When someone is thinking about hiring a lawyer, one of the first questions they ask is, “How do attorney fees work?” Legal fees typically vary depending on the type of case, the lawyer’s level of experience, and how much work the case requires. It is important to know what to expect before you sign any agreement.
It’s also important to understand that higher attorney fees don’t always mean better results. Many large, out-of-state or “big city” firms charge higher percentages to support extensive overhead that doesn’t directly improve your case. As a local, Kentucky-based firm, we focus on delivering personalized representation and strong results without passing unnecessary costs on to our clients. Our priority is investing in your case.
An Overview of the Types of Attorney Fees
Lawyers can charge for legal representation in several ways, and the correct arrangement depends on the type of legal issue you are facing. Some examples of the most common attorney fee structures include:
- Hourly rates – Under an hourly fee agreement, your lawyer bills you for the amount of time spent working on your case. Hourly rates are common in divorce cases and business matters, where it is hard to predict how long the work will take.
- Flat fees – A single agreed-upon amount covers the entire job. Flat fees are often used for simpler legal tasks, like drafting a will, conducting a real estate closing, or preparing basic contracts.
- Contingency fees – The lawyer gets paid only if you recover a judgment or reach a settlement. Contingency fees are the typical arrangement in personal injury cases, as well as workers’ compensation and Social Security Disability (SSD) claims. Under Kentucky law, contingency agreements must be in writing and specify the fee percentage before the lawyer begins work.
- Retainers – Retainer fees are an advance payment that the lawyer draws from as they complete their work. Retainers are typically used in legal matters where you need ongoing help.
Each structure for handling legal costs has benefits and drawbacks. Contingency fees, for instance, allow you to pursue your case without upfront costs, while hourly or flat fees may work better for shorter or more predictable matters.
Additional Fees to Consider
Even with a clear fee structure, your case may involve other expenses not covered under the lawyer’s fee. These are usually out-of-pocket costs paid on your behalf. Common examples include:
- Court filing fees
- Costs for obtaining medical or police records
- Expert witness fees and investigator fees
- Process server and messenger fees
- Court reporter and deposition expenses
- Postage, copies, and travel expenses
Some lawyers ask clients to pay these costs as they come up. Others pay for the costs in advance and deduct the total from the final recovery. You should clarify this before you sign an agreement, so there are no surprises later.
If your case involves litigation, the costs can vary widely. The more evidence, testimony, expert witnesses, and court time are needed, the higher the costs. Ask for an estimate of likely expenses before signing your agreement.
Why a Written Agreement Is Crucial
A written fee agreement protects both you and your lawyer. Contingency fee arrangements should be in writing, signed by the client, and explain exactly how the lawyer will calculate their fee. Even when the fee is not contingent, a written contract is still essential.
Here is why it matters:
- It defines what services the lawyer will provide to you and when.
- It outlines how fees and additional costs will be calculated – and how and when you will pay them.
- It helps prevent misunderstandings or disputes during or after your case is resolved.
Before you sign anything, review the agreement carefully. Ask questions about anything that is not clear. A good lawyer should be transparent. They will take the time to answer all your questions and explain what to expect.
How Our Law Firm Handles Fee Arrangements
When an attorney from Morgan, Collins, Yeast & Salyer takes your personal injury case, you do not pay us anything up front for our legal services. We represent clients on a contingency fee basis. You pay only if we recover compensation for you. Here is how it works:
- You get a free consultation so we can evaluate your case.
- If we take your case, you will sign a written contingency agreement outlining the fee percentage and how we will handle your court costs and other expenses.
- We advance the costs needed to build your case.
- You pay nothing unless your case is successful.
If you have been injured in Kentucky and want to better understand your legal options, reach out to Morgan, Collins, Yeast & Salyer to get started with a free consultation.