If you've been injured in Wisconsin due to someone else’s negligence or wrongdoing, the idea of pursuing legal action might feel daunting, especially when it comes to the costs associated with hiring a lawyer. Fortunately, most personal injury attorneys in Wisconsin operate on a contingency fee basis, meaning you don’t have to pay upfront legal fees. Instead, your lawyer’s fee will be a percentage of the compensation you receive if you win your case.
But what exactly does "contingency fee" mean, and how does it work? Let’s break it down.
What is a Contingency Fee?
A contingency fee is a payment arrangement where a lawyer only gets paid if you win your case or settle with the defendant. If you don’t win, you don’t owe the lawyer anything. This type of payment structure is particularly common in personal injury cases, where clients may not have the financial means to pay legal fees upfront.
Typically, the lawyer will take a percentage of the settlement or award you receive in your case. The percentage is 33%. For example, if you win a settlement of $100,000 and your lawyer’s contingency fee is 33%, you would owe them $33,333.33, and you would receive $66,666.67.
Why Do Lawyers Use Contingency Fees?
For personal injury lawyers, the contingency fee structure allows them to take on cases they might otherwise not be able to afford. Personal injury cases can be expensive and time-consuming to litigate, involving costs such as:
Expert witness fees
Court filing fees
Investigative costs
By using a contingency fee model, lawyers are more willing to take on cases, knowing they can recoup these expenses if the case results in a favorable outcome.
From a client’s perspective, contingency fees provide access to legal representation without the need to pay for a lawyer upfront. For many injured individuals, especially those dealing with medical bills or lost wages, this is a crucial benefit.
What Happens if You Lose?
If you don’t win your personal injury case in Wisconsin, you generally won’t owe your attorney any fees. This is the beauty of the contingency fee arrangement: it minimizes the financial risk for clients. However, keep in mind that expenses related to the case (like expert witness fees, court costs, and other expenses) may still be your responsibility, depending on your agreement with your lawyer. These costs might be deducted from the settlement if the case is won, or they could be billed to you directly if you lose the case.
Because of this, it’s important to discuss with your attorney whether you are responsible for any out-of-pocket costs, win or lose.
Benefits of Contingency Fees for Personal Injury Cases in Wisconsin
There are several advantages to hiring a personal injury lawyer who works on a contingency fee basis:
No Upfront Costs: You don’t have to worry about paying high hourly fees or retainer fees at the start of your case.
Access to Justice: It levels the playing field, allowing people with legitimate injury claims, but without financial resources, to seek legal redress.
Incentive for the Lawyer: Since the lawyer only gets paid if you win, they have a strong incentive to work hard for the best possible outcome in your case.
Lower Financial Risk: You can pursue legal action without the fear of incurring significant legal costs if your case doesn’t result in a favorable outcome.
Conclusion
In Wisconsin, contingency fees make pursuing a personal injury claim more accessible to those who may not be able to afford the high costs of hiring a lawyer upfront. This arrangement ensures that your lawyer is motivated to win your case, as their payment depends on it. However, it’s essential to fully understand the terms of the agreement, including the percentage taken by the lawyer and any potential costs or fees that may arise during your case.
Before you sign any agreement, it’s wise to ask detailed questions and shop around to find a lawyer whose experience and contingency fee structure fit your needs. With the right lawyer, you can ensure your legal rights are protected, and you can focus on recovering from your injury without worrying about the financial burden of litigation.