How Do Lawyers Get Paid if They Lose a Case?
February 28, 2025 | Winters & Yonker Personal Injury Lawyers | Personal Injury
You are not required to hire a lawyer to file a personal injury claim. However, hiring a personal injury attorney can make a significant difference in the outcome of your case.
You must prove the legal requirements to hold a party responsible for your economic and non-economic damages. The insurance company for the at-fault party has a team of professionals to fight your claim.
You need a legal team with the resources and skills to battle large corporations and insurance companies. However, what can you do when you do not have the money to hire an attorney for a personal injury case?
How Can I Afford to Hire a Personal Injury Lawyer in Clearwater, FL?
Many accident victims worry about how they can afford to hire an attorney. An injury or accident can result in substantial lost wages, medical expenses, and other costs. It can be difficult to make ends meet. Gathering enough money together to pay an attorney to handle your personal injury case may be impossible.
Lawyers charge for their services in different ways. Attorneys may charge by the hour for their legal services. Clients pay a retainer fee when they hire a law firm, and the firm generates a monthly bill as it performs work on the case. It depends on the firm whether a client must maintain a balance with the law firm or pay a monthly bill after the initial retainer fee is depleted.
Other attorneys charge a flat fee for their services. They may require the client to pay the entire fee when they hire the firm or pay it in installments.
Personal injury lawyers do not charge by the hour. They also do not charge a flat fee for services. Instead, personal injury lawyers generally take cases for a contingency fee.
How Does a Contingency Fee Work for a Personal Injury Case?
A contingency fee is based on a percentage of the amount an attorney recovers for your case. Contingency fees benefit clients because they do not pay the attorney any fees unless the attorney wins their case. Furthermore, no upfront fees are paid when the client hires the law firm. Contingency fees allow accident victims to hire lawyers regardless of their financial situation.
A typical contingency fee ranges from 33 to 40 percent of the settlement or court verdict. The contingency fee is based on several factors, including the attorney’s experience, the complexity of the case, and whether the case goes to trial. Florida law also sets rules and guidelines for contingency fees.
How Does an Attorney Get Paid if They Lose a Case?
A contingency fee means the attorney is not paid unless they win the case. An attorney may spend significant time pursuing a personal injury claim. Therefore, when a lawyer takes a personal injury case for a contingency fee, they feel confident they can win the case. Otherwise, they would not be willing to invest their time and resources to pursue the case.
However, attorneys are still taking a gamble when they accept cases for contingency fees. There are no guarantees of winning. An insurance company may refuse to pay a claim, resulting in a personal injury lawsuit. Juries can be unpredictable. An attorney may present the best case possible, but the jury rules against the injured party.
Under a contingency fee agreement, the client does not owe the attorney any money for their legal services if the attorney loses the case. That does not mean a client may not owe money for costs associated with their case.
Who Pays for the Costs of Pursuing a Personal Injury Case?
A contingency fee agreement usually applies to the attorneys’ fees for legal services. It may not cover the costs of the case.
Many attorneys agree to pay the costs of pursuing a claim as the costs are incurred. The law firm is reimbursed for these costs from the settlement proceeds. Examples of costs include:
- Costs for medical records and police reports
- Postage and copy fees
- Deposition fees
- Mileage and travel expenses
- Court filing fees
- Expert witness fees
- Preparation for trial
It is crucial to read a contingency fee and retainer agreement to understand who pays the costs if the attorney loses the case. The Florida Bar requires contingency fee agreements to be in writing. The agreement should clearly state whether the client is responsible for reimbursing the law firm for costs even if the attorney loses the case.
Contact the Clearwater Personal Injury Law Firm of Winters & Yonker Personal Injury Lawyers for Help Today
For more information, please contact Winters & Yonker Personal Injury Lawyers to schedule a free consultation with a personal injury lawyer in Clearwater today. We have five convenient locations in Florida, including Tampa, Clearwater, St. Petersburg, New Port Richey, and Lakeland.
We proudly serve Hillsborough County, Pinellas County, Pasco County, Polk County, and its surrounding areas:
Winters & Yonker Personal Injury Lawyers – Tampa Office
601 W Swann Ave, Tampa, FL 33606
(813) 223-6200
Winters & Yonker Personal Injury Lawyers – Clearwater Office
600 Bypass Dr Suite 224-D, Clearwater, FL 33764
(727) 493-4418
Winters & Yonker Personal Injury Lawyers – St. Petersburg Office
111 2nd Ave NE Suite 350, St. Petersburg, FL 33701
(727) 314-5988
Winters & Yonker Personal Injury Lawyers – New Port Richey Office
5006 Trouble Creek Rd Unit #200, Port Richey, FL 34652
(727) 910-5060
Winters & Yonker Personal Injury Lawyers – Lakeland Office
1543 Lakeland Hills Blvd Suite 18, Lakeland, FL 33805
(863) 251-6196
