How Does a Car Accident Lawyer Get Paid?

A car accident lawyer typically works on a contingency fee basis, meaning they only get paid if you win your case or reach a settlement. This fee structure allows individuals who may not be able to afford upfront legal fees to still have access to legal representation.

The lawyer’s fee is usually a percentage of the compensation you receive, which can range from 25% to 40%, depending on the complexity of the case and whether it goes to trial. For example, if your case results in a $100,000 settlement and the lawyer’s fee is 33%, they would receive $33,000.

This fee structure is advantageous because you don’t need to pay the lawyer unless you win or settle the case, reducing financial risk. Additionally, the percentage is often negotiable depending on the lawyer’s experience and the specifics of your case. If your case goes to trial rather than settling, the lawyer’s fee may be higher due to the increased work involved.

In addition to the contingency fee, there may be case-related expenses that the client is responsible for, such as court filing fees, expert witness fees, or costs for obtaining medical records. Some lawyers will advance these costs during the case, with the understanding that they will be reimbursed from the settlement or award.

It’s important to fully understand the lawyer’s fee arrangement before signing any agreement, ensuring transparency regarding the percentage, costs, and how payment will be handled once the case is resolved.