What Are Contingency Fees?
Few people save money aside in case they need a personal injury attorney or car accident lawyer after suffering a serious preventable injury; for this reason, a reputable OKC personal injury attorney doesn’t charge upfront fees. An unfortunate truth is that we are all vulnerable to sudden injuries caused by someone else’s negligent, reckless, or wrongful actions, whether it’s while sharing the road with careless drivers or walking into a store with a wet floor from a leaky cooler. An injury can happen in an instant, but can affect your life for months, or even permanently. With a contingency-based payment model rather than upfront fees, you don’t have to pay any attorney fees until your case is favorably resolved and you’ve obtained compensation.
How Do Contingency Fees Work?
A 2024 Legal Industry Report found that 15% of attorneys who do not use contingency fees—typically criminal defense lawyers and divorce attorneys—say that getting paid by their clients is the most challenging part of their work. Personal injury attorneys understand this and operate under the premise that an injury victim harmed by someone else’s actions still has the right to assertive legal representation, especially during a distressing time after an injury, when they may also be unable to return to work in their former capacity—or at all. When medical bills accumulate at the same time that an injury victim is out of work while recovering, they often don’t have funds to spare for an attorney. Contingency-based payment is a tremendous advantage.
Most personal injury attorneys first offer a free case consultation during which they evaluate the merits of the claim while the potential client determines whether the attorney is the right fit for them. Then, contingency-based payment allows a personal injury attorney to go to work for you at no upfront cost. The attorney only gets paid if and when they’ve first recovered compensation for you. Most claims end with a settlement from the at-fault party’s insurance company, but about 4% of personal injury cases go to court. This typically happens when an insurance company denies a valid claim or significantly devalues your claim.
Personal injury lawyers also use contingency fees for Oklahoma City wrongful death cases. Under Oklahoma’s wrongful death law, only the representative of the decedent’s estate may file a claim.
How Much Do Attorneys Charge for Contingency Fees?
Most personal injury lawyers in Oklahoma charge 30% to 40% of the settlement or court award they recover for their injured client as their legal fee, depending on their level of experience. While this may seem substantial, it’s important to recognize that contingency-based payment also incentivizes an attorney to recover the largest possible settlement for their client. They don’t get paid if you don’t, and the more they recover for you, the more the attorney makes for their effort.
How Does an Attorney Maximize the Compensation They Recover for a Personal Injury Victim?
The attorney carefully investigates all aspects of the accident or injury to document evidence of the at-fault party’s liability, and then carefully calculates damages and presents a compelling claim to the appropriate insurance company seeking the maximum compensation available.
It’s always advisable to discuss your attorney’s fee and fee structure before hiring them. Some attorneys charge a higher percentage contingency fee if a case requires court litigation. In other cases, the client could be responsible for additional costs deducted from their compensation, such as for process serving, file costs, expert witness fees, and the cost associated with obtaining official records and additional documents.
During the free consultation with an OKC personal injury attorney, your attorney should be frank and upfront about their payment structure and contingency fee process before you agree to hire them to represent your best interests.