
It is a commonly held belief that lawyers require you to pay substantial fees upfront, and in some practice areas, which is true, but just about all personal injury attorneys work on a contingency basis, which means that you pay absolutely nothing upfront. Only if they win your case is your lawyer entitled to a percentage of the funds you receive; if you do not receive a settlement, you do not have to pay anything.
It is important to note here that lawyers who work on contingency are generally very picky about the clients they take on, as working on contingency means that a firm pours time, money, and effort into a case with no guarantee of payment. To minimize the risk of walking away with nothing, these lawyers will generally only select cases that they are confident they will win.
Before starting a working relationship with you, a lawyer will ask you to sign a contract. The contract outlines the terms of working with them, which will include the maximum contingency fee the lawyer can take from your winnings.
Contingency fees are capped by New Jersey law. These are the percentages your lawyer may take if you win the case:
- If you are awarded $750,000 or less: 33.33% of the recovered amount
- If you are awarded more than $750,000 but no more than $1,500,000: 33.33% of the first $750,000 plus 30% of the rest
- If you are awarded more than $1,500,000 but no more than $2,250,000: 33.33% of the first $750,000, 30% of the next $750,000, and 25% of the rest
- If you are awarded more than $2,250,000 but no more than $3,000,000: 33.33% of the first $750,000, 30% of the next $750,000, 25% of the following $750,000, and 20% on the next $750,000
If you are awarded any more, special terms apply when it comes to setting a fee for the remainder.
In any case, some people might see those numbers and hesitate, thinking they can save themselves the attorney’s fees and represent themselves, but that is not a good idea, mainly because insurance companies have excellent legal representation. Having a fighting chance against them means you should have quality representation, too.
In other words, if you choose to represent yourself throughout a personal injury claim in New Brunswick, you will not owe an attorney fee — but you likely will not be awarded a settlement, either.