Accident victims often face a difficult financial situation. Their injuries may prevent them from working. At the same time, they may incur high medical costs for treatment, medication, and therapy. Even those with health insurance will pay copays and out-of-pocket costs until they reach their deductible.

When someone else is responsible for an accident, the victim can pursue a legal claim against them. Recognizing the financial hardships many injured individuals face, personal injury lawyers typically don’t collect any upfront client fees. Instead, they claim their fee at the end of the case from the amount they recover for their clients, known as contingency fees.

What Are Contingency Fees?

Pennsylvania law specifically allows lawyers to charge fees that are contingent on the outcome of a legal matter. The term “contingent” means that the fee is only paid when certain events happen. In a personal injury case, the contingencies that trigger payment of a fee include the lawyer winning at trial or obtaining a settlement payment.

Any other outcome, including a loss at trial or a dismissal by the court, won’t allow for payment. Thus, the client only pays their lawyer if the lawyer manages their case successfully.

All of the details of the contingency fee arrangement must be documented in writing and provided for the client to sign. 

How Much of a Compensation Award Will the Attorney Take as a Contingency Fee?

The exact percentage that the attorney will take from the compensation award depends on many factors, including the complexity of the case and the lawyer’s experience. For example, an attorney might charge a slightly higher rate for a complex medical malpractice case than for a straightforward pedestrian accident case.

Regardless, the lawyer and the client agree on a percentage at the outset of the case. This way, the client always knows how much of their recovery will go to their lawyer for the legal assistance they’ve provided.

Litigation costs refer to the direct expenses incurred during a legal case. These aren’t fees that lawyers charge. Rather, they’re expenses the lawyer must pay to handle a case. 

The following are examples of litigation costs:

  • Court filing fees
  • Copying charges from doctors and hospitals
  • Expert witness fees
  • Deposition expenses, such as court reporter fees

Under Pennsylvania law, lawyers are allowed to advance money to pay these fees. It means that, when the time comes to file a lawsuit, your lawyer won’t put your case on hold until you can pay the filing fee. Instead, they’ll pay the filing fee and add it to your bill. When your case ends, you’ll reimburse your lawyer for any amounts they advanced.

The other party pays your settlement or court award to your attorney upon the conclusion of your case. Your lawyer will then deposit the check in their trust account, which is where attorneys hold client property.

What Happens When My Case Is Resolved?

At the end of your case, your lawyer will prepare a statement showing the amount of compensation received, deductions for their fees, and any litigation costs. Afterward, you’ll receive a check for the balance of the award.

For example, imagine that you hire a lawyer, and they eventually settle your car accident case. They would calculate their fee and deduct it, along with any costs they incurred on your behalf, from the total of your compensation award. You would then get the remaining amount.

Contact Our Kingston Personal Injury Lawyers at Fellerman & Ciarimboli, Law PC for a Free Consultation

Contingency fees allow accident victims to access high-quality legal representation without any upfront costs. At the same time, the lawyer knows they’ll get paid based on their performance, which serves to ensure that they make every effort to obtain a positive result. 

Contact Fellerman & Ciarimboli, Law PC to schedule a complimentary consultation with our Kingston personal injury lawyers and learn more about how we can assist you.

For more information, contact Fellerman & Ciarimboli, Law PC to schedule a free consultation with our experienced personal injury attorneys. We proudly serve clients in Scranton, Kingston, Berwick, PA, and Columbia, Lackawanna, Luzerne Counties. We’re here to fight for your rights with trusted, experienced legal support. Let us help you get the justice and compensation you deserve.

Fellerman & Ciarimboli, Law PC Scranton
436 Spruce St Suite 100, Scranton, PA 18503
(570) 714-4878

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Fellerman & Ciarimboli, Law PC Kingston
183 Market St #200, Kingston, PA 18704
(570) 714-4878

Fellerman & Ciarimboli, Law PC Berwick
120 W Front St, Berwick, PA 18603
(570) 714-4878