Are "No Win" Fee Agreements Too Good To Be True?

When you work with an attorney or hire an attorney to handle your case, a fee agreement must be reached. The fee agreement is usually reached before the attorney accepts the case formally, and it is very important that you fully understand the full nature and extent of the fee agreement in place. When you are coming to a fee arrangement, you may be presented with the idea of a "no win" fee agreement.... so, what is such an agreement and is it too good to be true?

What is a No Win Fee Agreement?

A no win fee agreement, also referred to as a contingent fee agreement, is a fee structure wherein the attorney does not get paid unless his client wins his case.

These types of agreements are very common in personal injury cases, such as cases for medical malpractice, car accidents, premises liability cases or other related cases.
No win no fee/contingent fee agreements are not permitted in criminal cases and divorce cases.

No win no fee agreements are an alternative to attorneys who charge by the hour. Instead of paying an hourly rate for legal services, you will pay a percentage of your damage award (usually 1/3 of the damages, depending on when the case is decided- you may pay less if the case settles out of court). If there is no damage award, you pay no attorneys fees.

Are No Win Fee Agreements Too Good to be True?

Contingent fee agreements are not too good to be true and are a legitimate means of an attorney collecting his fees. Attorneys are not permitted or able to present unfair fee agreements to their clients as the Rules of Professional Responsibility that all attorneys are held to mandate fair fee structures. An attorney can actually lose his license to practice law if he engages in deceptive advertising or charges fees in an unethical or unfair manner, so you don't need to worry that your attorney is ripping you off.

The only potential catch to a contingent fee agreement that some people may not be aware of is that you may still be responsible for actual court costs and expenses, even in the case where you lose.

Getting Help

If you have been the victim of a personal injury and you are afraid you do not have the money to file a lawsuit, consult with an experienced personal injury attorney who can provide you with details about a no win no fee option. This type of payment structure can allow you to get the help you need to collect the damages you deserve, without leaving you saddled with legal fees.

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