How Many Types of Attorney Fee Arrangements Are There?
Did you know that there are over 1,300,000 licensed attorneys in the United States? If you are in need of hiring an attorney to help you with a legal case, but you’re not sure if you can afford one or not, you’re in the right place. We have put together this guide to share the attorney fee arrangement options available to you.
Read on to learn more.
Charging per hour is a common way for attorneys to get paid. The fees per hour will vary based on the type of case and the cost of living in the area.
If the attorney works in large firms then there are usually different fee scales. The more senior attorneys will charge more per hour than a young associate or a paralegal.
A common hourly rate for an attorney is $100, so if they work 10 hours on your case, you can expect to pay $1,000. But, keep in mind that the same attorney might charge more like $200 per hour if they are working on litigation instead of something less complicated such as contract preparation.
If there are routine or simple cases, then an attorney will just charge you a flat fee. For example, this is common when resolving a traffic ticket, mortgage foreclosures, creating a will, tenant evictions, or getting an uncontested divorce from your spouse.
When you find an attorney that charges on a contingency basis, it means that their fee is based on a percentage of the amount that you are awarded in your case. With this attorney-client agreement, if your lawyer does not win your case then they won’t get a fee. The percentage fee varies based on your location and how complicated your case is.
A common percentage charged is one-third of the entire compensation awarded. In some locations the court might set a limit on how much the attorney is allowed to legally receive.
Keep in mind that sometimes you are still responsible for some expenses. Make sure that you are aware of what expenses you are responsible for in the event that the case is lost and you are not awarded anything.
This is commonly how injury attorneys gets paid, or in cases with financial losses, or property damage cases. Offering contingency fee basis for child custody and criminal cases are not common due to the nature of that case, where a monetary award is not being sought.
Now You Are Familiar With Common Attorney Fee Arrangements
As you can see there are several attorney fee arrangement options available, so now it’s time to choose the best option for your needs. You can make an informed decision if you would rather find an attorney for your case or fight on your own.
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