When you are looking to hire a car accident attorney you will need to consider what the costs will be. No attorney is going to work for free and you need to be aware of how you are going to be charged. There are 2 common fee structures that personal injury attorneys will use and you need to know what they are. It is important that you find out which structure your potential attorney will be working with before you hire them. If you have any questions about this information, the folks at Miami Injury Attorney Referral Service will be able to clarify any misunderstandings or confusion.
Conditional Fee Agreements
One of the payment structures that car accident attorneys use is the conditional fee agreement. This is also known as a no win no fee structure. When you hire an attorney that works with this structure you will need to sign a written agreement that states that legal fees and expenses will be payable if certain conditions are met. The conditions will be explained by the attorney before you sign the agreement.
The most common condition used for these agreements is that the case will need to be won by the attorney. In these cases, the legal fees will need to be paid when the case is won along with a success fee over and above this. The success fee will reflect the risk that the attorney has taken as a result of only being paid if the case is won. This fee will not always be payable, but will almost always be added after the case is won.
In most situations, you should be able to recover the costs of your attorney’s legal fees from the losing party. However, you will not be able to recover the success fee from the other party. Any of the fees that are not recovered will be deducted from the compensation amount that you have been awarded if the conditions of the agreement have been met.
The percentage of the deduction from your compensation should be agreed before you hire the attorney. The percentage that they are able to deduct should be no more than 25% of the total compensation amount. This percentage should be included in the agreement that you sign.
Contingency Fee Agreements
The other common payment structure used by car accident attorneys is a contingency fee agreement. This is also a type of no win no fee agreement and works in almost the same way as the conditional fee agreement. You will be asked to sign a written agreement with the attorney before your claim is processed when this fee structure is used.
The primary difference between fee structures is that conditional agreements could cover a range of conditions that enable to the attorney to be paid. With the contingency fee agreement, the only condition is that the case needs to be won. You will also find that there is generally no success fee with a contingency fee agreement.
If the case is won, the attorney will deduct their fee from your compensation. However, if the case is lost then you will not owe the attorney anything. The percentage of the compensation that the attorney will take for winning the case should be discussed beforehand and listed in the agreement you sign. To contact a local Miami Car Accident Lawyer, visit: http://findapersonalinjuryattorney.net/miami
The fee cannot be more than 25% of the compensation that you are given. However, it is important that you find out if the attorney will deduct their expenses before or after they take the contingency fee. This is important because it will make a significant difference in the amount that you will take home.