Short answer: Nothing up front. Personal injury lawyers work on contingency, which means the fee is a percentage of what they recover for you. The industry standard is roughly one third of the recovery if the case settles before a lawsuit is filed, and around 40 percent if suit is filed and the case moves toward trial. If there is no recovery, there is no fee.
The part that deserves your attention is not the percentage. It is how case expenses are handled, how the fee is calculated, and what happens to your medical bills, because those three things determine what you actually take home.
How a contingency fee works
You pay no hourly rate, no retainer, and no monthly bill. The firm takes the financial risk of the case. If the case is won or settled, the fee comes out of the recovery. If it is lost, the fee is zero.
Typical structure:
- Before a lawsuit is filed: about 33 and 1/3 percent
- After a lawsuit is filed, or after a set trigger such as the defendant’s answer: commonly 40 percent
- On appeal: some agreements add a higher tier
The step up exists because filing suit changes the economics. Depositions, expert witnesses, accident reconstruction, and trial preparation cost real money and consume enormous attorney time. A case that settles from a demand letter costs a fraction of a case that gets tried.
Neither Georgia, Tennessee, nor Mississippi imposes a general statutory percentage cap on personal injury contingency fees. The constraint is the professional conduct rule requiring that fees be reasonable, and the requirement that the agreement be in writing and signed by you.
Case expenses are a separate line item
This is where clients get surprised. The attorney’s fee and the case expenses are two different things.
Expenses a firm advances in a serious case can include:
- Court filing fees and service of process
- Court reporter and videographer fees for depositions
- Medical record and billing retrieval charges
- Expert witness fees, which in a catastrophic case can run into six figures
- Accident reconstruction and event data recorder downloads
- Private investigators and scene photography
- Trial exhibits, animations, and focus groups
- Mediation fees
Ethics rules permit a law firm to advance these costs and to make repayment contingent on the outcome. Most personal injury firms front every dollar. What varies is what happens if you lose: some agreements make the client responsible for expenses regardless of outcome, and others do not. That has to be disclosed to you in writing up front. Read that paragraph and ask about it directly.
The order of the math changes your net
Whether the fee is calculated on the gross recovery or after expenses are deducted makes a real difference. Same case, same percentage, different result:
A $100,000 settlement with a 33 and 1/3 percent fee and $10,000 in expenses
- Fee calculated on the gross: $33,333 fee, $10,000 expenses, you net $56,667
- Expenses deducted first, then the fee: $30,000 fee, $10,000 expenses, you net $60,000
Both are lawful and both are common. Your written fee agreement has to state which method applies. Ask, in plain language, “Is your fee calculated before or after expenses come out?” A firm that will not answer that clearly is telling you something.
Medical bills and liens come out too
The third deduction is often the largest and the least understood. Your health insurer, Medicare, Medicaid, a hospital lien, or a workers’ compensation carrier may have a right to be reimbursed out of your settlement for what they paid on your behalf.
Reducing those liens is skilled work and it goes directly into your pocket. A negotiated $30,000 reduction in a hospital lien is worth exactly as much to you as $30,000 more in settlement, and it is often far easier to get. When you are comparing firms, ask how they handle lien resolution. It is a better question than asking about the percentage.
At the end, you should receive a written settlement statement showing the gross recovery, the fee, an itemized list of expenses, every lien paid, and your net. That statement is required, not a courtesy.
What you pay if you lose
No attorney’s fee. That is the definition of a contingency arrangement, and it is why the initial case evaluation is genuinely free rather than free in the way a car dealership’s coffee is free.
Whether you owe advanced expenses on a loss depends on the agreement. Confirm it before signing.
One Georgia change worth flagging
Georgia’s 2025 tort reform amended O.C.G.A. 9-15-16 so that a contingency fee agreement, standing alone, is no longer evidence of the reasonableness of a statutory attorney’s fee award, and so that fees and costs may be recovered only once per action rather than stacked under multiple statutes. This affects how fees are recovered from a defendant in certain cases. It does not change what you and your lawyer agree to.
What “free consultation” should mean
A real free consultation is a lawyer who reviews your facts, tells you whether you have a case, and tells you honestly when you do not. It is not a screening call designed to sign anyone who answers the phone.
Howe.Law reviews injury cases in Georgia, Tennessee, and Mississippi at no cost. There is no fee unless we recover money for you. Call (844) 876-4357 or request a free case review.
Frequently Asked Questions
Is the contingency percentage negotiable?
Sometimes. Percentages tend to be more flexible on very large, clear liability cases and less flexible on smaller or heavily contested ones, because the economics differ. It is a fair question to ask, and the answer should be given straight rather than treated as an insult.
Do I owe anything if the firm turns down my case?
No. A consultation and case review carries no charge and no obligation. If a firm declines your case, ask why, and ask whether there is a deadline you need to protect while you look elsewhere.
What happens to my case if I fire my lawyer and hire another?
The first firm may assert a lien for the value of the work performed and expenses advanced. The two firms usually resolve the split between themselves out of the eventual recovery rather than charging you twice. Your total fee should not increase because you changed lawyers.
Why do lawyers charge more after a lawsuit is filed?
Because the cost and the risk both jump. Litigation means depositions, expert witnesses, motion practice, and potentially a trial, and the firm advances all of it while carrying the risk of a defense verdict. The tiered percentage prices that difference.
Should I just settle with the insurance company myself and keep the whole amount?
Sometimes that makes sense for a minor property damage claim with no injury. For anything involving significant medical treatment, it usually does not, because the unrepresented settlement number is set by the insurer with no downside risk. Get a free evaluation and compare the offer on the table against what a lawyer says the claim is worth.
This article is general information about how contingency fee arrangements typically work. It is not legal advice, and terms vary by firm and by case. Read your fee agreement and ask questions before you sign.
