You need to look at what your retainer agreement says and what the settlement terms are. Often we settle cases where the release might say "$18500 exclusive of the medical bills". This means that the at fault party's ins company is responsible for the outstanding bills. When we are not able to do this, we usually take our fee after all medical bills are paid. Not all attorneys do this and I can say that my contract does not require me to do so, but I 99.9% of the time do this. Seems only fair and give me an incentive to try and negotiate with the medical providers so I can increase the amount that goes into my fee. So if the settlement if for $18500 and you owe $7500, I would try and get the bills down to around $5000 which would leave about $13,500. I would take my fee out of that $13,500.
Answered on May 02nd, 2014 at 7:03 PM