How do contingency fees work?

With a contingency fee, your lawyer is paid a percentage of what you recover, and nothing if you recover nothing. It’s standard in personal injury and some employment cases.

Typical percentages

  • About 33⅓% if the case settles before a lawsuit is filed.
  • About 40% if a lawsuit is filed or the case goes to trial.
  • Some agreements use a sliding scale that rises at each stage.

Costs are separate

Case costs (records, filing fees, depositions, experts) are usually repaid from the recovery. Ask who pays them if you lose.

Gross vs net

A fee on the net recovery (after costs) leaves more for you than a fee on the gross.

Negotiating

Fees are negotiable, especially for clear-liability cases or large claims. Some states cap fees for certain cases (such as medical malpractice or workers’ comp).

Run the numbers in our settlement calculator.

Frequently asked questions

Do I pay anything if I lose?

Usually no fee, but check whether you’d owe case costs.

Questions from readers

Question about How do contingency fees work?? Ask it here. We answer common questions in general terms on this page. This is not legal advice, and we can’t take your case.

Ask a question

We can’t reply privately. Useful questions get answered here on the page.

Keep reading