When facing a legal dispute, one of the biggest concerns people have is the cost of hiring an attorney. Many individuals hesitate to seek legal help because they fear high hourly rates or upfront retainers. Fortunately, in many cases—especially personal injury and civil litigation—attorneys offer what is known as a contingency fee arrangement. This payment structure helps make legal services more accessible to people who may not otherwise afford them.
This page explains how contingency fees work, the advantages and disadvantages, common percentages, and important considerations before entering into such an agreement.
What Is a Contingency Fee?
A contingency fee is a payment arrangement between a client and an attorney in which the lawyer’s fee depends on the outcome of the case. Instead of paying upfront, the client agrees to pay the attorney a percentage of the compensation recovered, whether through settlement or trial verdict.
If the attorney does not secure compensation, the client typically pays no attorney’s fees. This “no win, no fee” model is common in personal injury, wrongful death, medical malpractice, employment law, and other civil cases.
How Does a Contingency Fee Work?
The attorney and client sign a written fee agreement at the beginning of the representation. The agreement explains the contingency percentage and how case-related expenses will be handled. The law firm then investigates and develops the claim, negotiates with the opposing party or insurance company, and prepares the case for trial when necessary.
If the case results in a recovery, the agreed attorney fee is calculated from that recovery according to the fee agreement.
What Does It Cost to Hire Farmer, Cline & Campbell?
At Farmer, Cline & Campbell, we work on a “contingency fee.” That means you owe us nothing unless we win. Our contingency fee for car, truck, and motorcycle accidents is one-third of the amount recovered (33 1/3%). For more complex cases, like product liability, certain workplace injury cases (deliberate intent), and certain premises cases (like explosions), our contingency fee is forty percent (40%).
How Are Case Expenses Handled?
Attorney fees and case expenses are different. Attorney fees compensate the law firm for its legal work, while case expenses can include costs necessary to investigate, prepare, and present a claim. The firm’s policy is designed so clients do not have to fund those expenses while the case is moving forward.
We advance all of the expenses necessary to present the strongest case possible. We never ask our clients to pay anything up front, or as the case progresses. We don’t charge interest on case expenses, and clients do not owe us anything for our fees or our expenses until we are successful in getting them a recovery. If we don’t win for some reason, a client owes us nothing—nothing for our time, nothing for expenses incurred on their behalf.
Does the Contingency Fee Increase as the Case Progresses?
Some firms charge contingency fees of 40-45%, and some even charge interest on case expenses. We don’t do that. Our fee structure has been the same for more than 25 years. It has not changed, and we don’t believe it should. While some personal injury firms raise their percentages or add tiers that climb as your case progresses, our fee has stayed steady for over two decades because we built it to be fair from the start. You pay nothing unless we win, and when we do, the percentage you agreed to on day one is the percentage you pay—no increases, no surprises.
What Are the Benefits of a Contingency Fee?
A contingency fee arrangement can make legal representation more accessible because clients do not have to pay an upfront retainer or ongoing hourly bills. It also gives clients a clear understanding of how the attorney fee will be calculated if the case is successful.
For Farmer, Cline & Campbell clients, the arrangement also means the firm advances case expenses and does not charge interest on those expenses. If there is no recovery, the client does not owe the firm attorney fees or the expenses advanced on the client’s behalf.
Questions to Ask Before Signing a Contingency Fee Agreement
Before hiring a personal injury lawyer, it is reasonable to ask exactly how the fee will be calculated and whether the percentage changes if a case proceeds further. Clients should also understand who advances case expenses, whether interest is charged on those expenses, and whether any fees or costs are owed if there is no recovery.
Why Choose Farmer, Cline & Campbell?
We proudly hold an AV Preeminent® Rating, a testament to our commitment to excellence over the past 25 years. Our clients are our top priority, and we only take on cases where we genuinely believe we can make a difference. Ultimately, our success is measured by the positive impact we have on our clients’ lives and the financial outcomes we achieve for them. That consistency reflects the client-first approach we’ve employed for a generation: straightforward terms, and a fee our clients can understand and trust.
Contact Farmer, Cline & Campbell Personal Injury Lawyers for a Free Consultation
A contingency fee can be a lifeline for individuals seeking justice without the ability to pay upfront legal costs. It creates an opportunity to level the playing field against powerful insurance companies or corporations. However, clients should always read agreements carefully, understand the financial implications, and ensure they are comfortable with the terms.
By asking the right questions and working with an experienced attorney, clients can make informed decisions and pursue their claims with confidence. Contact Farmer, Cline & Campbell Personal Injury Lawyers at (304) 346-5990.