3 Funding Options for Personal Injury Cases: What Is the Most Suitable One for Your Needs?
WorldExecutivesDigest.com | 3 Funding Options for Personal Injury Cases: What Is the Most Suitable One for Your Needs? | Whether someone is the plaintiff or the defendant, a personal injury lawyer is needed to handle personal injury cases. However, lawyers can be expensive, so before hiring one, it is a good idea to think about all of the fees that may be involved as well as what the different funding options are. This gives the client the chance to figure out what’s going to work better for their financial situation as well as to find out if there is an option that they can choose if they don’t have the funds to pay for a lawyer right now.
Understanding and Choosing Funding Options
There are a few main funding options when someone is looking for a personal injury lawyer. Those who represent the plaintiff, like Pines Salomon Injury Lawyers, will often work on a contingency basis. However, there are other options if the client does not like this option or would prefer to pay a different way. To choose the right funding option, look into the options below or contact a lawyer and learn about the different funding options they accept when handling cases.
Option 1: Contingency
Contingency is the most common way for personal injury cases to be handled. When a case is handled on a contingency basis, the client doesn’t pay anything upfront. Instead, the lawyer will track all fees associated with the case and the total amount due will be paid out of the settlement or money awarded if the case goes to court. Most of the time, if the case is not won or a settlement is not received, the client doesn’t owe anything to the lawyer. Choosing to fund on a contingency basis is often preferred by clients because they don’t need cash in hand to hire the lawyer for their case.
Option 2: Pay a Retainer
Another funding option is to pay a retainer. Fees for the case are taken out of the retainer as needed until the case is completed. This does mean the client will need a large amount of funds upfront, but it also means that very little, if any, of the settlement amount will be used to cover the legal fees. This could mean the client ends up with more money when they do receive a settlement, which can be used for their care for any ongoing medical or financial issues resulting from the injury. The amount of the retainer does depend on the agreement between the lawyer and client and may be depleted quickly so the client may need to pay an additional retainer later on.
Option 3: Pay as You Go
Another option is for clients to pay as they go. They might have the lawyer write a letter or two and just pay those billable hours for the beginning, then pay court costs or other legal fees and pay the lawyer hourly if the case progresses. This can cut down the upfront cost, but clients might find they’re frequently needing to pay more money for the case, so it’s not generally a good option for this type of case.
If you’ve been injured and could be entitled to money for your injuries, you do have options to help fund the case and ensure you can get the settlement you need. Talk to a lawyer today about the different funding options to learn more.