When dealing with a personal injury case, one of the biggest concerns is often, “How will I afford a lawyer?” In New Jersey, many personal injury lawyers use a contingency fee arrangement, making legal representation accessible to everyone, regardless of their financial situation. 

This arrangement allows individuals to pursue justice without upfront costs, as the lawyer’s fees are contingent upon securing a successful outcome, ensuring that financial constraints don’t hinder the pursuit of rightful compensation.

What Are Contingency Fees?

A contingency fee is a payment arrangement where an attorney only gets paid if they win your case. Rather than charging hourly rates or upfront retainers, the attorney’s fee is a percentage of the settlement or court-awarded compensation.

In New Jersey, contingency fees in personal injury cases are governed by strict rules to protect clients. Under N.J. Court Rule 1:21-7, attorneys are generally allowed to charge the following:

• 33⅓% on the first $750,000 recovered
• 30% on the next $750,000 recovered
• 25% on the next $750,000 recovered
• 20% on the next $750,000
• On amounts exceeding the above, attorneys must apply for a reasonable fee
• Where the amount recovered is for the benefit of a client who was minor or mentally incapacitated when the contingent fee arrangement was made, the fee on any amount recovered by settlement before trial shall not exceed 25%.

These percentages ensure transparency and fairness, allowing clients to know exactly how much their attorney will earn from the settlement.

How Do Contingency Fees Work in NJ?

In New Jersey, contingency fees are governed by the state’s Rules of Professional Conduct. According to these rules, lawyers can charge contingency fees in certain types of cases, including personal injury, medical malpractice, and workers’ compensation.

Here’s how it typically works:

1. Initial Consultation 

You meet with a personal injury lawyer to discuss your case. During this consultation, the lawyer will explain their contingency fee arrangement and answer any questions you may have.

2. Contingency Fee Agreement

If you hire the lawyer, you’ll sign a contingency fee agreement. This agreement outlines the payment arrangement terms, including the percentage of the settlement or award that the lawyer will receive.

3. Case Resolution

The lawyer will work on your case, negotiating with insurance companies, gathering evidence, and advocating. If the case settles or goes to trial, the lawyer will receive a percentage of the award or settlement.

Additional Costs and Expenses

While contingency fees cover the attorney’s payment, other costs associated with your case may still apply. These include:

• Court Filing Fees: Charges for filing your case with the court.

• Expert Witness Fees: Hiring medical, accident reconstruction, or other expert costs.

• Administrative Costs: Charges for document preparation, copying, and postage.

• Investigation Expenses: Costs associated with gathering evidence or conducting surveillance.

It’s important to discuss these expenses upfront with your attorney. In many cases, attorneys will cover these costs initially and deduct them from the settlement after their fee is calculated.

Benefits of a Contingency Fee

Contingency fee arrangements offer several advantages for personal injury victims:

No Upfront Costs

A contingency fee arrangement eliminates the financial barrier of hiring an attorney, allowing victims to focus on recovery rather than legal expenses. This means you can seek justice without worrying about paying hourly rates or retainer fees.

Motivated Representation

Attorneys are directly incentivized to win the case since their payment depends on securing compensation for you. This motivation ensures your lawyer will work diligently to build a strong case and negotiate the best possible settlement.

Access to Quality Legal Services

Individuals with limited financial resources can hire experienced attorneys, ensuring a fair chance against insurance companies and corporations. Contingency fees level the playing field, providing access to top-notch legal representation.

Risk-Free Commitment

If your attorney doesn’t win the case, you don’t owe them a fee, making this a low-risk option for pursuing justice. This arrangement allows you to seek compensation without worrying about accumulating debt or financial obligations.

Consult with an Attorney

If you’ve been injured in New Jersey and are considering legal action, consulting with an experienced personal injury attorney is essential. They can explain the contingency fee structure, assess your case’s viability, and guide you through the legal process.

At Rosengard Law Group, we’re committed to helping personal injury victims confidently deal with the legal system. Our experienced attorneys work on a contingency fee basis, ensuring you can access top-tier representation without financial stress.

Here’s why you should choose us:

• Free Initial Consultations: Get a thorough case evaluation at no cost.
  
• Proven Track Record: Our team has recovered millions for personal injury victims in New Jersey.
  
• No Hidden Fees: We provide clear, upfront information about our fee structure.

Don’t let financial concerns prevent you from seeking the justice you deserve. Contact Rosengard Law Group today at (856) 284-6446 to schedule a consultation.