Contingent fees are the norm for lawyers representing plaintiffs in personal injury cases.
Most lawyers routinely have clients sign contingent fee agreements authorizing a percentage fee based upon the total amount recovered. Typically, these lawyers calculate their fee by applying the agreed upon percentage to all amounts recovered, without regard to the specific sources of recovery. This practice raises problems if the amount upon which the fee is calculated includes the recovery of uncontested no-fault benefits. The charging of a contingent fee to collect uncontested no-fault benefits has been recognized as improper in a number of jurisdictions. Various state ethics authorities have previously opined that charging a contingent fee for collecting uncontested no-fault benefits is unethical.