Fee Structure
Personal Injury
The contingency fee system, which is almost universally used in personal injury cases, allows injured persons to seek compensation for their injuries without having to pay out of their own pockets the attorney's fees and costs of pursuing the claim. Instead, contingency fees are paid to the attorney out of any recovery made on a claim. If an attorney makes a recovery for his client, the attorney is entitled to a portion of the recovery for his fees. However, if no recovery is made, then the attorney gets nothing; not even his costs are repaid.
Many law firms charge a contingency fee ranging from 33% to 40% of the total recovery. Typically, the 33% fee is charged if the case settles before suit is filed or a demand for arbitration is made. The 40% fee comes into effect if the client rejects any pre-suit settlement offers and suit is filed.
At Sands White and Sands, we limit our attorney's fees to 25% of any recovery before filing suit and 40% after filing suit or the demand for arbitration. Even these fees, however, are subject to negotiation depending on the circumstances of the case. For example, the trial of a motor vehicle claim typically takes less time and costs less than a medical negligence claim. For this reason, we typically cap our fees in motor vehicle cases at 33%. In dealing with any law firm concerning representation, you should always remember that there is no legal requirement that a lawyer charge a client a set fee or a percentage of money recovered in a case. You have the right to talk with the lawyer about the proposed fee and to bargain about the rate or percentage as in any other contract.
Whatever the percentage charged, the attorney's fee is calculated on the total amount recovered from the at-fault party or his insurance carrier. Next, the costs the attorney incurred in investigating and prosecuting the claim are deducted from the recovery. The balance of the recovery is then paid to the client or on the client's behalf.
Whistleblower Qui Tam
In federal whistleblower qui tam cases, Sands White & Sands' fees will be paid on a contingency fee basis agreed to with the client.
White Collar Criminal Defense & Criminal Tax Defense
If we are retained during the course of a criminal investigation (prior to the filing of formal charges), we typically require an initial nonrefundable retainer that varies depending on the size and complexity of the case. We charge our time against this retainer at an hourly rate and require replenishment of the retainer if and when our time spent on the case exceeds the client's retainer credit balance. Once formal charges have been filed, we typically require a flat fee for representation through the conclusion of the case in the trial court. Case related expenses are billed to the client on an as-needed basis.
