subject: Your Lawyer May Win, But You'll Lose When Your Money Disappears [print this page] One bill a 60 year old lady has been paying each month is a lawyers fee, and she's been paying it for four years now. The lawyer she has been paying has racked up an enormous amount from her payments, simply because he helped her win a meager $101 a month for disability. In the same state, a disabled miner who won his case has been paying his lawyer a fee each month for the last ten years. The miner won a $134 monthly pension, and his lawyer is still getting paid each month.
These cases clearly show how the poor can't afford legal fees. They certainly are not unusual. Cancer had made one man bedridden and he and his wife were receiving welfare. But the lower class aren't the only ones who are hit with huge legal fees. Those in the middle class are greatly affected, as well.
The American middle class is targeted with exorbitant legal fees because they have the money and resources to be able to make regular payments, yet lack adequate representation in the state legislature. Since the majority of lawyers come from middle class households, it is a great psychoanalytic study to see if there is self-loathing or covert cannibalism involved, says one author in his book about lawyers.
Hourly fees are charged by a lawyer. One lawyer who concentrates on compensation cases argues that doctors and plumbers are paid on an hourly basis, so why shouldn't attorneys be paid hourly? Of course, there is no disagreement that attorneys should be compensated for their time, but the question remains: how much should they be paid in cases of workers' compensation where the payments can last a lifetime? Some middle class clients are making monthly payments for their lifetime based on large legal fees for their divorce, purchase of real estate, personal injury claim, and sometimes even to write their Will!
There have been cases of lawyers who steal from their victims, like orphans and widows who have money that is trusted to the lawyer. Instead of just stealing the money, some lawyers just overcharge for their work. In one case, which took place over five years' time, two legal partners charged over sixty percent of a six figure estate. The case was from the estate of a man who was ruled unable to tend to his own affairs. The good news is, both lawyers were ordered to return the money they had taken for fees. Another lawyer, who was a bit unusual, brought the case against the original lawyers. No one else would even look at the case.
Newspapers and other media outlets also make this problem bigger because they only use the court systems as a source of content. The media won't report the legal fees garnered by guardians and lawyers. This information is readily available from the court. And the bar associations do not discourage the behavior. They strongly argue against any regulations which will alter the client and lawyer relationship. Should a story be reported that looks damaging to the law profession, they will quickly spring to action.
Some lawyers will only take a percentage of the settlement as payment, though it is common practice to charge an hourly fee. The bar associations usually allow the imposed minimum fee agreements. This is known as a contingent fee. The lawyer will then get a percentage of the award, should the case be won. Most personal injury suits give the lawyer twenty-five to fifty percent of the winnings.
This kind of fee is a purely American creation, just like poker. In most of Europe, including England, contingency fees are not allowed. The United States first accepted the idea of contingency fees in 1848, and it was accepted as an attempt to help workers who were injured on the job and couldn't afford legal counsel. Without money to hire an attorney, the injured workers could not file a civil suit to mark their claim.
by: Jacob Hall
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