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Contingency No Win No Fee Agreement

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CONTINGENCY NO WIN NO FEE AGREEMENT

This Contingency No Win No Fee Agreement (the "Agreement") is made as of Effective Date: by and between Client Name: with principal address: , and Attorney/Firm Name: with principal place of business: .

RECITALS

WHEREAS, Client seeks legal representation to pursue the claim(s) described as: ;

WHEREAS, Attorney possesses experience and expertise in the prosecution and resolution of such claims and is willing to represent Client on a contingent fee basis as set forth herein;

WHEREAS, the parties desire to set forth their respective rights and obligations with respect to the representation, the allocation of fees and costs, and the conditions under which the Attorney will be compensated.

NOW, THEREFORE, in consideration of the mutual covenants contained herein, the parties agree as follows:

1. DEFINITIONS

For purposes of this Agreement, the following terms shall have the meanings set forth below:

"Recovery" means any and all sums recovered by settlement, judgment, award, or otherwise on behalf of Client, whether by cash, property, structured payments, credit, or any other form of value.

"Net Recovery" means Recovery after deduction of litigation expenses and disbursements advanced by Attorney or agreed to be paid by Client pursuant to Section 4.

2. ENGAGEMENT; SCOPE OF REPRESENTATION

Client hereby retains Attorney and Attorney accepts the engagement to represent Client in connection with the claim(s) described above and related proceedings, negotiations, and appeals (collectively, the "Matter"). Attorney's representation is limited to the Matter and does not extend to unrelated legal matters unless agreed in writing.

3. CONTINGENCY FEE; CALCULATION

Attorney's fee for representation in the Matter shall be a contingency fee equal to % of the Recovery. The contingency percentage shall apply to: .

If recovery is obtained by means other than a lump sum (for example, structured settlement or periodic payments), Attorney's fee shall be computed based on the present cash value of the Recovery, calculated using a commercially reasonable discount rate, unless the parties otherwise agree in writing.

4. COSTS AND EXPENSES

Client shall be responsible for all reasonable costs and disbursements incurred in connection with the prosecution or defense of the Matter, including but not limited to filing fees, expert fees, deposition costs, travel, courier, copying, and investigation expenses ("Costs").

Attorney shall: . If Attorney advances Costs, such amounts shall be reimbursed from Recovery prior to the calculation of Net Recovery unless the parties expressly agree otherwise.

Client authorizes Attorney to incur Costs up to the amount of without prior approval. Costs in excess of that amount shall require Client's prior written consent.

5. PAYMENT AND DISTRIBUTION

Attorney's contingency fee and all advanced Costs are payable from any Recovery. Disbursement of funds shall be made in the following order: (a) reimbursements of Costs advanced by Attorney; (b) payment of Attorney's contingency fee calculated in accordance with Section 3; (c) payment of any liens, statutory obligations, or third-party claims required by law or court order; (d) remaining funds to Client.

If Client receives any portion of a Recovery directly, Client shall hold such funds in trust for Attorney's fee and Costs and shall immediately remit the same to Attorney for application in accordance with this Agreement.

6. CLIENT COOPERATION

Client agrees to cooperate fully with Attorney, to provide all information and documentation requested, to appear for depositions, hearings and trials when necessary, and to timely execute documents required to prosecute or settle the Matter. Failure to cooperate may be treated as cause for termination under Section 8.

7. SETTLEMENTS

Attorney shall notify Client of any settlement offers and shall not compromise or settle the Matter without Client's informed consent. Client authorizes Attorney to accept routine or uncontested settlements not exceeding without separate written approval.

In the event of a settlement, Attorney shall provide a written statement setting forth the gross Recovery, Costs, attorney's fees, and the net amount due to Client.

8. WITHDRAWAL OR TERMINATION

Client may terminate this Agreement at any time upon written notice to Attorney. Attorney may withdraw for good cause, including but not limited to Client's failure to cooperate, nonpayment of Costs, or conflict of interest, subject to applicable rules of professional conduct and court approval if necessary.

If Attorney withdraws or representation is terminated, Attorney shall be entitled to recover any unpaid Costs advanced and a reasonable fee based on the contingency percentage on any Recovery obtained after termination that is attributable, in whole or in part, to Attorney's efforts unless otherwise agreed in writing or ordered by a tribunal.

