A Florida contingency fee agreement is a written contract, governed by Rule 4-1.5 of the Rules Regulating The Florida Bar, in which your attorney is paid a percentage of what you recover instead of an hourly rate. The percentage is capped on a sliding scale that depends on when your case resolves, the type of claim, and how far the litigation has progressed. Get the written terms wrong and the agreement can be voided; misread which stage applies and you can lose thousands of dollars off the top of your recovery.
What the Written Contract Must Contain
Every contingency fee contract in Florida must be in writing and signed by both you and the attorney. If more than one lawyer or firm will share the fee, each of them has to sign the contract, agree to joint responsibility for the representation, and obtain your written consent to the split.1The Florida Bar. Florida Rules of Professional Conduct An oral agreement is unenforceable.
The contract has to spell out three things precisely: the attorney’s percentage at each stage of the case (settlement, trial, appeal), the categories of litigation expenses that will come out of your recovery (filing fees, depositions, expert witnesses, and so on), and whether those expenses are deducted before or after the attorney’s percentage is calculated.1The Florida Bar. Florida Rules of Professional Conduct That last point sounds procedural. It isn’t. It changes the check you go home with.
The attorney must give you a signed copy of the completed agreement, and, at the same time or earlier, a separate document called the Statement of Client’s Rights. The contract itself has to include a line confirming that you received and read that statement before signing.2The Florida Bar. A Consumer Guide to Clients Rights
How Much the Attorney Can Charge
Rule 4-1.5(f)(4)(B) caps fees in personal injury, property damage, wrongful death, and products liability cases. Anything above these caps is presumed excessive unless you sign a written waiver and a judge approves it. The caps step up as the case moves forward.1The Florida Bar. Florida Rules of Professional Conduct
Before the Defendant Files an Answer
If the case resolves before the defendant files a formal response, or before the deadline to do so expires, the maximum is:
- 33⅓% of the first $1 million recovered
- 30% of any amount between $1 million and $2 million
- 20% of anything above $2 million
This is the lowest tier and reflects the least attorney labor. Many claims that settle during pre-suit negotiations land here.1The Florida Bar. Florida Rules of Professional Conduct
After an Answer Is Filed Through Judgment
Once the defendant answers or the deadline passes, the cap on the first $1 million jumps to 40%. The higher tiers stay the same:
- 40% of the first $1 million
- 30% between $1 million and $2 million
- 20% above $2 million
On a $500,000 recovery, the jump from 33⅓% to 40% is the difference between a $166,650 fee and a $200,000 fee. That gap explains why attorneys sometimes push hard to resolve a case before the answer window closes.1The Florida Bar. Florida Rules of Professional Conduct
When Every Defendant Admits Liability
If every defendant admits fault in the answer and contests only how much you should receive, a separate, lower schedule applies:
- 33⅓% of the first $1 million
- 20% between $1 million and $2 million
- 15% above $2 million
A damages-only trial is less work than litigating both fault and damages, and the caps reflect that.1The Florida Bar. Florida Rules of Professional Conduct
Appeals and Post-Judgment Collection
If either side appeals, or the attorney has to take post-judgment action to collect, an additional 5% of the recovery is allowed on top of whichever tier already applies.1The Florida Bar. Florida Rules of Professional Conduct
Medical Malpractice
Medical liability claims carry tighter limits set by the Florida Constitution itself. Article I, Section 26 guarantees the claimant keeps at least 70% of the first $250,000 in damages and at least 90% of anything above that. In practice, that caps attorney fees at 30% of the first $250,000 and 10% of the rest, well below the standard personal injury schedule.3Florida Senate. Florida Constitution – Section 26 Claimants Right to Fair Compensation These limits are self-executing, and your attorney must tell you about them before you sign a medical malpractice contingency contract.4Justia Law. In Re Amendments to Rule Regulating The Florida Bar 4-1.5 Fees
Waivers and Structured Settlements
You can waive the caps, but only with a judge’s approval, and even then the fee still has to be reasonable under Rule 4-1.5(a). If your recovery is paid out over time as a structured settlement, the attorney’s fee must be calculated on the present value, not the total future payout.4Justia Law. In Re Amendments to Rule Regulating The Florida Bar 4-1.5 Fees
Costs Are Not the Fee
Costs and attorney fees are two different things, and confusing them is one of the more expensive mistakes clients make. The percentage is the attorney’s compensation. Costs are the out-of-pocket expenses the attorney advances during the case: filing fees, medical record retrieval, deposition transcripts, expert witnesses, and similar charges. On a complex case, costs can reach tens of thousands of dollars.
