The general public doesn’t always have much trust for lawyers. They don’t have much trust for politicians either, and yet somehow it’s these two populations that just about every single person will need to call on at some point in his or her life for help in a dire situation. Politicians and lawyers have a reputation for bending the rules, arguing semantics, and somehow not always being honest. The truth is, lawyers are skilled and trained in just precisely how to be the most honest in any situation and their number one priority is defending their clients, namely you.
Call Teal and Montgomery today when you need an experienced attorney who will work for you and also for a contingency fee. Call our Santa Rosa, California office today at 707-703-4038.
What are Contingency Fees?
Contingency fee agreements are contracts that attorneys establish with their clients regarding the payment of their fees. What this means is that the attorneys are not paid on an hourly basis by their clients, and instead are paid a percentage when their client receives recovery from the claim.
California Regulations of Contingency Fee Agreements
In 1975, California adopted a statute (California Business and Professions Code Section 6146) to standardize medical malpractice law firms’ contingency fee agreements. The medical malpractice attorneys of Teal & Montgomery want our clients to be educated about and understand their rights under this law. The amount that a medical malpractice attorney can collect as a contingency fee in a medical malpractice case is:
- Forty percent of the first fifty thousand dollars ($50,000) recovered
- Thirty-three and one-third percent of the next fifty thousand dollars ($50,000) recovered
- Twenty-five percent of the next five hundred thousand dollars ($500,000) recovered
- Fifteen percent of any amount on which the recovery exceeds six hundred thousand dollars ($600,000)
Different Kinds of Settlements
Regardless of the type of recovery, these limitations apply whether the client’s recovery is attained by settlement, arbitration, or judgment, or whether the client for whom the recovery is made is a responsible adult, a minor, or a person of unsound mind.
Rules for Hiring Contingency Fee Lawyers
If you are going to hire an attorney who works on a contingency fee basis, there are some things you should know, such as:
- The IRS charges you with 100% even if your lawyer’s share is taken right off the top.
- Your lawyer can receive payment over time.
- Your lawyer cannot deduct costs until your case settles.
At the Santa Rosa and Sacramento law firm of Teal & Montgomery, our qualified medical malpractice attorneys will supply you with a written contingency fee agreement that clearly defines our payment agreement. We want you to fully understand your agreement with us so that there is no question regarding your rights. We also want you to know we do not charge a fee until you get paid on your claim, so you are under no obligation if you would like to reach us for a consultation.
Our knowledgeable attorneys are very experienced in malpractice law and our clients are very important to us. Call us to today to discuss your case. We want to help you.