A contingent fee arrangement must be written and signed by the client

Outline for the article

• Hook: Fee talks can feel awkward, but they’re a core part of trust between lawyer and client.

• What a contingent fee is, in plain terms

• The rule that matters: writing and sign-off, not an oral promise

• Why the writing requirement exists (transparency, fairness, protection)

• Real‑world flavor: what goes into the written agreement

• Common slip-ups and how to avoid them

• Tips for clients: questions to ask, red flags to notice

• Takeaways: clarity, accountability, and ethical peace of mind

• Quick closing thought and invitation to explore more ethics topics

A clear line of sight on contingent fees

Let’s start with a simple question: what makes a contingent fee different from other fee arrangements? In many legal matters—think personal injuries, civil cases, or certain types of employment disputes—the attorney’s payment depends on the outcome. If you win or recover money, the lawyer gets a percentage; if you don’t, the lawyer doesn’t get paid (in most setups). That sounds fair in principle—after all, the lawyer shares the risk with the client. But here’s the crucial twist: this kind of arrangement isn’t a casual handshake. It’s a financial commitment that can shape decisions, expectations, and the street-level reality of how a case advances.

The key rule (and the plain truth behind it)

When a contingent fee is involved, the model rules emphasize something straightforward and grounding: the agreement must be in writing and signed by the client. That’s not a cosmetic requirement. It’s a shield for both sides. It ensures there’s a documented understanding of how the fee is calculated, when it’s paid, what expenses are deducted, and what happens if there’s a recovery, partial or full. It also helps prevent later disputes about “remember that promise?” and “I thought it would be a different percentage.”

To put it bluntly: an oral agreement or a casual mention of a fee doesn’t give you the same clear map. A written, signed agreement creates accountability. It’s the kind of thing that stands up in difficult moments, when emotions run high and the stakes feel personal. For lawyers, it’s a reminder to be transparent about the financial side of representation. For clients, it’s a document you can reread and reference long after the initial excitement of a case.

Why this matters in practice

A contingent fee arrangement is, at heart, a way of sharing outcomes and costs. That shared lens is powerful, but it can also blur lines. Here are a few reasons the writing requirement exists, in practical terms:

• Clarity about the percentage: The document spells out exactly what slice of any recovery goes to the lawyer. Ambiguity here invites disputes, especially if settlements arrive late or if multiple successful avenues exist (settlements, judgments, or awards).

• How expenses are handled: Even when a lawyer takes a percentage, there are sometimes costs to advance—court fees, expert fees, investigation costs, and more. A written agreement clarifies who covers these costs and in what order they’re paid.

• What happens if there’s no recovery: In a contingency arrangement, the client doesn’t pay if there’s no win. The written form confirms whether the client is still on the hook for certain expenses, and under what conditions.

• Post-recovery details: The agreement can specify what happens if the case settles after some work has already been done, or if an appeal is pursued. This prevents confusion down the road.

A tangible sense of what the document covers

While every jurisdiction may tailor the exact language, a typical contingent-fee agreement covers:

• The percentage the attorney will receive from any recovery

• How the percentage is calculated (gross vs. net recovery)

• How expenses and disbursements are handled (deducted from recovery, paid separately, etc.)

• What happens if settlement occurs before filing or before a judgment

• The client’s rights to terminate the representation and the consequences

• Any caps on fees or additional terms that might apply in special circumstances

In short, the written form lays out the “when, how, and how much” in crisp, checkable terms. And yes, the client’s signature isn’t just a formality—it confirms informed consent. It’s a basic trust mechanism: you’re agreeing to a financial arrangement that could influence choices, stakes, and expectations.

A note on ethics and transparency

Ethics guidelines aren’t about making things more complicated; they’re about making things safer and fairer. When a lawyer is transparent about how fees work, they reduce the chance of misinterpretation. For clients, having a signed document means you know exactly what you’re getting into, financially. This transparency matters when outcomes are uncertain and the financial landscape matters to everyday life—medical bills, lost wages, or the cost of pursuing justice.

