer.
What Is a Contingency Fee Lawyer?
A contingency-fee lawyer, also known as a "no win, no fee" lawyer, is an attorney who doesn't get paid unless you do. This can be quite promising for people facing legal situations. These lawyers operate on a form of billing that enables you to pay a percentage of the damages awarded when you win the case. So instead of paying an hourly rate upfront, you will only pay at the end of the case.
The Contingency Fee Agreement
It is important to read a contingency arrangement properly before you sign it. You have to go through everything, especially the fine print. You must always keep in mind that legal documents might include small bits of information that are quite easy to miss. This can result in your case being delayed or agreeing to things that you don't fully understand. As you go through the contingency agreement, you must seek clarity on any terms that you don't fully understand. It is also crucial that you keep a copy of the arrangement for your records.
What Is the Usual Contingency Fee Arrangement?
In most instances, the lawyer will request a one-third share of the settlement. This is usually done when the case is concluded before it gets to court. On the other hand, if the case goes to court, lawyers will typically demand 40%. However, there are other factors that might affect the rates and the costs of the case, leading to the adjustment of these percentages.
What If the Contingency-fee Lawyer Loses the Case?
There is no guarantee that your lawyer is going to win the case. As such, it makes logical sense to also wonder what might happen if the lawyer loses the case. The good thing with contingency agreements is that there are no costs for losses. This means that if the case does not come out as you wish, you will not pay anything to the attorney.
There are a lot of advantages to working with a contingency-fee lawyer, with the chief reason being that there are no upfront payments. This makes it possible for people in difficult financial situations to gain access to legal representation. Apart from that, there are also no consequences left for the defendant to deal with if the case is lost.