Understanding Attorney Fees

Understanding Attorney Fees

Attorneys typically charge for their services in one of three ways: 1) a flat fee, 2) a contingency fee, or 3) an hourly rate.

Flat Fees

Flat fees are often used for straightforward or routine legal matters, such as drafting wills, preparing deeds, forming corporations or LLCs, creating powers of attorney, filing for bankruptcy, or handling certain criminal DUI cases.

Hourly Rates

For hourly billing, attorneys may require an upfront deposit (also known as a retainer) to secure their services. The amount of the deposit depends on factors such as the complexity of the case, the size of the claim, and the anticipated workload. Attorneys bill their time against this deposit, and once it is used up, the client is responsible for covering additional costs as the case progresses.

Contingency Fees

Contingency fees are most common in personal injury and debt collection cases. In this arrangement, the attorney’s fee is a percentage of the recovered amount, paid only if the client’s case is successful. If the claim fails, the attorney receives no payment. This motivates the attorney to work diligently to secure a favorable outcome for the client.

Contingency fees are generally 33⅓% of the gross recovery, or 40% of the gross recovery if a lawsuit is filed. Excluding additional out-of-pocket expenses such as court filing fees, duplication costs, court reporter fees, witness fees, and service of process charges. These expenses are typically the client’s responsibility, though they may be reimbursed if the client wins the case as part of the judgment.

Recovering Attorney Fees

While each party in a lawsuit usually pays their own legal fees, there are exceptions where the prevailing party can have their attorney fees covered by the opposing party. Such exceptions include contract disputes, certain claims against government entities, unjustified lawsuits, cases filed to delay or harass, unreasonable delays, or misuse of the legal discovery process. When applicable, we actively pursue reimbursement of attorney fees for our clients.

Why Choose Us

At Faith Law, there’s no risk in consulting with our legal team. We offer free initial consultations, and you won’t owe attorney fees unless we recover compensation for you.

Serving the West Valley and Beyond

Service to our clients is the sole reason for our existence. We take pride in our courteous and efficient representation of our clients. To learn about our capabilities and how we can help with your needs, call 623-806-8994 or contact us online.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.