Contingent Fees

In certain types of cases, attorneys work on a contingent fee basis. "Contingent" means that the attorney takes no fee from the client, but gets a percentage typically one-third of the settlement or money judgment. Contingent fee arrangements are typical for plaintiff's counsel in automobile and accident litigation, medical malpractice and other personal injury cases, as well as in debt collection cases.

Courts set limits on the contingency fees a lawyer can receive from personal injury suits. Of course, lawyers and clients are free to negotiate contingency fees less than the standard one-third. Contingent fee arrangements in certain kinds of cases such as divorce, criminal cases, or child custody cases are prohibited.