Our Fee Structures
Contingent fees and blended fees are two fee structures that are often used in commercial litigation.
- Contingent fees are a type of fee arrangement where the attorney’s fee is contingent on the outcome of the case. If the client wins, the attorney receives a percentage of the settlement or verdict. If the client loses, the attorney does not receive any payment. Contingent fees are typically used in cases where the client cannot afford to pay the attorney’s fees upfront or where the attorney believes that the case has a high likelihood of success.
- Blended fees are a type of fee structure that typically combines a lower hourly rate and a contingent fee. In a blended fee arrangement, the attorney charges an hourly rate for the work that is done on the case and also receives a percentage of the settlement or verdict if the case is successful. This type of fee structure is often used in cases where the attorney is unsure of the outcome of the case or where the case may require a significant amount of work.
One of the benefits of contingent fees and blended fees is that they allow clients to pursue legal action without having to pay upfront legal fees. This can be especially helpful for clients who may not have the financial resources to pay for legal representation. Additionally, contingent fees and blended fees provide an incentive for attorneys to work hard on a case and achieve a favorable outcome for the client.
Overall, contingent fees and blended fees are important fee structures in commercial litigation that provide access to justice for clients who may not have the financial resources to pursue legal action.
At King & Jones, we have used contingent and blended contingent/hourly fee arrangements for decades. Blended fee agreements have helped our clients in many types of cases—both plaintiffs and defendants.
We have no cookie cutter approach. For example, we agreed with our client to a blended structure with a reduced hourly fee and a bonus to help our client prosecute a will/trust contest. In a defense case, we agreed to cap our fees but would earn a bonus if we prevailed on summary judgment. In a plaintiff’s legal malpractice case, we agreed to cap our fees and take a bonus if we prevailed.
We are as creative as possible to meet the circumstances of each client’s situation.
These types of arrangements typically can be negotiated after a review of the key facts and documents in a dispute. Blended fee arrangements can provide a win-win result for all.
Fee Arrangements
We look to establish fee arrangements that provide clients with predictability and reward us for efficiency and results.
As a team of highly experienced lawyers who have achieved great results for clients in the past, we are able to focus and be more efficient and effective than firms that place competing demands on frequently changing personnel.
We favor sharing risk with our clients and look to understand their goals in a matter, then structure a fee arrangement that is fair and that recognizes the value in achieving those goals. There are many ways in which such fee arrangements can be structured. Flat fees, percentage holdbacks, milestone payments, and partial contingencies are just some of the ways to achieve a fair and predictable fee.
While we will enter into hourly billing arrangements with clients, our strong preference is to find a way to reach a professional commercial arrangement centered on value rather than time spent on a matter.