Business litigation on the traditional hourly fee model is oftentimes expensive and downright cost-prohibitive for many individuals and small businesses. Mindful of the costs, risks, and potential rewards of business litigation, our firm offers three different fee models to prosecute claims on behalf of a plaintiff, or, occasionally, on behalf of a defendant who has a counterclaim much larger than the plaintiff’s claim.
Most of our cases are handled on the traditional hourly fee model, with efforts made to proceed as efficiently as possible. The hourly model works out best for clients when the litigation is relatively short-lived or when the amount in controversy is large and the client can afford to pay fees as the litigation progresses.
At the other end of the spectrum, for well-qualified cases in which the claim is strong, the amount in controversy is sufficiently large, and the prospects for collecting a settlement or judgment are good, we are sometimes able to handle such cases on a pure contingent fee. In such cases, the Firm is paid a portion or percentage of the total recovery obtained for the client. For certain cases, the Firm will also front or advance the hard costs associated with the case (i.e. expert fees, filing fees, etc.). The contingent fee arrangement is best suited for clients who have strong claims but cannot bear the brunt of monthly fees, or for clients who expect that a case will “go the distance” and cannot pay the attorney’s fees along the way.
Hybrid Fee Model
In between those extremes, we handle cases on a hybrid fee model, which is often the best of both worlds for clients who are able to pay some fees and aren’t at all sure how much litigation will be required (which is common). Essentially, we offer the mixture of a heavily discounted hourly fee and a significantly decreased contingent fee. In other words, the client will pay attorney’s fees as the case progresses but will pay significantly reduced hourly rates for work performed. In exchange, the Firm receives a discounted contingent fee upon a recovery being obtained for the client.
Additionally, the Firm may offer different contingent fee percentages at certain milestones in the case. For example, the Firm may offer a reduced contingent fee if the case resolves prior to the initiation of litigation or if it resolves at an early point in the litigation. This mitigates the risk to both the attorney and the client of a quick settlement (or dismissal), on the one hand, and a long, contentious case, on the other hand.
A contingent or hybrid fee model may be right for your case. Please call us to discuss these options for your case!
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