Legal Question in Medical Malpractice in Pennsylvania
If I sign a consignment fee agreement with 1 lawyer at a 40 % fee, and the lawyer brings in a second firm in to handle the major portion of the case (because the 2nd firm specializes in my type of case) will I have to sign a second consignment fee agreement with the 2nd firm at another 40% therby decreasing my overall take to 20%, or is the second firm supposed to split the original 40% with the first law firm?
1 Answer from Attorneys
What is a consignment agreement?
Lawyers and clients don't sign "consignment" agreements. It seems to me that if you signed an agreement with firm A and they bring in firm B, then firm A and B must split any legal fees based on the percentage of work done by each firm in contributing to a verdict or settlement. Thus, if firm A does most of the work, then they ought to be entitled to most of the 40%; likewise if firm B does most of the work then they would be entitled to a larger share of the 40%.
Your share of the recovery should not be reduced below 60%. However, read your fee agreement carefully and if you are not sure then contact firm A and have them explain it to you and what will happen if firm B takes over.