I was in an auto accident that wasn't my fault and received full settle. I think my lawyer fees are too high?

Assuming California law applies, there is no general rule that an attorney handling an ordinary auto accident claim is limited to 33⅓% unless the case goes to trial. A 40% contingency fee can be enforceable in a case that settles before trial. If a valid agreement clearly provides for 40% and the condition triggering that percentage occurred, your expectation of a lower percentage alone generally would not override the agreement.

The phrase “if full recovery is achieved” likely coincides with other provisions in your Attorney Client Fee Agreement. Its meaning depends on the entire agreement, including any definitions, other fee provisions, and amendments. Ask your attorney to explain in writing what “full recovery” means under your agreement and why your settlement satisfies that condition. A policy limits settlement, for example, does not necessarily mean full compensation for all damages; the contractual wording matters. Any communications in which the attorney represented that a lower percentage would apply should also be reviewed.

California Business and Professions Code section 6147 requires contingency fee agreements to satisfy specific requirements, including stating the agreed percentage, explaining how costs affect the fee and your recovery, and stating that the fee is negotiable rather than set by law. Noncompliance can make the agreement voidable at your option, but the attorney may still recover a reasonable fee. That does not automatically reduce the fee to 33⅓% or eliminate it.Attorneys also cannot charge illegal or unconscionable fees, although 40% is not automatically unconscionable and is quite common in California.

Request a complete signed copy of the agreement and an itemized settlement statement showing the gross settlement, attorney’s fee calculation, costs, liens, and your net recovery. 

If settlement funds remain in the attorney’s trust account, identify any disputed fee amount in writing promptly. The disputed amount must remain in trust until the dispute is resolved, while undisputed funds you are entitled to receive must be distributed promptly.

It depends on your employment agreement with the attorney. Some firms charge 40% or more from the start , other firms have different times when the fee increases, it could be when litigation commences, which is the filing of a lawsuit, or it could be 90 days prior to trial, or it could be at trial. Fees are negotiable at the time you sign the agreement but many firms stick to their fee structure. Many clients are confused by this  but it should be spelled out in the agreement. 40% may seem like a lot but it is the standard fee and it is earned in a contingent fee situation. When the attorney takes on your case it is impossible to predict if your case will be one that  the other side fights the heck  out of  and you end up working for ten dollars an hour when your overhead is $500 per hour, or if it is a case where you end up with a smooth process and end up making $5000 per hour. On balance injury firms do not have a large profit margin and your case may end up financing some of the more difficult cases. It may not seem fair if it appears your attorney did not have to invest much time and money into your case, but on the other hand you would not have been able to afford to hire a lawyer if you had to pay hourly. The contingent fee gave you access to justice you wouldnt have had otherwise. 

California does not have a standard 33% attorney fee for personal injury cases, and there is no rule that a lawyer can charge 40% only if the case goes to trial. Some firms charge one-third before a lawsuit is filed and 40% afterward, but the rate depends on the agreement you signed.

If your agreement provides for a 40% fee on this settlement, that is the fee you agreed to. The fact that the case settled without a trial, or that you expected the fee to be 33%, does not change the agreement.

You can ask your lawyer for a breakdown of the settlement, including the fee, case costs, any liens, and what you will receive. You can also ask whether the lawyer is willing to reduce the fee, but there is no automatic right to a lower percentage simply because the case settled.