Some Things to Consider BEFORE Hiring a Lawyer
If you, a friend, or a loved one, has been injured and are thinking about hiring a lawyer to file a lawsuit, there are several things to keep in mind before making a decision.
Michigan Lawsuit Abuse Watch is a non-profit organization that began working with victims in 1997. We don’t provide legal advice or recommend specific lawyers, but because of our experience helping victims over the years and the work we have done with respected lawyers around the country, we know about some of the pitfalls of hiring a lawyer and going to court before you become an informed legal consumer.
We think many people are too quick to hire a lawyer. They sign up with the first lawyer willing to take their case and agree to pay a huge contingency, when their case may not need much work, or they may not even need a lawyer at all. People with serious injuries and big potential damages often pay far too much in legal fees, especially when the other party clearly was at fault. You wouldn’t buy a car without researching your options and negotiating your best deal, right? Why not take this same approach to hiring a lawyer? Let’s face it, these decisions aren’t easy, but it’s easy to make mistakes if you’re relying only on ads you see on TV.
Is a lawsuit right for you?
If you have been injured or wronged, you have a number of options for getting the wrongdoer to pay in order to make things right. A lawsuit is one option. Mediation is another.
Mediation
What is “mediation”? Mediation is a voluntary process in which the two parties in a dispute talk through their differences with the help of a professional mediator. The mediator, who is usually a lawyer with plenty of experience managing disputes, is trained in the process to help the parties understand both the strengths and the weaknesses of their positions, to make sure everyone is being realistic about what might happen if the case goes to court. The mediator will meet with the parties together and then meet with them separately, going back and forth between the parties working to narrow their differences. The process is proven to be effective in getting parties to agree to resolve their dispute and get on with their lives. And, if your case does eventually go to court, in Michigan the judge will require the parties to go to mediation at least once before the trial takes place.
One of the best-kept secrets in Michigan is that our state subsidizes mediation centers that help people resolve disputes and avoid court entirely. Our courts actively promote alternatives to litigation like mediation because it’s often a faster, less stressful and more effective way to resolve civil disputes than filing a lawsuit.
There are 15 Community Dispute Resolution Centers offering mediation across the state, and they are paid for by a surcharge on every lawsuit filed in Michigan. Because they are subsidized, mediation centers often offer services that are free or nearly free. Since their mediators don’t charge contingency fees, these centers don’t have the money to advertise like the big contingency fee lawyers. But when you settle your case, you don’t have to share your recovery with them, either. If you feel comfortable expressing yourself and have a fair idea of what your case is worth, mediation can help you maximize your results while sparing you from a drawn-out legal process.
It’s time to give mediation the attention it deserves. To find a center near you, go to: https://courts.michigan.gov/Administration/SCAO/OfficesPrograms/ODR/Pages/Find-a-Mediation-Center.aspx
There is also a free online dispute resolution program called MI-Resolve that Michigan Supreme Court Chief Justice Bridget M. McCormack called “an unbelievable service to the people of Michigan.” To find out more about resolving civil disputes without ever having to leave home, go to: https://courts.michigan.gov/Administration/SCAO/OfficesPrograms/ODR/Pages/MI-Resolve-Directory.aspx
And remember: mediation is voluntary. If the other party isn’t offering you enough, you can end the process and go hire your own lawyer. There is no penalty and no strings attached. It’s a no-risk way to try and optimize your recovery as quickly as possible at a much lower cost than hiring a contingency fee lawyer.
You may qualify for free legal help.
