CONTINGENT RETAINER AGREEMENT — PROPERTY DAMAGE CLAIM AGAINST CLIENT’S INSURANCE COMPANY

I/WE, __________, (jointly and/or severally referred to as the “Client/Insured”), do hereby retain and employ VEGA LEGAL GROUP, LLC, (“Attorney”), located at 33 SW 2nd Ave. Suite 1104, Miami, FL 33130, to represent the Client in claim(s) for contractual rights against the Client’s insurance carrier and/or insurance agent and/or their agents, arising out of an incident, accident, loss or occurrence under the insurance contract issued by __________, policy number __________ (“Policy”) that occurred at the location of the Client’s property: __________ (the “Property”) whose date of loss was __________ and was caused by __________ (the “Loss”).

1. Attorney’s Fees — Contingent on Recovery:

This employment is on a contingent fee basis. If no recovery is made for, or on behalf of Client, Client shall not be obligated to pay Attorney’s fees for any of the professional services rendered in reference to this matter by the Attorney. However, from the gross proceeds of any recovery, the Attorney shall be entitled to receive the following legal fees for the services set forth below: For payments issued by the insurance company in a pre-litigation claim, attorneys fees shall be paid pursuant to paragraph (1)(A) below. For payments issued by the insurance company for a claim that is in litigation, attorney fees shall be payable pursuant to paragraph (1)(B) below.

A) The Client/Insured hereby agrees to pay to Attorney an amount equal to 25% of the (TOTAL/SUPPLEMENTAL) amount paid for the collectible loss or damage recovered by Attorney as the Attorney’s fee (including recoverable depreciation overhead and profit and any extra-contractual or bad faith damages less deductible) regardless of whether the Loss is settled or paid by the insurance company(s) as a result of adjustment, mediation, appraisal, arbitration, lawsuit or otherwise, on all coverages applicable under the above policy or any other applicable policy. If no recovery is made for, or on behalf of Client, Client shall not be obligated to pay Attorney’s fees. In the event the Loss is required to go to appraisal, or appraisal is demanded by either the Insurance Company or the Insured, the insured hereby agrees to pay the Attorney an additional 10% of the amount paid of the collectible Loss or damage recovered by the attorney as the Attorney’s fee.

In the event Pre-Suit Mediation is requested by the insurance company or by the insured there is an additional 10% fee through Pre-Suit Mediation of the amount paid recovered by the attorney as the Attorney’s fee.

Additionally, if the insurance company declares insolvency and goes into receivership and the Florida Insurance Guaranty Association takes over all the claims, the insured now agrees to pay the Attorney an additional 10% fee for the claim process through FIGA.

B) Client hereby authorizes Attorney to file suit against Client’s insurance company should they deny, reject, or under-pay Client’s claim. If the case is settled in litigation or the client prevails in the litigation, and a judgment by any court is entered in the Client’s favor, the Client agrees to pay the Attorney an additional 15% of the amount agreed on the settlement release or judgement by the court.

If the payment of attorney’s fees is required to be determined by the Court, or if settlement is achieved via negotiations with the insurance company, Attorney shall be entitled to receive all such attorney’s fees, including all contingency risk factor multipliers awarded by the Court. If a settlement includes an amount for attorney’s fees, the attorney shall be entitled to receive all its negotiated fees.

Client agrees to pay Costs incurred by Attorney for investigating and/or prosecuting of the case out of any recovery received. Costs will be deducted from any recovery after deducting attorneys’ fees and before any other distribution. The term “recovery” includes any award resulting from a settlement, trial, and/or appeal. The term “costs,” include, but is not limited to such items as photographs, filing fees, service of summonses and subpoenas, appearance of court reporters, transcripts, investigative expenses, interest on case development, loans for client, expert witness fees, fees for expert conferences and other court/case/litigation costs. At the time this claim is closed, an accounting will be made for all distributions in the case, including costs, expenses, and attorney’s fees.

The Client/Insured hereby grants permission to the Attorney to retain on behalf of the Client/Insured the professional services of appraisers, loss consultants, estimators, engineers and other experts reasonably needed to assist in this matter. Reimbursement of costs to the Attorney shall be due and payable at the time that insurance proceeds are paid or issued by the insurance company. In consideration for Attorney’s professional services hereunder, the Client/Insured hereby unconditionally assigns to Attorney, and Attorney shall have a lien on, that portion of the insurance proceeds paid or payable sufficient to pay the amount due Attorney under this agreement.

