Legal Question in Personal Injury in California

Hello,

I was wondering what is the 'industry standard' for contingency cases? My husband & I were involved in an auto collision; we contacted a lawyer that will charge 1/3 of recovery (40% if case goes to arbitration or trial) and fees are additional. This seems excessive to me; especially as charging unspecified fees (copy fees, etc.) are in addition to the 1/3 of settlement I see no motivation on the legal councils end to attempt to contain costs.

Please let me know if this is 'normal' or if my concerns are valid. If my concerns are valud where may I find legal representation that will not 'take us to the cleaners'


Asked on 11/09/09, 4:50 pm

4 Answers from Attorneys

BRUCE NELSON BRUCE E. NELSON ATTORNEY AT LAW

First of all that arrangement is standard.As far as the costs are concerned the attorney fronts that money so it will not be spent unnecessarily or unwisely.Depending on the nature of the referral I sometimes charge 25% and 33% if it goes to trial or arbitration but you will not find that arrangement typical.If you would like to discuss further call me at 916-448-8831

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Answered on 11/14/09, 5:04 pm
Brian Dinday Law Offices of Brian R. Dinday

This is a long response, but please read it through, because it is important to your future.

All attorneys will recover their "costs" in a civil action, which is money they advance to develop the case. Think of it as a free loan. Nobody that I know of throws in the "costs" without being reimbursed for them after they win. That would bankrupt most lawyers. Here is why. Photocopying and postage, and mileage charges are trivial costs, and many firms (myself included) seldom charge for them.

But most Personal Injury lawyers also expend very substantial sums for private investigators, depositions, ordering medical records, hiring expert witnesses,trial fees, and such. This can mount to tens of thousands of dollars. If your case is worth hundreds of thousands, this money is well spent, and your claim or lawsuit would seriously under-recover if that money were NOT spent. Few injured parties are capable of fronting such money to properly develop their claims. That is why contingency attorneys are a lifesaver for most injured parties.

Personally, I would never accept a case if the client insisted that in exchange for a possible (contingent on my winning), fee of $40,000, I had to "throw in for free" an investment of $15,000-20,000 in case costs. So if you think that lawyers should throw in their case investment for free, getting only the 1/3 fee at the end, you will never find a lawyer to accept you. That is taking THE LAWYER to the cleaners.

I think the contingent fee arrangement is a boon to the injured party. How could you possibly sue the responsible party for your injuries if you had to put out $15,000-20,000 in case costs yourself? Instead, most injured people would just have to accept whatever minimal sum the insurance adjuster would offer, while laughing at having done you over. Believe me, the attorneys are not your enemies here. The insurance companies are.

So it's counter productive to squabble about $400 in expenses with a $150,000 claim, isn't it? It sure would not be the deciding factor for me if I were hiring a lawyer. But if it bothers you, you will certainly find plenty of lawyers who do not include photocopying, postage and such expenses as part of their case costs.

But my main concern with your inquiry is that it sounds very much like you are one of the many people who have totally bought into the insurance industry's propaganda about "greedy trial lawyers". Your inability to see these lawyers as advocates to protect you is the insurance industry's most potent weapon against the injury party. Do you honestly think the insurance adjuster for the jerk or the drunk who hurt you is your friend? Who wants to "cradle you in his good hands?"

The only person who is standing between you and your eating all your financial and physical losses is that "greedy lawyer" who would like to be repaid for his interest free loan of all the "cost money" he fronts for your case. I have to hand it to the insurance industry. To convince intelligent people like you that WE are the enemy is one heck of a coup.

Good luck.

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Answered on 11/14/09, 5:28 pm
Rob Reed Law Office of Robert A. Reed

Yes, these are standard values... feel free to give me a call, and we discuss a lower rate. I am in the Southern California area... 866-950-9995 toll-free

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Answered on 11/15/09, 2:29 am
Norman Gregory Fernandez, Esq. The Law Offices of Norman Gregory Fernandez & Associates

All contingency fees in the State of California are negotiable. My firm handles car accident cases all over California. I would be willing to give you a 25% / 331/3% fee in your case if it is something that I can help you with.

Give me a call at 800-816-1529 x. 1 for a free consultation. You can also go to my website at www.thepersonalinjury.com .

If we can help you, and you decide to retain us, we will take care of terminating your present attorney.

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Answered on 11/17/09, 12:50 am


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