A no win, no fee is a form of fee schedule that is used by some California lawyers in certain types of cases. A no win, no fee employment attorney is an attorney who will not get paid unless they win the case and the plaintiff is awarded damages.
No win, no pay employment lawyers are paid on a contingency fee basis. This means that the lawyer receives a percentage of the damages that are awarded to the plaintiff at the end of a case instead of being paid an hourly rate.
With a contingency fee arrangement, a workplace attorney agrees to take a plaintiff’s case without charging them an hourly fee. In exchange, the attorney receives a percentage of the damages that are awarded to their client.
Contingency fee arrangements can be helpful in cases where the client cannot afford to pay an hourly rate but has a complex or costly case. Lawyers will often accept these types of cases when there is a clear liability and a means to collect a settlement, such as through an insurance policy.
Contingency fee arrangements are most commonly used in civil cases, for example, personal injury and workers’ compensation. There are also lawyers who will take other types of cases on a contingency basis, including:
- Professional malpractice;
- Sexual harassment;
- Personal injury;
- Employment discrimination and wage dispute cases;
- Bankruptcy;
- Class action lawsuits; and
- Debt collections cases.
Depending on the details of the fee agreement, contingency fees may range from 5% to 50% of the final award amount. In these types of cases, the attorney’s payment depends on or is contingent upon, winning their case.
Even though the lawyer does not receive their fee until the conclusion of the case when it is won, the client may still have to pay certain up-front fees related to their case, such as:
- Court filing fees;
- Discovery costs;
- Expert witness fees;
- Overhead fees required to keep the case progressing.
Contingency fee arrangements may provide advantages for a client, such as:
- No up-front fees;
- Incentive for the attorney;
- No cost for losses.
Contingency fees allow a plaintiff to proceed with their case without having to pay their attorney upfront. This can also help a client avoid large bills when their case is ongoing.
This can help individuals who have lower incomes to access legal assistance. A contingency fee arrangement also provides an incentive for a lawyer to do everything they can to obtain the best possible results in a case.
However, it is important to note that a contingency fee case may cost the client more than an hourly fee case in certain situations because the client agrees to pay the percentage of their award, no matter how long it takes to resolve the case. It is important to discuss the fee options with a local attorney in California prior to agreeing to a contingency fee arrangement.
What Do Employment Lawyers Do?
Employment lawyers are lawyers who handle cases that involve many different types of employment law issues. Employment lawyers can represent both employees and employers.
Employment law governs a broad range of legal issues that arise related to:
- Employees;
- Employers;
- Safety conditions in the workplace.
For example, there are some California employment laws that apply in cases involving employment discrimination, and other laws provide guidance for individuals drafting company policies or employee handbooks. Employment laws are intended to protect all individuals who are part of the workforce, including but not limited to:
- Establishing protections for employees who have a dispute with:
- a colleague;
- an employer;
- a company;
- Ensuring that businesses are not discriminating against job candidates or current employees during:
- interviewing;
- hiring;
- firing;
- promoting; or
- terminating;
- Granting certain rights to self-employed independent contractors;
- Ensuring that interns and volunteers do not endure sexual harassment, retaliation, or discrimination in the workplace; and
- Other topics that affect employment rights.
An individual can consult with an employment attorney, whether they are an employer or employee, to ensure they are in compliance with the numerous applicable laws and ensure their rights have not been violated. Employment lawyers can perform many services, including:
- Drafting and reviewing an employee handbook;
- Assisting with a wage law issue; and
- Representing an employer or an employee if they have to appear before the Equal Employment Opportunity Commission (EEOC).
What Are the Common Types of Employment Cases Handled on a No Win No Fee Basis?
There are many different types of employment cases that are commonly handled on a no win, no fee basis, including:
- Unpaid wage claims
- Discrimination
- Sexual harassment
- Equal pay
- Hostile work environment
- Unfair dismissal
- Pregnancy discrimination
- Whistleblowing
- Constructive dismissal
This is, of course, not an exhaustive list. Different attorneys may handle different types of employment cases on a no win, no fee basis, so it is important to ask.
How Much Does an Employment Lawyer Cost?
The cost of an employment lawyer will vary greatly and will depend on many factors, including, but not limited to:
- The skill set of the employment lawyer;
- The area of law that the case involves;
- The amount of time that the case should take to resolve;
- The location of the lawyer;
- If the lawyer has special:
- training;
- certifications; or
- education; and
- The facts and circumstances of the individual’s case.
