Sacramento Car Accident Victim Must Fight Employer For Part Of His Settlement, Part 8 of 8

(Please note: the names and locations of all parties have been changed to protect the confidentiality of the participants in this car accident and personal injury case and its proceedings.)

White ‘s Lien Amount Must be Reduced by $10,682.58, Which Will Directly and Exclusively Benefit Mr. Black, Not his Counsel.

Mr. Black is legally obligated, based on his “Retainer Agreement (Contingent Fee)” with the XYZ firm to pay that firm 40% of his recovery. In addition, that agreement requires him to pay costs for the prosecution of this action. Those amounts will be deducted from the $100,000 settlement amount.

But White then proposes deducting its full workers’ compensation lien of $23,717.22, from what Mr. Black has left from his $100,000 recovery, despite that White did nothing that effectuated that recovery amount. If White is permitted this unreasonable deduction, that will mean money coming from Mr. Black’s pocket. In other words, Mr. Black will walk away with considerably less — only about $31,000. This is completely inequitable, which is why California law requires an allocation to be made.

For more information you are welcome to contact Sacramento personal injury lawyer, Moseley Collins.

Plaintiff proposes that White’s lien be reduced by a total of $10,682.58. Plaintiff has calculated the reduction by (1) deducting 40% of the lien amount as White ‘s equitable share of attorney’s fees ($9,486.88); (The 40% calculation is based on the percentage of attorney’s fees owed by Mr. Black under his retainer agreement with his counsel.), and (2) deducting 24% of the costs amount as White’s equitable share of costs ($1,195.70). (The 24% calculation is based on the fact that the workers’ compensation lien amount of $23,717.22 is 24% of the total settlement amount of $100,000.) The sum of $9,486.88 and $1,195.70 equals $10,682.58.


For all the foregoing reasons, plaintiff Owen Black respectfully requests that his motion for an equitable allocation of attorney’s fees and costs be granted, and that the lien amount of plaintiff in intervention, White Insurance Services, be reduced by $10,682.58.

For more information you are welcome to contact Sacramento personal injury lawyer, Moseley Collins.

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