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Is this a normal contract for attorney's fees in a settlement?

  
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Is this a normal contract for attorney's fees in a settlement?

Postby darvell » Wed Apr 06, 2011 12:46 am

We are filing a lawsuit against a big pharm company related to our son's birth defect. The attorney sent over a contract and it states that the attorney will receive 35% of any settlement (I've read that this is pretty close to standard) and "client understands that the client is giving up at this time to the attorneys the amount stated above, and that such percentage is of the the total recovery or settlement before any costs, expenses, or disbursements are deducted and client understands that all costs, expenses, and disbursements are paid out of the Client's portion of the recovery, and not out of the attorneys' portion."

Does this mean that after they take 35% I'll still have a large bill for their services? Is this a standard for personal injury claims? Any advice would be appreciated.
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Is this a normal contract for attorney's fees in a settlement?

Postby giulio » Wed Apr 06, 2011 12:48 am

The attorney will EITHER work for a percentage of any settlement OR for a fixed or hourly fee. That said, court fees and expenses related to the case are in addition to the attorney's 35%. You MAY have a bill above the 35%, but it will not be for their services. I suggest discussing likely fees with the attorney BEFORE signing the contract. If they can't/won't explain this to your satisfaction, you shouldn't hire them.
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Is this a normal contract for attorney's fees in a settlement?

Postby bercnan72 » Wed Apr 06, 2011 12:53 am

No. You won't have a bill for their services. But you will have a bill for EXPENSES. So, filing fees, deposition expenses, expert witness fees, copy fees, postage, etc. are expenses that will come out of your portion.

Yes. This is a very standard contract. Normal retainer agreements are averaging 40% to the attorney, so 35% is actually a little less than the norm. And every attorney I have ever had any contact with requires clients to pay for expenses.
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Is this a normal contract for attorney's fees in a settlement?

Postby otis » Wed Apr 06, 2011 1:07 am

No the fees are part of the 35%, but all the extras, filing fees,expert witness fees, photocopying and things like that will come out of your portion not the lawyers.
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Is this a normal contract for attorney's fees in a settlement?

Postby siwili » Wed Apr 06, 2011 1:10 am

I am not sure if that is standard, I thought the law controlled those things.
However it does mean you have to pay anyone else who works on the case or any payments the lawyer has to make for records, etc. during the case.
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