N.Y. Judiciary Law § 474-a: Contingent fees for attorneys in claims or actions for medical, dental or podiatric malpractice

§ 474-a. Contingent fees for attorneys in claims or actions for

medical, dental or podiatric malpractice. 1. For the purpose of this

section, the term "contingent fee" shall mean any attorney's fee in any

claim or action for medical, dental or podiatric malpractice, whether

determined by judgment or settlement, which is dependent in whole or in

part upon the success of the prosecution by the attorney of such claim

or action, or which is to consist of a percentage of any recovery, or a

sum equal to a percentage of any recovery, in such claim or action.

2. Notwithstanding any inconsistent judicial rule, a contingent fee in

a medical, dental or podiatric malpractice action shall not exceed the

amount of compensation provided for in the following schedule:

30 percent of the first $250,000 of the sum recovered;

25 percent of the next $250,000 of the sum recovered;

20 percent of the next $500,000 of the sum recovered;

15 percent of the next $250,000 of the sum recovered;

10 percent of any amount over $1,250,000 of the sum recovered.

3. Such percentages shall be computed on the net sum recovered after

deducting from the amount recovered expenses and disbursements for

expert testimony and investigative or other services properly chargeable

to the enforcement of the claim or prosecution of the action. In

computing the fee, the costs as taxed, including interest upon a

judgment, shall be deemed part of the amount recovered. For the

following or similar items there shall be no deduction in computing such

percentages: liens, assignments or claims in favor of hospitals, for

medical care, dental care, podiatric care and treatment by doctors and

nurses, or of self-insurers or insurance carriers.

4. In the event that claimant's or plaintiff's attorney believes in

good faith that the fee schedule set forth in subdivision two of this

section, because of extraordinary circumstances, will not give him

adequate compensation, application for greater compensation may be made

upon affidavit with written notice and an opportunity to be heard to the

claimant or plaintiff and other persons holding liens or assignments on

the recovery. Such application shall be made to the justice of the trial

part to which the action had been sent for trial; or, if it had not been

sent to a part for trial, then to the justice presiding at the trial

term calendar part of the court in which the action had been instituted;

or, if no action had been instituted, then to the justice presiding at

the trial term calendar part of the Supreme Court for the county in the

judicial department in which the attorney has an office. Upon such

application, the justice, in his discretion, if extraordinary

circumstances are found to be present, and without regard to the

claimant's or plaintiff's consent, may fix as reasonable compensation

for legal services rendered an amount greater than that specified in the

schedule set forth in subdivision two of this section, provided,

however, that such greater amount shall not exceed the fee fixed

pursuant to the contractual arrangement, if any, between the claimant or

plaintiff and the attorney. If the application is granted, the justice

shall make a written order accordingly, briefly stating the reasons for

granting the greater compensation; and a copy of such order shall be

served on all persons entitled to receive notice of the application.

5. Any contingent fee in a claim or action for medical, dental or

podiatric malpractice brought on behalf of an infant shall continue to

be subject to the provisions of section four hundred seventy-four of

this chapter.