If you’re not comfortable representing yourself in mediation, or the other party is stonewalling you, you should see a lawyer to understand your rights. But that doesn’t mean you need to promise away a huge share of your recovery. If you qualify, you can obtain legal assistance at no cost or on a reduced cost basis. For example, there are special programs available to veterans and college students. You may also qualify for free legal aid based on your income, health status, and other factors. A website called FindLaw.com explains who may qualify for legal assistance, so before you hire an attorney, it could save you a lot of money to check out your options: https://www.findlaw.com/hirealawyer/do-you-need-a-lawyer/do-you-qualify-for-free-legal-aid.html
If a contingency fee lawyer is your best option, here are some thoughts…
If you have a case and need a lawyer but don’t qualify for free help, you still have options. Lawyers will work on a variety of fee arrangements, including a fee for each hour worked. Unless you have money you can commit to the process, however, you may need a “contingency” fee arrangement. The American Bar Association describes the contingency fee like this: “the lawyer agrees to accept a fixed percentage (often one third) of the recovery, which is the amount finally paid to the client. If you win the case, the lawyer's fee comes out of the money awarded to you. If you lose, neither you nor the lawyer will get any money, but you will not be required to pay your attorney for the work done on the case.” 1
Remember though – in a contingency fee arrangement, the full fee is paid to the lawyer whether the case goes all the way to a trial or is settled in one phone call. Some cases just don’t require such a large fee to your lawyer, and it’s your job to know whether you have that kind of case.
To do that, you should talk to more than one lawyer – preferably three – and see how they react to your case. Contingency lawyers have one job when a new case comes to them – to learn enough about your case to determine if they can win. They only take cases that will win or settle. A losing case is a waste of their time. So if you talk to three contingency lawyers and they all want to take your case, that means you have bargaining power. Use it! Negotiate! You don’t have to accept their offer of taking a full 33% of your recovery. Maybe you offer them 10%. Or maybe you offer 10% if the settlement is quick, more if they to go through a “discovery” process, and still more if the case goes all the way to trial. That way, your lawyer is earning the fee with actual work, effort and time invested. And you don’t have to share as much if the case resolves early.
Before you hire a contingency fee lawyer, here are some tips to consider:
Tip #1: You do not have to accept the contingency fee suggested by a lawyer.
You can negotiate your fee like you can negotiate anything you purchase.
Tip #2: Talk to more than one lawyer.
You may want to interview three lawyers before selecting one. If more than one wants your case, you have bargaining power – use it!
Tip #3: Check out your lawyer’s record with other legal consumers.
If a lawyer has been placed on probation, reprimanded, suspended or disbarred, that information is available from the Attorney Discipline Board. Go here: https://www.adbmich.org/attorney-information/attorney-database.
Tip #4: Ask how many hours your lawyer will spend on your matter.
Do the math – if your expected recovery is $600,000, a fee of 33% is $200,000. If your lawyer will spend only 50 hours on your case, that’s $4,000 per hour. Most Michigan lawyers will work for a fee resulting in a fraction of that amount.
Tip #5: Ask your lawyer who will do the work in his/her office.
Lawyers have secretaries, paralegals and junior associates who do most of their work. The experienced lawyer will be there at first to meet you, win your trust, and get you to sign the contingency agreement, but after that most of your contact is with office staff. Get the lawyer to identify the tasks he/she will be doing personally, and don’t choose a lawyer until you meet the staff members who will be doing the rest of the work. And remember – it’s one thing to end up paying $4,000 per hour for a big-name lawyer, but do you need to pay that for a paralegal or legal secretary? If you have a good case, negotiate to a fee that makes sense.
Tip #6: Make sure your lawyer gives you all your options and advises you on the potential disadvantages of bringing a lawsuit.
Lawyers don't just sue. They can advise you about all your alternatives. Lawsuits are draining, time-consuming, and don’t always turn out well. Get the full story and develop a strategy to limit your cost, risk, and angst.
Tip #7: Don't let your lawyer pick your doctor.
Be cautious when your lawyer suggests you go to "his" or “her” doctor. Your medical care is personal, and who gives you medical care is a whole different matter from who gives you legal advice. Also, when you are injured, most doctors strongly recommend a second opinion and will even provide you with a list of specialists.
Tip #8: Use your good judgement. Don’t be a victim a second time.
Be realistic about your case. Lawsuits can’t cure anger or satisfy revenge. And they aren’t meant to be a lottery, either. Beware of any lawyer who feeds you with these motivations. If you decide to go forward, keep your expectations grounded. And always remember: while lawyers are committed to protect their clients’ rights, they have motivations all their own.
Be A Smart Legal Consumer!
Sources: ABA 1 https://www.americanbar.org/groups/public_education/resources/law_issues_for_consumers/lawyerfees_contingent/