Cost of hiring an attorney: consumer lawyers vs. regular lawyers

In response to Nick’s post in which he asked why people do not call a lawyer, several responded that the cost of hiring an attorney was prohibitive.

Let me say this loud and clear: Most consumer lawyers will not charge you for a consultation. Further, most will not charge you for their services unless they win or settle the case in your favor, and then they will take their fee out of the settlement or award, not your pocket.

Lawyers charge in one of three ways: (1) hourly, (2) flat, or (3) contingency. (More on my own fee structures.) An hourly fee is probably the most common, meaning an attorney will charge you an hourly rate for the work they do. Pretty much anyone who has dealt with a divorce or other family law matter probably experienced an hourly fee structure.

A flat-fee structure is the next-most common. It is often used by criminal defense attorneys, who can reliably predict the amount of time and effort it will take to challenge a DWI, for example. I charge a flat fee for debt collection defense cases because there is no potential award that would allow a contingent fee.

A contingent-fee structure is common in consumer law and personal injury. A contingent fee means that the lawyer will be paid only if he or she wins. Contingent fees in personal injury cases are usually a percentage of the total. But most consumer protection laws give a successful plaintiff (the consumer) the right to collect attorney fees, so this usually becomes the measure of the contingent fee (this depends on how the case is resolved, since there may be no separate attorney fee in the event of settlement, for example).

If you think you have a case, please contact a consumer lawyer. Call one of the authors of this blog or look up a consumer lawyer on NACA.