Legal Question in Civil Litigation in Ohio
Is this right?
I recently settled a lawsuit from a car accident nearly 4 years ago. The settlement amount was $7000. My lawyer's fees were 25%. I recently learned that my lawyer took his 25% right off the top of the $7000 and then took an additional $1700 for expenses. When I agreed to the settlement, I was NOT aware of the $1700 in expenses. If I had known, I would not have settled for the $7000. I'm not sure if this is just how things go or if something was done wrong. I have attempted to call my lawyer numerous times but he has yet to call me back. Is there anything I can do?
1 Answer from Attorneys
Re: Is this right?
I know of no attorney who would not take fees off the top before subtracting expenses (a fee which, incidentally, is quite reasonable given that many attorneys would not file a lawsuit for less than a 33% fee). The fee is usually determined by the amount of settlement or verdict, not the settlement/verdict less expenses.
Since you had a contingency fee arrangement, which must be in writing, you should have received a copy of the agreement which likely states that you were responsible for expenses. Additionally, while attorneys are permitted to advance (i.e., loan) the costs of litigation, the Rules of Professional Responsibility that govern attorneys in Ohio generally require that the client ultimately be responsible for the payment of litigation expenses.
If you have reason to question the reasonableness of the expenses incurred, then you should request an itemized list and/or receipts. Since your attorney is required to provide you with a copy of your file on request, the attorney should not have a problem providing this information. If medical examinations, treatments and/or depositions were conducted, however, $1700 may be a reasonable amount.