The Client/Insured may cancel this contract without penalty or obligation within three (3) business days after execution of the contract and the insurer is notified, by phone or in writing, whichever is later. Notice of Cancellation must be submitted in writing to the address set forth above and sent by certified mail, return receipt requested or other form of mailing which provides proof thereof. If the Client/Insured unilaterally terminates this contract after the period for cancellation set forth above, the Client/Insured understands and agrees that Attorney shall remain fully entitled to receive the total amount of Attorney’s fees and costs set forth above. In the event of any litigation instituted by the Attorney for non-payment of any or all of the Attorney’s fee, the prevailing party on the issue of non-payment shall be entitled to recover reasonable attorney’s fees. This agreement shall be binding upon the estate of the insured in the event of his/her death.

PURSUANT TO S. 817.234, FLORIDA STATUTES, ANY PERSON WHO, WITH THE INTENT TO INJURE, DEFRAUD, OR DECEIVE ANY INSURER OR INSURED, PREPARES, PRESENTS, OR CAUSES TO BE PRESENTED A PROOF OF LOSS OR ESTIMATE OF COST OR REPAIR OF DAMAGE PROPERTY IN SUPPORT OF A CLAIM UNDER AN INSURANCE POLICY KNOWING THAT THE PROOF OF LOSS OR ESTIMATE OF CLAIM OR REPAIRS CONTAINS ANY FALSE, INCOMPLETE OR MISLEADING INFORMATION CONCERNING ANY FACT OR THING MATERIAL TO THE CLAIM COMMITS A FELONY OF THE THIRD DEGREE, PUNISHABLE AS PROVIDED IN FLORIDA STATUTES 775.082, 775.083 OR 775.084.

2. Breach of Contract Actions:

In the event the Attorney is required to file a lawsuit against the Insurance Company and the attorney is entitled to reasonable attorney’s fees. The issue of amount of reasonable attorney’s fees and costs to be paid by the Insurance Company is to be determined by the court after a trial or settlement, Attorney shall be entitled to receive all of such attorney’s fees, including any and all contingency risk factor multiplies awarded by the Court, or, if a settlement specifically includes an amount of Attorney’s Fees, Attorney shall be entitled to receive all of such attorney’s fees and costs.

3. Statement of Client’s Rights:

Client has, before signing this contract, received and read the Statement of Client’s Rights, and understands each of the rights set forth therein. Client has signed the Statement of Client’s Rights and has received a signed copy to keep, and to refer to, while being represented by the Attorney. This contract may be cancelled by written notification to the Attorney at any time within three (3) business days of the date the contract was signed, as shown below, and if cancelled, the Client shall not be obligated to pay any fees to the Attorney for the work performed during that time. If the Attorney has advanced funds to others in representation of the Client, the Attorney is entitled to be reimbursed for all such amounts as the Attorney has reasonably advanced on behalf of the Client.

I). At any stage of the proceedings, Attorney may retain and employ, in Client’s name, the services of any additional attorneys who, in Attorney’s judgment, may assist them in preparation, investigation, or prosecution of Client’s claim. In the event additional attorneys are employed on Client’s behalf, the employment shall be on the terms and conditions within the sole discretion of Attorney, so long as the nature and extent of Client’s obligation to pay attorney fees is not changed.

II). The attorney is authorized, on Client’s behalf, to execute all documents, including pleadings, stipulations, and agreements, as it may become necessary to investigate, evaluate, and prosecute Client’s Claim.

III). Client authorizes and gives Power of Attorney to endorse Client’s name for the purpose of depositing settlement draft(s) into VEGA LEGAL GROUP, LLC, Trust Account for disbursement in accordance with the Closing Statement.

IV). Client understands that all mortgagees will be named as additional payee on all insurance checks for real property damages, and the Client agrees to be solely responsible to obtain all mortgagees endorsements of said checks. If the Client wishes to have the law firm handle the mortgage endorsement of the insurance check, they shall pay a fee of $495.00.

4. Entire Agreement:

This retainer agreement contains the entire understanding between Client and Attorney and there are no other agreements, promises or undertakings between them except as set forth herein. Client acknowledges having received a copy of the Contingent Fee Retainer Agreement. Client agrees that Attorney is accepting this engagement on the understanding that Attorney’s representation of Client will not preclude attorney from accepting any other engagement from any existing or new Client provided that (i) such engagement is not substantially related to the subject matter of any services we are provided to Client and (ii) in accepting such other engagement Attorney would not impair the confidentiality of proprietary, sensitive or otherwise confidential communications made to Attorney by Client.

