New Mexico Contract to Employ Attorney on a Contingent Fee Basis

• Category: Contracts - Attorney
• State: Multi-State
• Control #: US-0993BG
• Format: Word; Rich Text

Description

Contingency fees are an arrangement for payment for an attorney's services, in which the attorney is paid out of the recovery awarded to the client. Contingency fees are usually between a fourth and a third of the amount awarded. If the client doesn't recover, no fee is owed. Contingent fees are commonly arranged in personal injury cases and may allow persons to hire a lawyer when they could otherwise not afford to pay hourly rates. In some states the percentage (or the maximum percentage) that a lawyer may charge by way of a contingency fee is set by law. Contingent fees are not allowed in criminal matters and rarely permitted in family law cases. They are also referred to as contingent fees. New Mexico Contract to Employ Attorney on a Contingent Fee Basis: Explained In New Mexico, a contract to employ an attorney on a contingent fee basis refers to an agreement between a client and an attorney, where the attorney's fee is dependent on the successful outcome of the case. This type of arrangement is commonly used in personal injury, wrongful death, product liability, and other civil cases. When entering into a contract to employ an attorney on a contingent fee basis, it is essential to understand the terms and conditions of the agreement. Here are some important factors to consider: 1. Contingent Fee Arrangement: In this type of arrangement, the attorney agrees to represent the client without charging any upfront fees or costs. Instead, the attorney's fee is contingent upon winning the case or obtaining a favorable settlement on behalf of the client. If the case is unsuccessful, the attorney does not receive payment. 2. Percentage of Recovery: Typically, the attorney's fee is calculated as a percentage of the total recovery obtained in the case. This percentage can vary but is often around 30% to 40% of the total amount recovered. The specifics of the fee percentage should be clearly outlined in the contract. 3. Costs and Expenses: While the attorney's fee is contingent, the client is still responsible for covering certain expenses and costs associated with the legal proceedings. These expenses may include court filing fees, expert witness fees, deposition costs, and other litigation expenses. The contract should specify which party is responsible for paying these expenses. 4. Scope of Representation: The contract should clearly outline the scope of representation and the specific legal services that the attorney will provide. This may include gathering evidence, conducting legal research, negotiating settlements, preparing pleadings, and representing the client in court. It is crucial to have a thorough understanding of what the attorney's responsibilities will be throughout the case. 5. Case Termination: The contract should specify the circumstances under which either party can terminate the agreement. This may include non-payment of expenses by the client, failure to cooperate, or if it becomes clear that the case lacks merit. It is important to have a clear understanding of the conditions for termination before entering into the contract. Different Types of New Mexico Contracts to Employ Attorneys on a Contingent Fee Basis: 1. Personal Injury Cases: These contracts are common in personal injury lawsuits, where individuals seek compensation for injuries sustained due to negligence or wrongdoing of another party. Attorneys representing personal injury clients often work on a contingent fee basis, allowing access to legal representation without upfront costs. 2. Product Liability Cases: In cases involving defective products causing harm, clients may employ attorneys on a contingent fee basis to seek compensation from manufacturers or distributors. 3. Wrongful Death Cases: When someone's death occurs due to the actions of another party, such as in a car accident or medical malpractice, attorneys can be retained on a contingent fee basis to pursue a wrongful death claim on behalf of the deceased person's family. 4. Employment Discrimination Cases: Attorneys handling employment discrimination lawsuits, such as those involving discrimination based on race, gender, or disability, may work on a contingent fee basis, enabling individuals to seek justice without significant financial burden. In conclusion, a New Mexico Contract to Employ Attorney on a Contingent Fee Basis allows clients who may not have the means to pay upfront legal fees to access legal representation. These contracts offer an opportunity for individuals to pursue their rights and seek compensation without immediate financial implications.

New Mexico Contract to Employ Attorney on a Contingent Fee Basis: Explained In New Mexico, a contract to employ an attorney on a contingent fee basis refers to an agreement between a client and an attorney, where the attorney's fee is dependent on the successful outcome of the case. This type of arrangement is commonly used in personal injury, wrongful death, product liability, and other civil cases. When entering into a contract to employ an attorney on a contingent fee basis, it is essential to understand the terms and conditions of the agreement. Here are some important factors to consider: 1. Contingent Fee Arrangement: In this type of arrangement, the attorney agrees to represent the client without charging any upfront fees or costs. Instead, the attorney's fee is contingent upon winning the case or obtaining a favorable settlement on behalf of the client. If the case is unsuccessful, the attorney does not receive payment. 2. Percentage of Recovery: Typically, the attorney's fee is calculated as a percentage of the total recovery obtained in the case. This percentage can vary but is often around 30% to 40% of the total amount recovered. The specifics of the fee percentage should be clearly outlined in the contract. 3. Costs and Expenses: While the attorney's fee is contingent, the client is still responsible for covering certain expenses and costs associated with the legal proceedings. These expenses may include court filing fees, expert witness fees, deposition costs, and other litigation expenses. The contract should specify which party is responsible for paying these expenses. 4. Scope of Representation: The contract should clearly outline the scope of representation and the specific legal services that the attorney will provide. This may include gathering evidence, conducting legal research, negotiating settlements, preparing pleadings, and representing the client in court. It is crucial to have a thorough understanding of what the attorney's responsibilities will be throughout the case. 5. Case Termination: The contract should specify the circumstances under which either party can terminate the agreement. This may include non-payment of expenses by the client, failure to cooperate, or if it becomes clear that the case lacks merit. It is important to have a clear understanding of the conditions for termination before entering into the contract. Different Types of New Mexico Contracts to Employ Attorneys on a Contingent Fee Basis: 1. Personal Injury Cases: These contracts are common in personal injury lawsuits, where individuals seek compensation for injuries sustained due to negligence or wrongdoing of another party. Attorneys representing personal injury clients often work on a contingent fee basis, allowing access to legal representation without upfront costs. 2. Product Liability Cases: In cases involving defective products causing harm, clients may employ attorneys on a contingent fee basis to seek compensation from manufacturers or distributors. 3. Wrongful Death Cases: When someone's death occurs due to the actions of another party, such as in a car accident or medical malpractice, attorneys can be retained on a contingent fee basis to pursue a wrongful death claim on behalf of the deceased person's family. 4. Employment Discrimination Cases: Attorneys handling employment discrimination lawsuits, such as those involving discrimination based on race, gender, or disability, may work on a contingent fee basis, enabling individuals to seek justice without significant financial burden. In conclusion, a New Mexico Contract to Employ Attorney on a Contingent Fee Basis allows clients who may not have the means to pay upfront legal fees to access legal representation. These contracts offer an opportunity for individuals to pursue their rights and seek compensation without immediate financial implications.