Deciding to file a personal injury suit is never easy. Many wonder if it’s worth going through the long and stressful litigation process and whether the final settlement will cover all their costs once the lawyer’s fees are taken out. If you’re considering a lawsuit, you might be asking what percentage do lawyers take for personal injury cases? The answer depends on a few factors. Let’s take a look at some.
Most personal injury lawyers in New York charge a fee equal to one-third of the final settlement amount. State law allows personal injury lawyers to recover a “fair and reasonable” percentage of the final settlement as a fee after the lawyer recovers expenses. This is capped at 33.33%, unless the presiding judge determines there are “extraordinary circumstances” that resulted in the plaintiff’s attorney receiving inadequate compensation.
When Are Lawyers Granted More than 33%?
When the settlement amounts are so low the lawyer cannot make acceptable compensation from the standard 33.33%, New York State law permits them to charge on a sliding scale. State law provides this alternative schedule for fees deducted from settlement payments:
- 50% on the first $1,000
- 40% on the next $2,000
- 35% on the next $22,000
- 25% on the next $25,000
Is Anything Else Taken Out of the Settlement?
The lawyer’s fee is calculated separately from the expenses incurred during litigation. In a personal injury lawsuit, the lawyer may need to pay for additional medical testing, expert witnesses, and other costs associated with the case. Those expenses will be deducted from the final settlement sum before the lawyer collects his or her percentage.
What Is a Contingency Fee?
Most personal injury lawyers work on contingency, meaning that they are not paid upfront. Instead, they collect a percentage of the final recovered sum minus fees and disbursements. The contingency fee and other costs are spelled out in a contract with the lawyer called a retainer agreement. It will also clarify other issues, such as whether you will be responsible for expenses if you do not recover.
Will Personal Injury Lawyers Accept Any Case?
Because most personal injury lawyers work on contingency, they are generally selective about the cases they will accept. If the anticipated settlement is too small or a positive outcome is unlikely, lawyers typically will not take the case because they will consider it to be too great a risk for the time and expense involved. If you plan to pursue litigation, it’s imperative to document all your injuries and losses thoroughly so you can bring the strongest case to court.
What Can a Personal Injury Lawyer Do?
If you’re uncertain whether you have a case, you should still consult with a personal injury attorney. An attorney can investigate your claim and advise you about the best course of action, including the potential final settlement and the window for filing.
Speak to a Lawyer
If you live in or around Queens, NY, contact Bardizbanian & Associates P.C. for a free consultation. At no cost to you, an attorney will discuss your needs, the merits and prospects of your case, and the potential costs associated with your claim.
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