Let’s be honest – when you’re dealing with the aftermath of a car accident, the last thing you want to worry about is whether you can afford a lawyer. You’re probably already stressed about medical bills, car repairs, and maybe even missing work. So when someone mentions “contingency fees,” you might just groan and think, “Great, another confusing legal term I need to figure out.”
But here’s the cool part: contingency fees are actually designed to help you, not confuse you. I’ll totally admit, though, the way some lawyers explain them can make your head spin. So, let’s ditch all the fancy legal talk and just chat about what Denver car accident lawyers really charge. Because you absolutely deserve to know exactly what you’re getting into, no surprises.
What’s a Contingency Fee, Really?
Think of a contingency fee like this: your lawyer is basically saying, “I believe in your case so much that I’m willing to work for free unless I win money for you.” It’s kind of like having a friend who’s so confident they can help you out that they’ll only accept payment if they actually succeed. Pretty neat, right?
The way it works is super straightforward. Instead of paying your lawyer by the hour (which, let’s face it, can get expensive incredibly fast), you agree that if they win your case, they’ll take a percentage of whatever money you receive. If they don’t win? You don’t owe them a dime for their time. That’s a huge relief when you’re already stretched thin.
I’ve heard people compare it to a real estate agent’s commission, and that’s actually a pretty good way to look at it. Just like a realtor only gets paid when your house sells, a contingency fee lawyer only gets paid when they get you money. Simple as that.
The Real Numbers: What Denver Lawyers Actually Charge
Alright, let’s get down to the percentages because that’s what you’re really curious about, right?
In Denver, most car accident lawyers charge between 33% and 40% of your settlement or court award. I know, I know, that might sound like a lot at first glance, but hang with me here.
The most common rate I see is 33% for cases that settle out of court. So, if your lawyer gets you a $30,000 settlement, they’d receive $10,000, and you’d get $20,000. But here’s where it gets a little more layered – many lawyers use what’s called a “tiered” system.
Here’s how that typically works:
- If your case settles before a lawsuit is even filed: You’re looking at around 30-33%.
- If a lawsuit gets filed but settles before trial: It usually goes up to around 35-37%.
- If your case goes all the way to trial: That can be up to 40%.
Why the difference? Well, it’s pretty simple: the further your case goes, the more work your lawyer has to do. Filing a lawsuit means tons more paperwork, depositions (where people give sworn testimony), possibly needing expert witnesses – you get the picture. And going to trial? That’s a whole different ballgame of time, effort, and resources.
For example, McCormick & Murphy, P.C. handles most personal injury claims on a contingent fee basis. This means attorney fees are only paid if, and when, they actually get you a recovery. If there’s no recovery through settlement or judgment, there’s no fee. That’s the kind of straightforward honesty you want from any lawyer you’re considering.
But Wait, There’s More: Understanding Case Expenses
Here’s one thing that often catches folks off guard – the contingency fee usually doesn’t cover case expenses. I’m talking about things like:
- Fees for getting your medical records
- Costs for police reports
- Hiring expert witnesses (like a doctor to explain your injuries in court)
- Court filing fees
- Costs for depositions (those sworn testimonies)
These expenses can really add up, sometimes to several thousand dollars depending on how complex your case is. Some lawyers will front these costs for you and then take them out of your settlement later. Others might ask you to pay them as they come up.
The absolute key is to ask about this during your very first meeting. A good lawyer will be completely upfront and clear about how they handle expenses. They should give you a written agreement that spells out exactly what you’re responsible for, so there are no surprises down the road.
The Hidden Costs Some Lawyers Don’t Mention
Now, I don’t want to make all lawyers sound shady, because most are truly honest. But there are a few things to keep an eye out for.
Some firms – especially the ones with those flashy TV commercials – might have higher “overhead” costs because of all that advertising. Guess who ends up paying for those Super Bowl ads? Yep, it’s baked into their fees.
I’ve also seen lawyers who charge administrative fees, copying costs, or other little “nickel-and-dime” charges that aren’t clearly explained upfront. That’s exactly why getting everything in writing is so incredibly important.
When Higher Fees Might Actually Be Worth It
Before you automatically go with the lawyer charging the lowest percentage, pause and think about this: would you rather have 70% of a small settlement or 67% of a much, much larger one?
A more experienced lawyer might charge 35% instead of 30%, but if their experience and reputation mean they can get you significantly more money, you could still come out way ahead. It’s about the net amount in your pocket, not just the percentage.
For instance, McCormick & Murphy, P.C. has been around since 1995, with attorneys Kirk McCormick and Jay Murphy bringing over 60 years of combined legal experience. They’ve specialized in personal injury and insurance bad faith cases since 1990. That kind of deep experience often translates to much better results for clients, making that slightly higher percentage a smart investment.
The Free Consultation: Your Chance to Ask the Hard Questions
Most Denver car accident lawyers offer free consultations, and you should absolutely, positively take advantage of this. This is your golden opportunity to ask all the questions that are bouncing around in your head.
Here’s what you should definitely ask about fees:
- What exact percentage do you charge?
- Does that percentage change if the case goes to trial?
- How do you handle case expenses? Do I pay them upfront, or do you advance them?
- Will I get a written fee agreement that spells everything out?
- Are there any other costs I should know about? Like, any at all?
Don’t feel awkward about asking these questions. Any lawyer worth their salt will appreciate that you’re being thorough and responsible. If they seem annoyed or try to dodge your questions about fees, that’s a pretty big red flag. Trust your gut.
How Contingency Fees Actually Protect You
Here’s something people don’t always realize – contingency fees actually give you some pretty solid protection. Since your lawyer only gets paid if you win, they have every single incentive to work incredibly hard on your case and get you the absolute best possible result. Their success is directly tied to yours.
