New York Employment Lawyer Blog

New York employment law firms routinely use contingent fees for certain cases such as sexual harassment and employment discrimination matters. For many clients, the contingency fee is the only option because they do not have enough money to pay a lawyer by the hour. Contingency fees also encourage lawyers to handle matters efficiently and not engage in excessive and dilatory practices. It is said by some that the hourly fee arrangement encourages lawyers to do things that are not necessary in order to run up high fees.

I personally think that many lawyers do this. How else can you explain all the nonsense that goes on in cases. I think the hourly fee is bad for everyone - it causes lawyers to file needless motions in court and this wastes precious judicial resources. The hourly fee also gives lawyers a bad rap with the public. They are seen as over-paid parasites by many and sadly there is truth to it. Legal work could be streamlined and made far more affordable and accessible. The hourly fee can be blamed for much of this.

George Bush recently signed an executive order that prohibits the federal government from paying lawyers a contingent fee. It is usually smart to do the opposite of what Bush does. Since he wants to bar contingency fees, that must mean they are good. But the private sector is catching on and more companies are hiring lawyers on contingent fee agreements. It is smart business. It aligns the interests of the lawyer and the client.