If you have been in auto accident, and someone else is to blame, you will need to hire an auto accident lawyer. We all knowing that hiring lawyers isn’t a cheap affair, but how much will you need to pay a Providence auto accident attorney? Most Providence auto accident attorneys have a unique system for charging their clients instead of the usual hourly fee that many firms charge in other types of cases. Many auto accident attorneys would rather charge a contingency fee. A contingency fee simply means that your attorney will not get paid unless they recover you money. Once you receive your settlement, your attorney will deduct a percentage of it to cover their fee. Below is a discussion of how contingency fee works and what to expect when you hire a Providence auto accident attorney on a contingency fee basis.
The Contingency Fee Percentage
The contingency fee percentage ranges from 25-40% but 33.33% is pretty standard. So for example if your recover $90, 000 from your auto accident case and your attorney’s contingency fee is 33.33%, they will receive $30, 000. Of course these percentages will change from one state to another so make sure you speak to your lawyer.
The contingency fee will depend on whether or not the defendant in your case responded to your case before going to court. If they decided to settle out of court, then the contingency fee percentage will be lower. If the case proceeds to trial, your attorney’s contingency fee percentage will typically go up.
For instance, if you send a demand letter to the defendant in your auto accident case and you quickly reach a settlement agreement of $100, 000, your attorney will receive $33, 300 (33%). However, if the case proceeds to trial, and you receive compensation worth $100, 000 and your state allows your lawyer to receive 40% contingency fee percentage, then you will have to pay $40, 000.
It is important that before you let your Providence auto accident attorney start working on your case that you agree on the contingency fee first. Make sure that you get it written in writing including all other fees involved. If there is anything that you do not understand in your contract, make sure that they clarify it to you. Never agree to verbal contracts as this might bring unnecessary conflicts at the end of your case.
Fees And Expenses
Depending on your agreement with your attorney, you may or may not be responsible for litigation expenses such as upfront court fees, filing court fees, expert witness fees, court reporter fees, cost of obtaining police reports and medical records and cost of serving subpoenas and summonses.
Most personal injury firms may require you to pay these fees as they become due so if you cannot pay them, your case will most likely not proceed until you make the necessary payments. Other firms, on the other hand, will pay all the fees but will deduct the amount from your final settlement. So if you received a settlement of $100, 000 and your attorney received $40, 000 in contingency fee, they will still have to deduct the expenses they incurred during the entire case. Therefore, after paying them $40, 000 and let’s say they incurred $5, 000 in expenses, they will deduct it from your settlement amount thus leaving you with $55, 000.
Not all cases will be based on a contingency fee; some attorneys prefer to collect a retainer and a contingency fee at the conclusion of your case. However, if you receive a monetary settlement, you should deduct their retainer fee from the contingency percentage that your attorney is supposed to receive. For instance, if you agreed on a 40% contingency fee percentage, and you paid them $2, 000 as retainer, you should deduct that amount from the contingency fee amount. So if you receive a settlement of $100, 000 and their contingency fee is $40, 000, then you will pay them $38, 000 from the settlement since you already paid them $2, 000 as retainer.
Hiring A Providence Auto Accident Attorney
Research shows that victims of auto accidents who were represented by an auto accident attorney received three and a half times the settlement money as compared to those who did not. This proves that you will benefit immensely from having an attorney negotiate your damages effectively. Contact one of our lawyers today at 401-751-0101 or fill out our contact form for a free initial consultation.