North Dakota: How Contingency Fees Work, Explained

The percentage is negotiated freely for personal injury — but a different, statutory cap governs workers' compensation entirely.

The core promise: no recovery, no fee

A contingency fee means the attorney's fee is contingent — dependent — on actually winning or settling the case. If there's no recovery at all, the client generally owes no attorney fee, regardless of how much work went into the case.

What Rule 1.5 actually requires

Rule 1.5 of the North Dakota Rules of Professional Conduct sets the baseline: a lawyer's fee must be reasonable, measured against factors including the fee customarily charged locally for similar work, the attorney's experience and ability, and whether the fee is fixed or contingent.

A written agreement is required

A North Dakota contingent fee agreement must be in writing and explicitly state how the fee is determined, including the percentage the attorney will be paid from any settlement, award, or appeal. This disclosure requirement is part of what Rule 1.5 is designed to ensure — a client understands the fee structure before agreeing to it.

A genuinely different rule for workers' compensation

N.D.C.C. § 65-02-08 caps attorney fees in workers' compensation cases at 20% of the amount awarded, subject to a maximum fee set by administrative rule. This statutory cap is a separate legal framework entirely from Rule 1.5 and doesn't apply to ordinary personal injury contingency fees.

No specific percentage written into law for personal injury

Beyond the reasonableness requirement, North Dakota sets no specific percentage ceiling for a personal injury contingency fee. The rate is negotiated privately between attorney and client, with one-third of the recovery being a commonly used figure in practice.

How contingency fees work — frequently asked questions

What does "contingency" actually mean in a North Dakota fee agreement?

It means the attorney's fee is contingent on winning or settling the case. If there's no recovery, the client generally owes no attorney fee at all.

What does Rule 1.5 actually require of a contingency fee?

The fee must be reasonable, judged against factors including the fee customarily charged in the locality for similar work, the attorney's experience and ability, and whether the fee is fixed or contingent.

Must a North Dakota contingency fee agreement be in writing?

Yes — it must be in writing and explicitly state how the fee is determined, including what percentage the attorney will be paid from any settlement, award, or appeal.

Does workers' compensation in North Dakota follow the same fee rule?

No. Workers' compensation attorney fees are capped by statute at 20% of the amount awarded under N.D.C.C. 65-02-08 — a different, statutory regime separate from Rule 1.5.

Is a contingency fee agreement negotiable in North Dakota?

Yes. The rate is set by private agreement between attorney and client, subject to the reasonableness standard of Rule 1.5.

This page provides general guidance only and is not legal advice. Figures are based on Rule 1.5 of the North Dakota Rules of Professional Conduct and N.D.C.C. § 65-02-08, verified per our methodology. Confirm your actual fee agreement with a licensed North Dakota attorney before acting.