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In a contingent fee arrangement, the lawyer agrees to accept a fixed percentage (often one-third to 40 percent) 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.
A typical contingency fee percentage is anywhere from 30 to 40% of your recovery. Your contingency fee agreement will set out the exact percentage. These percentages are often staggered so that your lawyer will get a higher percentage if the case goes to trial ? which requires more time and work for their law firm.
Generally, in the state of Tennessee, attorney's fees are not recoverable unless you have entered into a contract which states that they are recoverable. That means you are typically responsible for paying all legal fees, even if you win the court case.
There are four exceptions to the American Rule where a prevailing party may be awarded attorney's fees: ?(1) the parties to a contract have an agreement to that effect, (2) there is a statute that allows the imposition of such fees, (3) the wrongful conduct of a defendant forces a plaintiff into litigation with a third ...
Rule 1.5 - FEES (a) A lawyer shall not make an agreement for, charge, or collect an unreasonable fee or an unreasonable amount for expenses.
Tennessee follows the ?American Rule? which means that each party in a lawsuit pays their own attorney fees, no matter who wins.
In Tennessee, contingency fees are capped at one third (33 1/3%) of the total recovery. When a lawyer is retained, he and the client will agree on the percentage before representation and case work begins. Filing and court costs. The attorney's fee is only one of several costs that may be deducted from the settlement.