CLIENT’S BILL OF RIGHTS — STATEMENT OF CLIENT’S RIGHTS

Before you, the prospective client, arrange a contingency fee agreement with a lawyer, you should understand this Statement of your Rights as a client. This Statement is not a part of the actual contract between you and your lawyer, but as a prospective client, you should be aware of these rights:

1. There is no legal requirement that a lawyer charge a client a set fee or a percentage of money recovered in a case. You, the client, have the right to talk with your lawyer about the proposed fee and to bargain about the rate of percentage as in any other contract. If you do not reach an agreement with one lawyer, you may talk with other lawyers.
2. Any contingency fee contract must be in writing, and you have three (3) business days to reconsider the contract. You may cancel the contract without any reason if you notify your lawyer in writing within three (3) business days of signing the contract. If you withdraw from the contract within the first three (3) days, you do not owe the lawyer a fee although you may be responsible for the lawyer’s actual costs during that time. But if your lawyer begins to represent you, your lawyer may not withdraw from the case without giving you notice, delivering necessary papers to you, and allowing you time to employ another lawyer. If you discharge your lawyer without good cause after the 3-day period, you may have to pay a fee for work the lawyer has done.
3. Before hiring a lawyer, you, the client, have the right to know about the lawyer’s education, training and experience. If you ask, the lawyer should tell you specifically about his or her actual experience dealing with cases similar to yours. If you ask, the lawyer should provide information about special training or knowledge and give you this information in writing if you request it.
4. Before signing a contingency fee contract with you, a lawyer must advise you whether he or she intends to handle your case alone or whether other lawyers will be helping with the case. If your lawyer intends to refer the case to other lawyers, he or she should tell you what kind of fee sharing arrangement will be made with the other lawyers. If lawyers from different law firms will represent you, at least one lawyer from each law firm must sign the contingency fee contract.
5. If your lawyer intends to refer a case to another lawyer or counsel with other lawyers, your lawyer should tell you about that at the beginning. If your lawyer takes the case and later decides to refer it to another lawyer or to associate with other lawyers, you should sign a new contract which includes the new lawyers. You, the client, also have the right to consult with each lawyer working on your case and each lawyer is legally responsible to represent you and is legally responsible for the acts of the other lawyers involved in the case.
6. You, the client, have the right to know in advance how you will need to pay the expenses and the legal fees at the end of the case. If you pay a deposit in advance for costs, you may ask reasonable questions about how the money will be or has been spent and how much of it remains unspent. Your lawyer should give a reasonable estimate about future necessary costs. If your lawyer agrees to lend or advance you money to prepare or research the case, you have the right to know periodically how much money your lawyer has spent on your behalf. You also have the right to decide, after consulting with your lawyer, how much money is to be spent to prepare a case. If you pay the expenses, you have the right to decide how much to spend. Your lawyer should also inform you whether the fee will be based on the gross amount recovered or on the amount recovered minus the costs.
7. You, the client, have the right to be told by your lawyer about possible adverse consequences if you lose the case. Those adverse consequences might include money which you might have to pay to your lawyer for costs, and liability you might have for attorney’s fees to the other side.
8. You, the client, have the right to receive and approve a closing statement at the end of the case before you pay any money. The statement must list all of the financial details of the entire case, including the amount recovered, all expenses, and a precise statement of your lawyer’s fee. Until you approve the closing statement you need not pay any money to anyone, including your lawyer. You also have the right to have every law firm working on your case sign this closing statement.
9. You, the client, have the right to ask your lawyer at reasonable intervals how the case is progressing and to have these questions answered to the best of your lawyer’s ability.
10. You, the client, have the right to make the final decision regarding settlement of a case. Your lawyer must notify you of all offers of settlement before and after the trial. Offers during the trial must be immediately communicated and you should consult with your lawyer regarding whether to accept a settlement. However, you must make the final decision to accept or reject a settlement.
11. If at any time, you, the client, believe that your lawyer has charged an excessive or illegal fee, you, the client, have the right to report the matter to The Florida Bar, the agency that oversees the practice and behavior of all lawyers in Florida. For information on how to reach The Florida Bar, call 1-800-342-8060, or contact the local bar association. Any disagreement between you and your lawyer about a fee can be taken to court and you may wish to hire another lawyer to help you resolve this disagreement. Usually, fee disputes must be handled in a separate lawsuit.