Net Method vs. Gross Method
Your contract must state whether costs are deducted before or after the attorney’s percentage is calculated.1The Florida Bar. Florida Rules of Professional Conduct Say you recover $100,000 with $10,000 in costs and a 33⅓% fee. Net method: costs come out first, the attorney takes 33⅓% of the remaining $90,000 ($30,000), and you keep $60,000. Gross method: the attorney takes 33⅓% of the full $100,000 ($33,333), then costs come out of your share, leaving you $56,667. The $3,333 difference comes entirely from your pocket. Check which method your agreement uses before you sign.
Who Pays Costs If You Lose
If there is no recovery, the attorney earns no fee. Costs are a separate question. The Florida Bar warns that you will have to pay the advanced costs unless the contract specifically says otherwise.5The Florida Bar. Attorneys Fees Some firms absorb the loss; some don’t. If the contract is silent or ambiguous, assume you owe them.
Your Rights Before and After You Sign
The Statement of Client’s Rights lists protections that exist independently of whatever the contract says.2The Florida Bar. A Consumer Guide to Clients Rights The ones that matter most:
- You can cancel the agreement in writing within three business days of signing, for any reason, and owe no fee, though you may owe costs the attorney actually incurred during that window.
- You can negotiate the percentage. No rule requires the attorney to charge any particular rate, and you can walk away if you don’t reach terms.
- You must be told upfront if other lawyers will be brought in, and each must sign the contract.
- You have the right to be kept informed and to make the final call on any settlement offer.
- When the case ends, you’re entitled to a written closing statement.
You sign the statement to confirm you read it. The attorney keeps one copy; you keep the other.2The Florida Bar. A Consumer Guide to Clients Rights
Firing Your Attorney After the Cancellation Window
You can always fire your attorney, but doing so after the three-day period may leave you owing for work already done. Because the contingency (winning) hasn’t occurred, Florida courts generally limit a discharged attorney’s recovery to the reasonable value of services actually rendered. If you go on to win with new counsel, the former lawyer can assert a charging lien on the recovery, and two attorneys may effectively split the fee. Your total legal cost can end up higher than if you had stayed put.2The Florida Bar. A Consumer Guide to Clients Rights
The Closing Statement
When your case resolves, the attorney must prepare a written closing statement before distributing any money. It shows the total recovery, an itemized list of every cost and expense deducted, the fee calculation, and the exact amount you receive.1The Florida Bar. Florida Rules of Professional Conduct You and the attorney both sign it.
Compare every line against your original contract. Confirm the fee tier is right for the stage the case actually reached. Confirm the correct percentage was applied. Confirm whether costs were deducted net or gross to match what you signed. Raise discrepancies before you sign. Once both signatures are on the closing statement, disputing the distribution gets much harder.
Where Contingency Fees Are Not Allowed
Two categories of representation cannot be handled on contingency in Florida:
- Criminal defense. The attorney cannot be paid based on the outcome of the case.
- Domestic relations matters, when the fee depends on securing a divorce or is tied to the amount of alimony, child support, or property division.
One narrow exception exists in family law: an attorney may charge a contingency fee to collect unpaid child support or alimony after the divorce is already final.1The Florida Bar. Florida Rules of Professional Conduct
The Rule 4-1.5(f)(4) percentage caps described above apply specifically to personal injury, property damage, wrongful death, and products liability claims. They do not govern commercial litigation, which follows different fee norms.4Justia Law. In Re Amendments to Rule Regulating The Florida Bar 4-1.5 Fees
What 2023 Tort Reform Changed for Insurance Cases
Florida’s House Bill 837, enacted in 2023, eliminated the one-way attorney fee statute in insurance disputes. Florida Statutes 627.428 and 626.9373 had allowed a policyholder who won against an insurer to recover attorney fees from the insurance company, which meant a contingency attorney could take a property insurance case knowing the insurer would pay the legal fees on top of the settlement.6Florida Senate. House Bill 837 (2023)
With that fee-shifting mechanism gone, attorneys carry more risk on these matters. Some have become more selective about which insurance cases they take on contingency, and some have adjusted their fee structures. If you’re pursuing a property insurance claim, ask directly how HB 837 affects the economics of your case and whether the percentage in the contract reflects that shift.