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Our Fee Structure
In
New York State, fees are regulated by statutes and court rules to
ensure that clients are not exploited by the occasional unscrupulous
attorney. In the area of personal injury law, fees are usually based
on a percentage of the net
recovery, after the expenses of prosecuting the claim are deducted.
The fee is usually one third (33-1/3%) of the net, but is less in
medical malpractice cases, which are based on a sliding scale
ranging downward from 30% to 10%, based on the size of the award.
The
net recovery is what is left
after expenses (also called disbursements)
directly related to your representation. Examples of these are court
filing fees, process serving, obtaining copies of medical records,
subpoenae, and the costs of consulting with experts. In addition, if
the case goes to trial, there are additional expenses, the largest
of which are the hourly charges of expert witnesses. For different
kinds of cases, there may be other types of expense.
After
the disbursements are deducted, you receive two-thirds of the
net, and Mr. Miller collects a fee of one-third (except in medical
malpractice cases). You should be aware, however, that sometimes
there are liens or insurance
subrogation rights against your share of the net.
Examples of this are where your health insurer has paid your bills,
and has a right to be reimbursed; where your workers compensation or
disability carrier has paid lost wages and/or medical treatment
expenses; or where Medicare or Medicaid has stepped in. Mr. Miller
has extensive experience in this area, and is often successful in
negotiating a reduction of your repayment. In other cases, he fights
to recover additional awards from the negligent party for lost
income or medical expense on behalf of the lien holder. When you
retain him, any foreseeable lien or subrogation issues will be
explained before you sign the representation agreement.
The
court rules and Canons of Ethics do not permit a personal injury
lawyer to agree in advance to absorb losses arising from a failure
to recover against the other party. When you sign a retainer
agreement, it must be understood that litigation or claims-related
expenses are the ultimate responsibility of the client. Even if the
lawyer advances money to pay expenses, the client is deemed by the
courts to be responsible for their eventual payment in the event of
loss. Because of these rules, particular care must be taken by your
attorney to properly evaluate
the merits of your case.
Many
people think that a different percentage should apply where the
lawyer does less work. While this seems fair on the surface, it
should be borne in mind that it is often the skill and reputation of
the attorney which gets to the bottom line with insurance companies.
The traditional one-third contingency fee allows attorneys like Mr.
Miller to represent clients who otherwise could not
afford to pay on an hourly basis, and to take cases where
a good result is likely, but not guaranteed. Most trial lawyers take
the good with the bad, and assume higher risks of losing than
"personal injury mills" which only want the sure bets with
big payoffs. Smaller cases often take as much work as those with
huge verdict potential. The contingency fee system allows Mr. Miller
to represent deserving clients with lesser injuries.
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