Contingency Business Litigation
Legal disputes are common in the business world. Chances are that your company has had to hire outside counsel at least a few times, maybe many times, and you understand the value of a trusted law firm to regularly handle these matters efficiently and professionally. From nascent disputes to full-fledged litigation, an established relationship with a dedicated and trustworthy law firm is essential to efficiently and successfully resolving business litigation issues and other disputes involving the company.
With extensive experience pursuing claims and advocating for clients, our Feller & Wendt lawyers have the knowledge and resources to represent your company effectively and achieve your goals when others have breached their contractual obligations or failed to deliver on their promises. When you work closely with a group of dependable lawyers, you can feel confident that we will always put your company’s interests first and tirelessly advocate for dispute resolutions that best serve those interests.
What Is a Contingency Fee?
While some businesses may pay their lawyers an hourly rate, another common way is to pay by contingency. A contingency fee is where an organization pays a lawyer based on a percentage of the amount recovered for the client at the end of the case. For organizations, this means that it won’t cost you any money to learn about your legal rights and options for pursuing potential claims . Some advantages of the contingency fee may include:
- No upfront fees: The primary benefit of a contingency fee arrangement is that you won’t have to pay legal bills throughout your case process. For small businesses or those not in place to pay immediate legal bills, this option can help you gain reliable legal representation without hefty upfront fees.
- Motivated lawyers: You can trust that your lawyers will do what it takes to maximize your opportunity for a successful resolution. The contingent fee arrangement aligns your lawyers’ incentives with your incentives by ensuring that a win for you is a win for them too.
- No attorney fees: If your dispute is not resolved, you don’t need to fear attorney fees. There may still be administrative expenses for some services, so make sure to discuss this with your lawyer to prepare for all outcomes.
If your case does not result in a favorable outcome, you won’t owe the lawyer any legal fees. We call this our risk-free guarantee. Businesses feel more secure retaining counsel on a contingency fee basis because they only need to pay if they obtain a recovery from their case.
How Does a Contingency Fee Work with Business Litigation?
There are multiple variations of a contingency fee, but most clarify that you don’t need to pay until the lawyers recover and resolve the dispute. When the dispute is resolved, a percentage of the recovered monies will go to the lawyers for their time and efforts. Most often, the percentage paid to counsel is around 1/3 or 33.33% of the recovery if a case settles and 40%-50% if a complaint needs to be filed to begin the litigation process. However, the percentages can depend on other factors, some of which include:
The more complex a case is, the more likelihood there is of higher risks that significantly impact the percentage necessary to compensate your lawyer for pursuing your claims. Your lawyer should thoroughly investigate and seek information about your case before filing suit, in order to inform you of the risks and the percentage of compensation they will request.
As your lawyer goes through the investigative process and studies your case, they’ll encounter costs for the time they spend researching the case. Some examples of litigation costs are court and filing fees, overhead and incidentals, expert fees and other discovery costs.
Time Spent on the Case
Lawyers are regular people with expenses and mortgages, just like everyone else. The time they spend on your case is their job, and a case with a longer anticipated duration will usually merit a higher percentage of compensation to the lawyer.
More experienced lawyers tend to have knowledge and resources that less experienced lawyers may not have. When you’re hiring a lawyer with a lot of experience and connections, you are not just paying for their services but also for their extensive network.
When discussing the possibility of a contingency business litigation fee with your lawyer, get precise details regarding all of the above factors. These can help inform you regarding the risks, potential outcomes, chances of successful recovery, and associated contingent fees and litigation expenses.
Do I Need to Hire an Experienced Attorney?
When you work with a reliable business litigation attorney, you can trust that they’ll provide you with the best possible resources for your case. Having someone by your side in times of conflict can help you and your organization feel confident and prepared for all phases of the dispute resolution process. The following are a few of the many ways an experienced attorney may be able to help your organization:
- Answer questions about your legal disputes
- Review legal documents and contracts
- Analyze potential legal issues and claims
- Conduct a fair pre-suit investigation and assess risks
- Discuss claims and settlement offers
- Recommend whether to pursue litigation of unresolved disputes
If your company is involved in a dispute with a business partner, competitor, vendor, or customer, you may be wondering whether you can or should retain counsel at an hourly rate to analyze potential claims and seek to resolve the matter. A contingent fee arrangement offers an alternative that allows you to take action without incurring potentially expensive legal bills up front. This can be an effective and efficient way to ensure you protect your company’s rights, without unnecessary legal fees.
Our Contingency Business Litigation Team
Choose Feller & Wendt as Your Business Litigation Attorney
Our Feller & Wendt lawyers understand that disputes within business litigation can come with complex and intricate processes. Your company is essential and making sure you have dependable legal representation that you can rely on is a crucial part of business success. Our compassionate team is experienced in working with businesses across the state and can help deliver you the results you need. Our award-winning firm is available 24 hours a day, seven days a week, to answer your questions.
Call (801) 499-5060 or fill out our contact form to schedule a free consultation with one of our dedicated attorneys.