I am planning on filing an age discrimination lawsuit against my former employer. What percentage do lawyers normally charge for this and what about their expenses? Should they come out of their percentage?
3 Answers from Attorneys
Fees for litigation are negotiable.
In most contingency arrangements, fees are deducted from the gross settlement before the attorney's contingency fee is collected. That is not automatic, however, and you should read the retainer agreement carefully to see how that will work.
It is not uncommon for the attorney to ask for between one-third and 40% of the amount received in settlement.
Fees are negotiable. Anywhere between one third to 50% depending upon the nature of the case. I disagree with the answer above as to the attorney fees. The attorney fees are a percentage of the gross. The client is normally responsible for the costs of suit from their share. You need to negotiate this with the attorney and understand his fee structure.
Costs and litigation expenses come out of the client's share, if they are not paid by the client at the time incurred.
Fees are open to negotiation when entering the Retainer Agreement, not after the fact. I generally use a stairstep approach where fees increase from 25% early on, to as much as 50% at trial. I varies, depending upon the case.