Q: I live in TX and was injured in a car accident. Insurance is paying 50000. How much can my attorney take? And his Dr's?

A: Generally speaking, a PI attorney can suggest doctor referrals to a client but those doctors are the client's doctors, not the attorney's doctors. PI attorneys sometimes do so because those doctors will accept letters of protection (LOPs) pursuant to which they will provide treatment to be paid out of the proceeds of any settlement in lieu of being paid by the client (or the client's health insurer) upfront. This can be espeically if the client is uninsured or lacks the means to pay for necessary medical treatment. Those doctors are entitled to be paid for their services at either the agreed upon rate or at the reasonable and customary rate for their services (if an express agreement was not made) from the proceeds of any settlement.

A PI attorney typically works on a contingency fee basis (commonly one-third and almost always between 25-40%) pursuant to an agreement negotiated with the client. The specific percentage should be reflected in the written agreement signed by the client.

In many cases, a PI attorney will front case expenses (things like filing fees, deposition expenses, fees for obtaining medical records etc.) on behalf of a client. Usually, the agreement between the attorney and client provides that such expenses will be reimbursed from the proceeds of any settlement. Most of the time, these expenses will be reimbursed off-the-top, before dividing the remainder of the settlement proceeds between the attorney and client based on the size of the contingency fee agreed upon. For example, if these case expenses total $5K and the attorney has a typical 1/3 contingency fee, $5K would be deducted from the $50K settlement for case expenses, leaving $45K from which the attorney will receive 1/3 ($15K) and the client will received the remaining ($30k).

Some of the time, the parties agree that the case expenses will be deducted from the client's portion of any settlement to reimburse the attorney. For example, the attorney would receive 1/3 of the $50K settlement ($16,666.66) + $5k in reimbursement of case expenses, while the client would received 2/3 ($33,333.34) - $5K for case expenses for a net amount of $28,333.34. As you can see, it is slightly better for the client if expenses are deducted off-the-top.

A: The best way to answer your question is to check the retainer you have with your attorney. Attorney fees are usually a percentage in personal injury cases. Nationwide, one-third is commonly used by many firms, with some charging a higher percentage if a matter is placed into suit. You mention that your attorney is negotiating with doctors - it sounds like doctors want their services reimbursed from your award. Your attorney may be trying to get them to accept a lower figure (for example, $8,000 on a $10,000 chiropractic bill). But this is all speculation - your attorney has the exact answers to your question. Good luck