In California, the average hourly fee ranges from $350 to $475. The amount, of course, will depend on the factors discussed above.
What Are the Benefits of Hiring a No Win No Fee Employment Lawyer?
One of the main benefits of hiring a no win, no fee employment lawyer is, as the name implies, that the client does not have to pay anything unless they win their case. This means that they are not required to make any up front payments or pay high hourly rates.
This type of fee arrangement allows individuals of all budgets access to the ability to request compensation for their losses. Using this type of fee arrangement, a client will not incur any legal fees without getting some form of compensation.
A no win, no fee lawyer will be highly motivated to win the case, as that is the only way they will get paid. This will give them an incentive to work strategically and diligently for the best possible results on their client’s behalf. This may encourage a higher level of effort and dedication from the legal team.
A no win, no fee lawyer will often cover all of the up front costs associated with a case, such as investigation expenses, court fees, and expert witness fees. This will help ensure that the case is thoroughly prepared and thoughtful presented, which maximizes the chances of a successful outcome.
Not having the financial strain of legal feels will allow a client to focus on their well-being and recovery. They can focus on getting their life back on track and in order while their attorney handles the legal issues.
No win no fee cases commonly attract reputable and experienced lawyers who are confident in their abilities to win cases. An individual can always ask about a lawyer’s track record with no win, no fee cases similar to theirs.
What Are the Risks and Considerations of No Win No Fee Arrangements?
There are also some risks and considerations of no win, no fee arrangements. One example is that the fee percentage the lawyer takes may be high, from 35% to 50% in some cases.
In some situations, this type of arrangement may encourage the filing of unnecessary lawsuits. It may also cause a lawyer to want to settle prematurely, which can result in a lower amount of compensation than may have been obtained using negotiations. When a case is simple and resolved quickly, a contingency fee arrangement may end up costing the client more than what the hourly fee would have been.
Although a client does not have to pay attorney’s fees when their claim is not successful, they may still be responsible for certain costs. Examples of these costs may be paying the opponent’s legal fees, which a client may have to cover in certain situations.
Are There Any Other Types of Employment Lawyer Fee Arrangements?
Yes, there are other types of employment lawyer fee arrangements in addition to contingency fees. Generally, lawyers will use one of three fee schedules:
Hourly rate is one common fee arraignment used in employment law cases. With this arrangement, the attorney will charge based on the number of hours they work on the case.
A lawyer may also use a flat fee for simpler cases, such as:
- Uncontested divorces
- Power of attorney
- Certain minor criminal cases
It is important to note that if a plaintiff’s case goes to court, they may be responsible for paying other costs and fees, such as filing fees and court fees.
How Do I Choose a No Win No Fee Lawyer?
Choosing a no win, no fee lawyer is a very personal decision. There is no set of factors that will apply to every individual and every case.
An individual should follow their instincts and find a lawyer with whom they are comfortable working and sharing information about their case. Many lawyers will offer free initial consultations that will allow the client to determine if they will be a good fit for their case.
What Happens if I Lose a No Win No Fee Case?
One of the most important advantages that clients enjoy when using a contingency fee, or no win, no fee, attorney, is that they are not required to pay their attorney if they do not win the case. As noted above, however, the client may still be responsible for certain administrative and court costs, such as filing fees.
Do I Need to Hire a California No Win No Fee Employment Lawyer?
If you have any employment law issues in California, it is essential to consult with a California employment lawyer. Your lawyer can assist you whether you are an employer or an employee.
Having a no win, no fee employment lawyer handle your case provides you with the opportunity to try your case without spending money upfront as you would with an hourly fee lawyer. Your lawyer will be able to review your situation, provide advice regarding possible legal strategies and possible outcomes and represent you before an agency or a court.
You can use LegalMatch for a convenient and free way to find an employment lawyer near you. All you have to do is take a few minutes and submit your issue on the website.
After you submit your question, you will get responses from attorney matches from the licensed and pre-screened LegalMatch database. These responses will include the lawyer’s background and fees.
It is important to ask each attorney whether or not they offer free consultations or take cases on a no win, no fee basis. Since you will not pay any attorney’s fees unless your case is successful, you have nothing to lose filing your no win, no fee case.
