Understanding Car Accident Lawyer Fees

A car accident happens in seconds, yet the consequences last far longer, especially if you are seriously injured. After a crash, you may spend time in the hospital. You might also require surgery, followed by a long course of rehabilitation therapy. Depending on your insurance coverage, you could have skyrocketing medical expenses. You want to hire an attorney to handle your case, but you don’t really understand car accident lawyer fees. And you can’t afford to pay any more bills. 

For most accident victims, the thought of filing a lawsuit or fighting the insurance company alone is overwhelming. The good news is that you can hire a qualified accident attorney without paying any up-front fees. 

How Car Accident Lawyer Fees Work

Personal injury attorneys, which includes auto and car accident lawyers, handle cases on a contingency basis. This means the lawyer’s fee is “contingent,” or dependent, upon the amount of the verdict or settlement. Working on contingency means an attorney does not collect their car accident lawyer fees until the case is resolved. 

In addition, most accident attorneys pay for out-of-pocket expenses such as postage and copying while the case is ongoing. When the case is settled, the lawyer deducts these costs from the amount the client receives.  

Understanding the Contingency Fee for a Michigan Car Accident Attorney

Michigan law limits accident contingency fees to one-third (33.33%) of the net settlement or verdict. For example, suppose an auto accident lawyer wins $30,000 for a client who was injured in a car crash. The lawyer receives one-third of this amount, or $10,000, while the client receives $20,000, minus any case-related expenses.

The Benefits of a Contingency Fee Agreement

If you’re looking for a car accident attorney, then you’re probably wondering whether or not this benefits you and how it makes your experience better. Both the client and the attorney benefit from a contingency fee agreement. Here are some of the advantages:

Cost-Related Benefits

• Clients have the benefit of professional legal representation without paying up-front fees or retainers
• The cost of hiring an accident lawyer to prepare and litigate a serious injury case on an hourly basis would be unaffordable for most clients  
• The higher the settlement, the more money the attorney receives. Therefore, car accident lawyers are motivated to fight for the maximum possible amount of compensation for their clients 
• Reputable auto accident lawyers cover necessary out-of-pocket expenses such as copying, postage and expert witnesses, so clients do not pay any up-front costs 

Reputation and High Quality Service

• Because their livelihood depends on it, most accident attorneys will provide an honest assessment of the case and the potential settlement a client can expect

Settlements That Include Coverage of Care, Wages, and Essential services

• An experienced No-Fault attorney will help you obtain the No-Fault benefits you are entitled to, such as lost wages, replacement services and medical coverage

Our “No Fee Guarantee®” For Car Crash Victims and Their Families

If you’re a Michigan resident, then you’ve heard our family talking about the No Fee Guarantee® for some time now. Our clients love it and we know you will too, but what exactly is it?

At The Sam Bernstein Law Firm, the No Fee Guarantee® is our promise that you don’t owe us an attorney fee if we don’t win money for you. Simply put, if you don’t get paid, neither do we. Therefore, you can be confident we will do whatever it takes to make sure you get all the benefits and compensation you deserve. 

Paying My Car Accident Lawyer Fees When My Case is Resolved

Now, let’s assume that your accident lawyer won you your case. You’re probably wondering how the payment process to your attorney looks and how you’ll go about paying for their services.

Instead of you spending your cash, our lawyer’s fee and any out-of-pocket expenses are deducted from the check you receive when your case is settled. In a contingency case, a Michigan accident lawyer receives a maximum of one-third (33.33%, as mentioned above) of the net verdict or settlement. Any out-of-pocket expenses the lawyer has paid will also be deducted. These costs may include obtaining and copying documents or hiring an investigator or expert witnesses. 

Out-of-pocket Expenses You Might Be Charged For

What are out-of-pocket expenses? Out-of-pocket expenses include any necessary costs to our lawyers and firm in order to prepare your accident case. 

To give you more clarity, here is a list of typical out-of-pocket expenses a car accident lawyer may incur while working on a case:

• Filing fees
• Mileage/Travel expenses
• Photocopying documents
• Obtaining medical records
• Police reports
• Expert witness fees
• Postage
• Investigators 
• Depositions
• Transcripts 
• Trial exhibits

What happens if my case is unsuccessful?

a contingency agreement means you do not pay car accident lawyer fees if you don’t receive any compensation. 

Accident lawyers typically bill clients for expenses the firm incurred on their behalf. The law firm’s policy regarding these costs should be included in your contract. This is also a good question to ask your attorney during your initial consultation.

Attorney-client Agreements

A fee agreement or contract should contain all the terms of the attorney-client relationship, including the percentage of the settlement the lawyer will receive. If you have chosen a lawyer who works on a “No fee guarantee” basis, make sure that is spelled out in the contract. The document should also address out-of-pocket expenses and who is responsible for those costs if the case is unsuccessful.

As with any legally binding contract, it is important to read the agreement carefully. Don’t hesitate to ask about anything you do not understand. What’s more, a reputable lawyer should not object if you want to have the contract reviewed by a spouse or someone else before you sign.

Finally, we recommend asking for a copy of the agreement and file it with the other important documents pertaining to your case.  

Questions To Ask A Lawyer Before Signing a Fee Agreement

Clients should always feel free to ask questions about their claims at any time during the case. Here is a list of questions to ask lawyers before signing a contract or fee agreement:

• Will you be the attorney who handles my claim or will it be assigned to someone else?
• How long will it take to resolve my case?
• What out-of-pocket expenses will I be charged for?
• Will I have to pay those expenses if my case is not successful?
• What are the chances my case will go to trial?
• Will a trial involve additional out-of-pocket expenses?

Car accident lawyer fees are complicated, but finding the right car crash attorney to help you understand and win the settlement you deserve is simple. 

Call 1-800-CALL-SAM today for a free, remote no-obligation consultation from the safety of your home. 

Sources:

https://thervo.com/costs/attorney-fees#contingency

https://www.alllaw.com/articles/nolo/personal-injury/lawyers-fees.html