Do Minors Pay a Lower Attorney Fee in California?

By the FigureMyTax Editorial Team · How we calculate

California has no lower contingency percentage for children by statute, but the court must approve the attorney fee from a minor's settlement using a reasonable-fee standard, and the attorney must file a declaration addressing the rule's factors.

The court sets the fee

The court order approving a minor's compromise must direct that reasonable expenses, costs and attorney's fees, as the court approves and allows, be paid from the money for the child (Probate Code 3601). Under rule 7.955(a), unless the court approved the fee agreement in advance, it must use a reasonable-fee standard and consider the representation agreement, evaluating it on the facts and circumstances when it was made.

The factors

Rule 7.955(b) lets the court consider, among others: the fact that a minor is involved; the fee in proportion to the value of the services; the novelty and difficulty of the questions and the skill required; the amount involved and results obtained; the time and labor required; the informed consent of the representative to the fee; and whether the fee is fixed, hourly or contingent. For a contingent fee, it may also consider the risk of loss the attorney bore, the costs the attorney advanced and the delay in payment.

The attorney's declaration

A petition requesting approval of a fee must include a declaration from the attorney addressing the applicable factors (rule 7.955(c)). The Judicial Council has preempted local rules on the determination of reasonable fees from minors' settlements, apart from scheduling and assignment (rule 7.955(d)).

No cap and no child discount in the statute

We did not find a California statute that sets a fixed percentage for children. The one-third or 40 percent in many agreements is a starting point the court evaluates, not a rule. What the court allows may be lower than the agreement, so ask your lawyer how the fee was justified.

Other amounts that come out

Costs, medical bills and liens, and reimbursement to a parent also reduce the child's share, and each needs the court's approval. See what a lien can take from a settlement and why the judge reviews the whole settlement.

See the effect of the fee

Change the fee in the California minor's settlement calculator to see how 25%, 33.3% and 40% change what is left, and read where the remaining money can be held.

This is general information, not legal advice, and the state comparisons above are illustrative, not an exhaustive survey. Confirm how California's rules apply to your specific case with a licensed California attorney.