Contingent Fee
A payment arrangement between a lawyer and a client, common in American tort cases. In a contingent fee arrangement, the client pays no fee if her claim is not successful, but if her claim is successful, she pays the lawyer a set share of the judgment or settlement amount, often up to a third.
Definition from Nolo’s Plain-English Law Dictionary
A method of paying a lawyer for legal representation by which, instead of an hourly or per job fee, the lawyer receives a percentage of the money her client obtains after settling or winning the case. Often contingency fee agreements -- which are most commonly used in personal injury cases -- award the successful lawyer between 20% and 50% of the amount recovered. Lawyers representing defendants charged with crimes may not charge contingency fees. In most states, contingency fee agreements must be in writing.
Definition provided by Nolo’s Plain-English Law Dictionary.
August 19, 2010, 5:13 pm
