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Contingency Fee Contract Template for United States

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Key Requirements PROMPT example:

Contingency Fee Contract

"Need a Contingency Fee Contract for my personal injury law practice in California, with a standard 33% fee structure and specific provisions for handling medical liens, to be implemented by March 2025."

Document background
The Contingency Fee Contract serves as a critical document in legal representation where clients may not have the means to pay traditional hourly rates. This agreement enables access to legal services by allowing payment only if the case is successful. The contract must comply with state bar association rules, ethics guidelines, and federal regulations where applicable. It typically specifies the percentage of recovery allocated as fees, outlines cost responsibilities, and includes mandatory disclosures required by the jurisdiction. This type of agreement is commonly used in personal injury, employment, and other civil litigation matters where monetary damages are sought.
Suggested Sections

1. Parties: Identification of attorney/law firm and client with full legal names and addresses

2. Background: Brief description of the legal matter and purpose of representation

3. Definitions: Key terms used throughout the agreement including 'Recovery', 'Costs', 'Fees'

4. Scope of Services: Detailed description of legal services to be provided

5. Fee Structure: Percentage of recovery and calculation method

6. Costs and Expenses: Definition and handling of case-related expenses

7. Payment Terms: When and how payments will be processed

8. Termination: Rights and procedures for ending the agreement

9. Signatures: Execution block with date and signatures

Optional Sections

1. Multiple Attorney Provisions: Terms for fee sharing when multiple attorneys are involved

2. Appeals Provisions: Terms for handling appeals if they arise

3. Alternative Fee Arrangements: Different fee structures for different outcomes

4. Referral Fee Provisions: Terms for handling referral fees

Suggested Schedules

1. Schedule A - Costs and Expenses: Detailed list of anticipated costs and expenses

2. Schedule B - Fee Calculation Examples: Examples showing how fees will be calculated in various scenarios

3. Appendix A - Client Rights: Statement of client rights required by state law

4. Appendix B - State-Specific Disclosures: Required disclosures based on state regulations

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶Òõ¶ÌÊÓÆµ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

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Industries

State-Specific Rules: State-level regulations including state bar association guidelines, maximum percentage limits for contingency fees, and specific requirements for written agreements that vary by jurisdiction

ABA Model Rules: American Bar Association Rule 1.5 governing reasonable fees, fee arrangements, requirements for clear communication about fees, and disclosure obligations

Ethics Rules: Professional conduct regulations including conflict of interest rules, disclosure requirements, and fee splitting regulations that must be adhered to

Federal Laws: Federal-level restrictions including Federal Tort Claims Act limitations, Social Security Administration fee restrictions, and Medicare/Medicaid related regulations

Consumer Protection Laws: State consumer protection statutes, truth in lending regulations, and disclosure requirements designed to protect client interests

Practice Area Restrictions: Specific limitations for different practice areas such as personal injury fee caps, medical malpractice fee limitations, and workers' compensation fee schedules

Documentation Requirements: Mandatory elements of the written agreement including specific disclosures, calculation method transparency, and clear outline of client rights and obligations

Termination Provisions: Rules governing early termination, fee calculation upon withdrawal, and client's right to terminate the agreement

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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