9. CONFIDENTIALITY

Attorney shall keep confidential all information obtained from Client in the course of representation, except as required or permitted by law, ethical obligations, or as necessary to pursue the Matter (including disclosure to experts, consultants, or opposing parties when required).

10. CONFLICTS OF INTEREST

Attorney represents no present client with respect to the Matter except as disclosed below. Client affirms that Client has disclosed to Attorney all known circumstances that might create a conflict of interest. Any unresolved conflict will require informed consent in writing before representation continues.

11. RECORDS; ACCOUNTING

Attorney shall maintain records of Costs and disbursements and shall provide Client with a reasonably detailed accounting upon request or upon termination of representation. Client shall have the right to inspect billing records as required by applicable law.

12. NO GUARANTEE

Nothing in this Agreement shall be construed as a guarantee of a particular result. Attorney makes no promises regarding the outcome of the Matter and any expressions regarding prospects are estimates only.

13. NOTICES

All notices required or permitted under this Agreement shall be in writing and delivered personally, by certified mail (return receipt requested), or by nationally recognized overnight courier to the addresses below or to such other address as a party may designate by written notice.

14. AMENDMENTS; WAIVER

This Agreement may be amended only by a written instrument signed by both parties. No failure or delay by any party in exercising any right hereunder shall operate as a waiver of such right unless set forth in a signed writing.

15. GOVERNING LAW

This Agreement shall be governed by and construed in accordance with the laws of the State of , without regard to its choice-of-law principles.

16. ENTIRE AGREEMENT

This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior and contemporaneous agreements, understandings, negotiations and discussions, whether oral or written.

17. SEVERABILITY

If any provision of this Agreement is held to be invalid, illegal or unenforceable in any respect, the remainder of this Agreement shall remain in full force and effect and the invalid provision shall be reformed to the minimum extent necessary to make it valid and enforceable.

18. COUNTERPARTS

This Agreement may be executed in counterparts, each of which shall be deemed an original and all of which together shall constitute one and the same instrument. Signatures transmitted by electronic means shall be binding as originals.

19. CLIENT ACKNOWLEDGMENTS

Client acknowledges that Client has read and understands this Agreement, that Client has had an opportunity to ask questions and to obtain independent advice, and that Client agrees to the contingency arrangement and other terms set forth herein.

Client:

By:

Date:

Attorney/Firm:

By:

Date:

Enter text✕

What a Contingency No Win No Fee Agreement Is

The Contingency No Win No Fee Agreement is a written retainer that sets the terms under which an attorney accepts representation in exchange for a fee only if the client obtains a recovery or favorable result. It allocates the contingency percentage or fee formula, describes which case expenses are advanced or reimbursed, sets client duties, and explains settlement, trial, and termination rights. The agreement may be executed electronically under federal ESIGN (15 U.S.C. ch. 96) and state UETA frameworks, subject to any statutory or court filing exceptions.

Why this agreement matters for clients and attorneys

A clear Contingency No Win No Fee Agreement aligns expectations, protects both parties from fee disputes, and documents cost allocation and authority for settlement or trial. It also supports enforceability when it includes written consent, clear fee percentages, and retention of execution records under ESIGN/UETA.

Why this agreement matters for clients and attorneys

Who typically signs or prepares this agreement

The agreement is used by claimants and the law firms that represent them in contingency matters; it is also used by in-house counsel and claims administrators.

  • Individual plaintiffs pursuing personal injury, employment, or consumer claims who cannot pay hourly fees up front.
  • Small and mid-size law firms handling contingency litigation and settlement negotiations.
  • Insurance claims departments and third-party administrators negotiating subrogation or recovery assignments.

Proper identification of parties and signature authority ensures the agreement will be binding and reduces the likelihood of later fee disputes.

Representative signers and their roles

Client

A named individual or entity who retains the attorney. The client must have capacity and sign to manifest intent; mismatched legal names or unsigned pages can create enforceability issues and delay recovery.

Attorney

An associating lawyer or law firm partner who accepts representation. The attorney should indicate bar number, state of admission, and retained authority for settlement and litigation steps to avoid later fee disagreements.