It also means you won’t get hit with surprise bills every month. You know upfront exactly what you’ll owe, and you won’t owe anything unless you actually receive money. That’s a huge financial safety net.
Plus, if you’re dealing with something serious like post-concussion syndrome or navigating life after a collision while dealing with PTSD, the last thing you need is the stress of hourly legal bills piling up while you’re trying to heal. Contingency fees remove that burden.
What Happens to Your Money After a Settlement
Let’s walk through what actually happens when your case settles. Say you get a $50,000 settlement and your lawyer charges 33%.
First, your lawyer takes their fee: $16,500
Then, case expenses get deducted (let’s say $2,500 for this example)
You receive: $31,000
Here’s some good news, though – personal injury settlements are generally not taxable income. So, that $31,000 is typically yours to keep, with no need to report it to the IRS. Nice!
Red Flags to Watch Out For
There are a few warning signs that should make you think twice about hiring a particular lawyer:
- They ask for money upfront: Legitimate contingency fee lawyers shouldn’t need this.
- They won’t give you a written fee agreement: This is non-negotiable. Get it in writing!
- They’re vague about their percentage or how expenses work: If they can’t explain it clearly, run.
- They pressure you to sign something immediately: A good lawyer gives you time to think.
- They guarantee a specific outcome: No honest lawyer can do this. Cases are unpredictable.
Different Types of Cases, Different Fee Structures
Not all car accident cases are the same, and sometimes the fee structure might shift a bit based on your specific situation.
For straightforward cases with clear liability (meaning it’s obvious who was at fault) and good insurance coverage, you might see fees on the lower end of the range. For more complex cases involving multiple parties, disputed liability, or tricky insurance bad faith issues (where your own insurance company isn’t playing fair), lawyers might charge higher percentages. Why? Because these cases involve a lot more work, risk, and specialized knowledge.
The Value Question: Are Lawyers Worth Their Fees?
I totally get it – 33% can seem like a lot of money to hand over. But here’s the reality check: studies consistently show that people who hire lawyers typically receive significantly more money than those who try to handle claims themselves, even after paying attorney fees.
Think about it: insurance companies have entire teams of lawyers working to minimize what they pay you. They know when they’re dealing with an experienced lawyer versus someone representing themselves. They tend to make much more serious offers when a professional advocate is involved.
McCormick & Murphy understands the tough challenges you and your family face after a personal injury. They’re focused on helping you work through the frustrating legal process with personal care and attention, so you can focus on moving forward with your life and recovery, not battling insurance adjusters.
Negotiating Fees: Is It Possible?
Here’s a little secret most people don’t know – contingency fees are sometimes negotiable, especially in certain circumstances.
If you have a really strong case with super clear liability and excellent insurance coverage, some lawyers might be willing to reduce their percentage a little. High-value cases might also be negotiable since the lawyer’s dollar amount will still be substantial even with a slightly lower percentage.
However, don’t expect a huge amount of movement on fees for typical cases. Most lawyers have standard rates they stick to, and there’s usually a good reason for that – it covers their costs, time, and expertise.
What About Payment Plans for Expenses?
If you’re worried about those case expenses, definitely ask whether your lawyer offers payment plans or will advance costs and deduct them from your settlement. Many lawyers are willing to work with clients on this, especially if you’re dealing with financial hardship because of your accident.
Some lawyers will even waive certain small expenses if it helps their client out. It truly never hurts to ask, especially if you’re upfront and honest about your financial situation.
Making Your Decision
When you’re choosing a lawyer, the fee percentage shouldn’t be your only consideration. You want someone with solid experience handling cases just like yours, someone who communicates well and keeps you in the loop, and most importantly, someone you feel comfortable working with and trust.
McCormick & Murphy, P.C. is located right there in Denver at 1547 N Gaylord St UNIT 303, Denver, CO 80206. They’re licensed to practice in Colorado state and federal courts, as well as other courts throughout the United States. Their professional credentials and client reviews really show their experience and commitment to their clients.
Questions You Should Ask Every Lawyer
Before you make your final decision, make sure you’ve asked these key questions:
- What’s your exact contingency fee percentage?
- How do you handle case expenses? Who pays what and when?
- What happens if we don’t win my case? (No fee, right?)
- How often do you actually take cases to trial?
- What’s your specific experience with cases like mine?
- Can you give me references from past clients?
- How will you communicate with me about my case – calls, emails, texts? How often?
The Bottom Line
Contingency fees are genuinely a game-changer because they make legal representation accessible to people who couldn’t otherwise afford it. Yes, 33-40% might seem like a lot, but it’s the cost of having a professional, experienced advocate fighting tooth and nail for your rights and your future.
The key is finding a lawyer who’s totally transparent about their fees, has tons of experience with cases like yours, and is someone you truly trust to fight hard for the best possible outcome.
If you’ve been in a car accident in Denver, please don’t let fee concerns stop you from getting the legal help you might desperately need. Most lawyers offer free consultations, so you can learn about your options without any financial commitment whatsoever.
Remember, insurance companies have entire teams of lawyers working to minimize what they pay you. Shouldn’t you have someone equally experienced fighting for your interests? When you look at it that way, contingency fees start to make a lot more sense, don’t they?
Your recovery and your future are absolutely worth fighting for. And with a contingency fee arrangement, you can get that fight started without worrying about upfront costs. That’s something pretty powerful to consider, don’t you think?
If you want to learn more about your options, you can reach McCormick & Murphy, P.C. at (888)-668-1182. They’ve been helping Denver residents with personal injury cases for nearly three decades, and they’d be happy to explain how their contingency fee structure works for your specific situation.
