Fees :: Net vs. Gross Recovery

law-booksMy fees are ⅓ (one-third) of a client’s net recovery (costs are additional). This is different than most personal injury attorneys. Most lawyers charge ⅓ of a gross recovery.

The following example illustrates the potentially larger sum of money that a client receives when an attorney calculates fees on a net settlement. Assume you settle your case for $25,000 including all medical expenses, and you have $6,000 in medical expenses and $1,000 in costs. Under the gross recovery formula, these medical expenses and costs are deducted from the settlement amount after calculating any attorney fees. The attorney fees would be ⅓ of $25,000 or $8,333. After deducting the attorney fees, medical bills, and costs, you would receive $9,667.

However, in our method of fee structuring, the medical expenses and cost are deducted from the settlement amount before calculating any attorney fees. Using this net recovery formula, the attorney fees would be ⅓ of $18,000, or $6,000. You would receive $12,000, or almost 20% more than with the typical attorney’s gross recovery formula.

It is my philosophy to put as much money in my client’s pockets as possible. My strength is in creating value for your general damages.

 

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