Much like other personal injury cases, workers’ comp cases are usually
contingency fee based. This means that you are not required to pay any
fees unless you win compensation in your case. If the attorney is
unsuccessful in getting benefits, you will not be responsible for any
attorney fees. Regardless, you will not have to pay any fees upfront
whatsoever. If your claim is successful, the attorney will take a
percentage of the dollar amount which is awarded to the injured worker.
The attorney bears the cost of preparing your case which they may or may
not recover depending on the overall outcome of the case. These fees
and expenses can add up quickly depending on the complexity of the claim
and how much expert testimony is required. In many cases, attorneys
will have to pay doctors for examinations and opinions. These doctors
usually charge a high amount and it can be a long time before the
attorney can actually recover these costs if at all. There are also
court costs including court reporters which must be paid out of pocket
by the attorney handling your case. For more information about workers comp in Michigan, visit http://theclarklawoffice.com/workers-comp-attorneys/.
There is a set maximum which attorneys are allowed to charge, and much
like the calculation for wage loss, it can be quite confusing. Take for
example a worker who was injured on the job on January 1st, 2012.
Suppose this worker seeks the advice of an attorney on April 1st, 2012
which implies that the injured worker is already owed 3 months of
benefits. The attorney will take the necessary actions to get your
benefits, but this usually takes a substantial amount of time. Usually
the attorney will need to file a petition. After this, you will need to
have medical examinations and opinions which can take even more time.
Next, either a mediation hearing or a pre-trial will take place and
finally a trial might be necessary. Before everything is all said and
done another year could go by making it April 1st, 2013. The benefits
have been accruing since the date of the injury making it a total length
of time of one year and 3 months. The attorney fees are calculated
based on this total length of time. An attorney is not eligible to
receive any portion of the benefits going into the future, only the
benefits which are still owed, which in this case is 15 months. If an
appeal is necessary, this time will also be added to the previous total
length of time.
The attorney is taking a risk when taking your case because if the claim
is unsuccessful, he/she will be responsible for all the associated
costs over the 15 month or longer period and will not be recovering any
money for the risk. If the injured worker does win benefits, the attorney fee does a maximum rate. The attorney is
entitled to 30% of the wages which are awarded from the date of injury,
and as I stated earlier cannot receive a fee on the future benefits.
There is also a provision stating that the maximum attorney fee is 2/3
of the state weekly average wage. Even if the worker is collecting 80%
of the weekly average rate, the calculation for the attorney fee will be
based on the 2/3 figure.
If I File a Workers Compensation Claim in Michigan, How Are The Attorney Fees Calculated?
by David M Clark on Jun. 12, 2012
Summary
Much like other personal injury cases, workers’ comp cases are usually contingency fee based. This means that you are not required to pay any fees unless you win compensation in your case.