Essential information to include in the agreement

Client Name: Full legal name
Attorney Name: Firm and attorney
Contingency Rate: Percentage or formula
Expenses: Which costs are deducted
Effective Date: MM/DD/YYYY
Signature Block: Signed and dated

Key risks and potential consequences

Fee Disputes: Client challenge to fee
Ethics Violations: State bar sanctions possible
Statute Limitations: Claims time-barred
Tax Issues: Incorrect reporting risk
Invalid Execution: Unsigned or improper form
Client Financial Risk: Unexpected cost obligations

Common preparation mistakes to avoid

  • Failing to state the contingency fee percentage clearly and how it applies to settlements, judgments, or structured awards.
  • Omitting a clear explanation of which litigation costs the client will reimburse versus which the firm will absorb.
  • Using ambiguous language about settlement authority and whether the client or attorney must consent to proposed settlements.
  • Signing without confirming the legal name and capacity of the client, which can lead to enforceability or identity disputes later.

Step-by-step: completing the agreement accurately

Follow these sequential steps to prepare, review, and execute a Contingency No Win No Fee Agreement.

  • 01
    1. Identify parties: Enter full legal names and contact details.
  • 02
    2. Define fee: State percentage, calculation, and alternate scenarios.
  • 03
    3. Describe costs: List which expenses are advanced and repayment terms.
  • 04
    4. Execute: Obtain dated signatures from all parties.

Typical eSubmission and execution workflow

A standard electronic signing workflow reduces turnaround while preserving an audit trail for enforceability.

  • Upload Document: Sender uploads agreement in PDF or DOCX format.
  • Place Fields: Add signature, initial, and date fields for each signer.
  • Send for Signature: Distribute via email link or signing invite.
  • Archive: Store executed copy with audit trail and certificate.

Typical digital workflow settings for execution

Configure these settings when preparing the agreement for electronic signature to balance convenience and security.

Field Configuration
Signer Order Sequential or parallel per matter needs
Authentication Email link or SMS code options
Notifications Automated reminders enabled
Save Format PDF/A with audit trail retained

Technical compatibility and integration considerations

Ensure the eSignature platform supports required file formats, signer authentication, and an exportable audit trail before executing the agreement.

  • File Formats: Supports PDF, DOCX, and PDF/A
  • Integrations: Connects with CRM and document storage
  • Authentication: Email, SMS, or stronger methods

For high-volume or regulated matters choose a platform offering audit trails, optional advanced signer authentication, and secure long-term storage to preserve admissibility and compliance.

Typical timelines and filing dates to track

Track statutory and administrative deadlines that affect case viability, tax reporting, and document retention.

Statute of Limitations:

Varies by claim and state; confirm local law before filing

Settlement Approval Window:

As specified in agreement or court order

Form 1099-NEC Deadline:

Provide to recipients by Jan 31 each year

Record Retention Start:

Effective date begins on execution date

Appeal Period:

Follow court rules applicable to the judgment

eSignature vendor pricing and capability snapshot

Standard pricing tiers and common capabilities for eSignature platforms. signNow is listed first to align feature comparison across vendors.

signNow DocuSign Adobe Sign PandaDoc HelloSign
Starting Price $8/user/mo $15/user/mo $14/user/mo $19/user/mo $15/user/mo
Free Trial 7-day free trial Varies by vendor Varies by vendor Varies by vendor Varies by vendor
Bulk Send Yes Yes Yes Yes No
Audit Trail Yes Yes Yes Yes Yes
HIPAA Compliant Yes Yes Yes No No

Practical examples of how the agreement is used

These scenarios illustrate typical client–attorney arrangements and the core terms they include.

Individual Claim Example

A plaintiff hires counsel for a personal injury case and agrees to a one-third contingency fee.

  • The firm advances filing and expert costs.
  • The agreement specifies that costs are reimbursed from the gross recovery, describes settlement authority, and requires initials on expense and settlement clauses to confirm informed consent.

Firm Representation Example

A boutique employment firm uses a tiered contingency structure for wage claims with lower percentage for early settlement.

  • Client initials each tier and cost allocation.
  • The retainer explains how structured settlements are treated, includes tax-reporting notes, and requires an executed signature page before representation begins.

Key milestones from signing to distribution

Track milestones from agreement signing through distribution to ensure timely action and preserve rights.

01

Agreement Signing

Obtain executed signatures and date the agreement to establish the retention start point.

02

Case Filing

File complaints or claims within applicable statutory deadlines to protect the client’s cause of action.

03

Settlement Negotiations

Document settlement approvals and required client consents per the agreement.

04

Distribution and Reporting

Distribute net recovery per fee formula and complete any tax forms or reports required.

Frequently asked questions about Contingency No Win No Fee Agreements

Answers below address common execution, enforceability, and compliance questions when using contingency retainers.


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