You’ve likely seen ads for New York City personal injury attorneys claiming that they work at no cost to the client. And while that does not necessarily mean that their services are free, they do work at no outside cost to YOU as an injured party. At Kucher Law Group, our New York personal injury attorneys understand the physical, emotional, and financial toll that personal injuries can take on your life. That’s why we operate on a contingency fee basis, meaning we only get paid if we win your case. This arrangement allows us to advocate for your rights and fight for the compensation you deserve without requiring upfront fees or out-of-pocket expenses from you. Contact us today at (929) 274-8000 to schedule a consultation and let us help you navigate the path to recovery and financial security.
Personal Injury Lawyers and Contingency Fees
Personal injury lawyers in New York and around the country typically work on what is called a contingency fee basis. Contingency is an arrangement with the client that the attorney is only paid for their services if they have secured compensation on the client’s behalf. If they fail to recover for the client, they don’t get paid.
With a contingency fee arrangement, fees for representing the client will be deducted from the final award, either from a personal injury settlement or an award after a favorable verdict if the case goes to court. If there is no award, then the attorney collects no attorney fees.
Why Contingency Fees? Why Not Just Charge the Client?
Contingency fee arrangements exist because most individuals cannot afford to hire a lawyer after an injury and pay hourly fees that could be charged. The more complicated a case, the higher the hourly fees could get.
Contingency fee arrangements allow anyone with a valid personal injury claim to get fairly compensated for their injuries without worrying about paying their attorney. If there is a settlement or verdict award, the attorney will collect a third of that money. In addition, the attorney may collect expenses that were paid for by the attorney on behalf of the client.
Isn’t a Contingency Fee Arrangement a Risk to the NYC Personal Injury Lawyer?
While some types of lawyers ask for a retainer payment to begin a case, personal injury lawyers do not typically ask for any retainer payment or even bill hourly. To retain the services of an injury attorney, the client signs a contract agreeing to share a percentage of the recovery with the attorney for their representation.
Personal injury attorneys in New York can invest a great deal of time and money in a case without any guarantee of recovery. The attorney will often pay all upfront costs associated with the case, including investigator costs, court costs, expert witnesses, administrative costs, and other necessary incidental expenses to support the client’s case. If the attorney does not recover any money in the case, they stand to lose any money and time they have invested in the case.
How Much Do Lawyers Get from a Settlement?
When it comes to lawyer fees from a settlement, you have options on how payments are structured. Typically, lawyers work on a contingency fee basis, which means they take a portion of the settlement as their fee.
One way this fee is calculated is by taking it from the net recovery. Here, your settlement is first reduced by case expenses. What’s left is considered the net recovery, from which the lawyer takes a one-third fee. For instance, if a settlement is $45,000 and expenses amount to $5,000, the net to consider for the lawyer’s fee is $40,000, from which the lawyer would receive around $13,333. This structure means you share some of the risk—if the case isn’t successful, you might have to pay the case expenses, though it’s not common practice for attorneys to bill clients for expenses after a lost case.
Alternatively, the lawyer’s fee can be a third of the total settlement amount, with case expenses paid out from the remaining sum. If your settlement is $45,000, the attorney would take $15,000, and case expenses come out of the remaining $30,000. This approach removes the risk of paying for case expenses if you lose, but it generally results in a lower net settlement for you because the attorney does not share in the expense burden.
33 1/3 Attorney Fees
Personal injury attorneys typically employ a contingency fee arrangement. This indicates that the lawyer’s fee is contingent on the amount of compensation the injured plaintiff receives. In personal injury cases, the typical fee is 33 1/3% of the overall recovery, which is referred to as a contingency fee. There are two prevalent approaches to determine the attorney’s fee in such situations.
The first method involves deducting the attorney’s fee from the overall recovery before factoring in any expenses. The recovery amount is then reduced by the firm’s expenses, and the remaining balance, or net recovery, is awarded to the injured plaintiff. If the case does not result in any monetary compensation, the firm cannot seek reimbursement for expenses from the injured plaintiff, and the attorney bears the loss.
The second method entails the client paying upfront for the costs associated with handling the case. Subsequently, the attorney’s fee is deducted from the net amount recovered, which is obtained by reducing the overall recovery by the expenses incurred. In the event of no recovery in the case, the injured plaintiff is unable to recover expenses from the attorney and is responsible for the loss incurred.
If you are in need of a New York personal injury attorney, contact the Kucher Law Group. Our experienced attorneys are dedicated to advocating for the rights of injured individuals and helping them navigate the complexities of personal injury claims. Don’t hesitate to schedule a consultation with us today to achieve the best outcome possible in your circumstance.
| Attorney’s Fee Determination Methods | Description |
|---|---|
| Method 1 | Attorney’s fee deducted from overall recovery before expenses. Attorney bears the loss if no compensation is received. |
| Method 2 | Client pays upfront costs. Attorney’s fee deducted from net recovery after expenses. Client bears loss if no compensation is received. |
How Does a Personal Injury Lawyer in New York Decide a Case is Worth Their Time?
Because taking a personal injury case can be a significant risk to an attorney, they spend time vetting cases before agreeing to take them. Injury lawyers will evaluate the risks against the advantages before deciding to take a case, and if they feel they cannot win, they will typically decline to accept a case.
When making their decision, they will consider all the facts surrounding the case, the law governing it, potential defenses that can be raised, and the chance of success. The attorney will also consider the amount of insurance or assets of a defendant to see what is available to compensate their client. If there is not enough available in the way of insurance or assets, an injury attorney may decline the case.
Not All New York City Personal Injury Lawyers Are Alike
New York City is a big place, full of personal injury attorneys of various skills. As an injured party, you owe it to yourself to hire a lawyer who is dedicated to getting you the justice and the compensation you deserve. At Kucher Law, we are confident in our results and have the awards to prove it. If you have been injured in an accident in New York City, call us at (929) 274-8000 or contact us online to schedule a no-cost consultation.