A real-world flavor: what this looks like in action

Imagine a personal injury case: you’ve been hurt, you’re facing medical bills, and you’re counting on a potential settlement. An in-person chat with your attorney can feel hopeful and a little tense all at once. Suppose the attorney offers a contingent fee of 33% plus expenses. Without a written agreement, you might later wonder whether “33%” meant the gross settlement or what about expenses the firm paid upfront. Maybe there’s a dispute over whether a late-arriving medical lien should be deducted from your share. A written contract addresses all of that upfront, leaving little room for “surprises” later on.

If you do end up recovering money, the agreement helps you see the net result clearly. If the case doesn’t win, you won’t be paying for the attorney’s time in the same way you would for an hourly rate—unless the contract says otherwise. The key is that you’ll have a document to point to, a reference you can bring to any future questions or disagreements.

Common missteps (and how to sidestep them)

No system is perfect, and ethics rules exist precisely to help prevent common pitfalls. Here are a few you’ll want to watch out for, whether you’re a student studying these concepts or a prospective client weighing an attorney’s offer:

• No written document: An oral promise is better than nothing, but it’s not enough. If a lawyer offers a contingency arrangement verbally, ask for a written agreement before moving forward. A signed copy protects both sides.

• Ambiguous terms: If the percentage, expenses, or payment timing isn’t crystal, that’s a red flag. Ask for specifics—how is the recovery calculated? Are there taxes or other deductions to consider?

• Hidden costs: Some agreements try to bury the reality that the client will bear certain costs regardless of outcome. Clarify which costs are charged and when.

• Unclear termination terms: If the client wants to switch lawyers, or if the case ends abruptly, you should know what happens next to avoid a fight over fees.

• Net vs. gross confusion: Clarify whether the agreed percentage applies to gross recovery or net after expenses. It’s a subtle—but critical—distinction.

Tips for clients: how to approach the conversation

If you’re exploring a contingent-fee option, a few practical steps can make the process smoother:

• Request it in writing: Ask for a formal, signed document before any work begins.

• Read it fully: Don’t skim. Check every clause about the fee, expenses, and what happens if there’s no recovery.

• Ask questions: If anything looks confusing, ask your attorney to explain it in plain terms. It’s your money and your case—get answers you can trust.

• Watch for changes: If the case evolves, ensure any amendments to the fee agreement are also in writing and signed.

• Keep copies: Save the signed document in a safe place. It’s your reference point if questions come up later.

A balanced take: the emotional and the practical

Ethics rules aren’t just about rote compliance. They’re about balancing trust, risk, and accountability. On one hand, contingency work is a lifeline for clients who can’t pay upfront but still deserve effective representation. On the other hand, lawyers shoulder risk too: their time and expertise are valuable, and there’s a legitimate interest in fair compensation when a case succeeds.

That balance shows up most clearly in the written agreement. It’s a practical tool, but it also signals a professional ethic: we’re dealing with real money, real futures, and real consequences. A signed, transparent plan helps both sides stay aligned as the case progresses.

Takeaways you can carry forward

• A contingent fee arrangement must be in writing and signed by the client to be valid and enforceable. This is more than a formality; it protects everyone involved.

• The document should lay out the fee percentage, how it’s calculated, how expenses are handled, and what happens if there’s no recovery or if the case ends early.

• Transparency reduces disputes, enhances trust, and keeps the relationship between attorney and client focused on the best possible outcome.

• Clients should insist on a written agreement, ask clarifying questions, and keep a copy for their records.

If you’re curious about how these principles play out across different kinds of cases or want to explore more ethics topics in a practical, down-to-earth way, you’ll find many real-world examples and discussions in the broader body of MRPC guidance and state ethics opinions. The core idea remains simple: when money and outcomes are linked, clarity isn’t optional—it’s essential.

Closing thought

Ethics in law isn’t a dry checklist; it’s the backbone of trust. A written, signed contingent-fee agreement is a small document with a big purpose: it protects your rights, it protects the lawyer’s time and effort, and it keeps the path to justice straight, even when the road gets bumpy. If you’re ever in that situation, use that document as your compass, and you’ll navigate the process with confidence and care.