What Is A Contingency Fee?
How Personal Injury Lawyers Are Paid in Texas
A contingency fee is a payment arrangement commonly used in personal injury cases throughout Texas. It allows clients to pursue legal action without paying upfront. The lawyer only gets paid if they win your case and secure a settlement or court award. This “no fee, no recovery” model means you owe nothing unless your case is successful.
Here’s how it works at Wyatt Law Firm, San Antonio’s firecest personal injury law firm: The lawyer takes a percentage of the total amount recovered, typically around 40% if the case goes to litigation. If your case is settled before court, the percentage may be lower, but this depends on the specific agreement. This payment model ensures that you and your lawyer share the same goal — securing maximum compensation. Wyatt Law Firm has used this fee structure for over 40 years to recover more than $1 billion for injured Texans and their families.
How Does a Contingency Fee Benefit You?
Choosing a lawyer who works on a contingency fee basis allows you to seek justice without the financial burden. When you’ve been seriously injured in a car accident, construction accident, or truck accident, it can be difficult to focus on anything but your recovery. With a contingency fee arrangement, all legal costs are covered upfront, meaning you don’t pay anything unless the lawyer wins your case.
Additionally, if no recovery is secured, you owe nothing. Even if thousands of dollars are spent on expert witnesses, investigations, and court fees, you are not responsible for these costs if the case isn’t successful. This approach gives you access to high-quality legal representation without the worry of financial strain.
Here’s an example: Let’s say you’ve been injured in a car accident in San Antonio and hire a lawyer under a 40% contingency fee agreement. After months of negotiations or potentially going to trial, the lawyer helps you secure a settlement of $100,000. In this case, the lawyer’s fee would be 40%, or $40,000, while the remaining $60,000 would go to you for medical bills, lost wages, and other damages.
Insurance industry research demonstrates that, on average, people who consult lawyers recover more in damages than those who do not. This is true even after the lawyer’s fee has been paid.
What Happens If Your Lawyer Doesn’t Win?
Personal injury lawyers take on significant financial risks when accepting cases on contingency. They invest in expert witnesses, investigations, and legal filings with no guarantee of being paid. If the case is lost, the lawyer receives nothing and absorbs all the costs. The 40% fee ensures that both lawyer and client are fully aligned in working toward the best possible outcome.
However, if the lawyer spends years working on your case, investing significant time and resources, but doesn’t win, you’re not obligated to pay the fees. The lawyer absorbs the cost of their service.
The contingency fee model ensures that your lawyer is as motivated as you are to get the best possible outcome. The more you recover, the more the lawyer recovers, which means they are fully committed to securing the maximum compensation. This system encourages lawyers to fight hard for every dollar of your compensation and ensures that you and your lawyer share the same goal: a successful outcome.
Wyatt Law Firm’s No Recovery, No Fee Guarantee
If you’ve been injured and need strong legal advocates on your side, don’t let cost hold you back. A contingency fee arrangement offers you the chance to get top-tier legal representation without any upfront costs. Let the experienced personal injury lawyers at Wyatt Law Firm take on the financial risk, allowing you to focus on recovery while they handle the legal work.
If you were injured or a loved one was killed in a Texas accident, contact us to learn more about your rights, legal options, and what it’s like to work with Wyatt Law Firm. Schedule a free consultation with us today. Let our experienced, relentless team fight for the compensation you deserve.