Short Answer

In North Carolina, you can usually change personal injury lawyers even after you sign a contingency fee agreement. If you switch, the first lawyer may still have a right to be paid for work already done (often out of any later settlement or verdict), and you may still be responsible for case costs that were advanced on your behalf. The exact outcome depends on what your signed agreement says about expenses and what work was completed before the change.

Understanding the Problem

If you are in North Carolina and you sign a contingency fee agreement with a personal injury lawyer, can you later hire a different lawyer—and if you do, what happens to the first lawyer’s fee and any case costs—especially where you have not yet provided documents for your accident claim?

Apply the Law

North Carolina generally allows clients to change lawyers. The practical issue is not whether you are “allowed” to switch, but how the prior lawyer’s fee and any advanced expenses are handled if your case later results in a recovery. In many personal injury matters, the first lawyer will not be entitled to the full contingency percentage if they are no longer representing you at the end; instead, the first lawyer may seek a reasonable fee for the value of the work performed before the change, and the lawyers may address that division when the case resolves. Separately, costs (like record fees, filing fees, and other out-of-pocket litigation expenses) are often treated differently than attorney time and may be reimbursed from the recovery depending on the contract terms.

Key Requirements

• What your fee contract says about expenses: Many agreements explain whether costs are advanced by the firm, whether you must repay them if you switch, and whether repayment comes from the settlement or directly from you.
• Whether there is a recovery: In a contingency case, fees are typically paid from money recovered. If there is no recovery, the fee may be zero, but costs can still be an issue depending on the agreement.
• How much work the first lawyer actually did: The more work completed (investigation, claim setup, negotiations, filing suit), the more likely the first lawyer will assert a right to be compensated for that work.
• How and when the change happens: Switching early (before major work) usually reduces fee friction; switching later (after suit is filed or close to settlement) can increase disputes about fee division.
• How settlement funds must be handled: When a case resolves, the disbursing lawyer must account for attorney’s fees and disbursements and handle valid liens and claims before distributing the net to the client.

What the Statutes Say

• N.C. Gen. Stat. § 44-50 (Medical liens; retaining funds; disbursement duties) - Requires the person receiving settlement funds (often the lawyer) to retain enough to pay certain medical-related claims after notice, and explains that this lien framework does not interfere with amounts due for attorney services.
• N.C. Gen. Stat. § 44-50.1 (Accounting of disbursements) - Requires an accounting/certification in certain lien-payment situations and includes disclosure items such as the total settlement and total attorney’s fees.
• N.C. Gen. Stat. § 6-21.1 (Attorney’s fees as costs in certain small PI/property damage cases) - In limited situations and with specific findings, a court may award attorney’s fees as part of costs; this is separate from a private contingency fee agreement.

Analysis

Apply the Rule to the Facts: Because you are still at an early stage (you have not yet provided documents or received a clear evaluation), switching lawyers soon after signing often means the first lawyer’s time investment may be limited, but the signed agreement may still address reimbursement of any costs the firm advanced. If you later recover money on the claim, the first lawyer may assert a right to be paid for work already performed, and the final disbursement typically accounts for fees, costs, and any valid liens before you receive the net amount.

Process & Timing

1. Who acts: You (the client). Where: Directly with your current lawyer and your new lawyer (no court filing is required just to change lawyers if no lawsuit is pending). What: A written notice ending representation and a request for your file to be transferred. When: As soon as you decide; do not wait until a settlement deadline or a lawsuit filing deadline is close.
2. Fee/cost coordination: Your new lawyer typically contacts prior counsel to confirm what (if any) fee claim or cost reimbursement is being asserted and how it will be handled if the case resolves.
3. End-of-case accounting: If the claim later settles or results in a judgment, the lawyer disbursing funds prepares a settlement statement/accounting showing the gross recovery, attorney’s fees, case costs, lien payments, and your net distribution.

Exceptions & Pitfalls

• Contract language can change the cost outcome: Some agreements say costs are reimbursed only if there is a recovery; others say you may owe advanced costs even if you end the relationship. Read the “expenses” and “termination” sections carefully.
• Switching late can create fee disputes: If you change lawyers after major litigation work or right before settlement, the prior lawyer is more likely to claim a larger share of the fee for work already done.
• Do not assume “no fee” means “no costs”: Contingency fees and case expenses are different. Even when the attorney fee is contingent, costs may still need to be repaid depending on the agreement.
• File transfer delays: Waiting for records, liens, or the complete file can slow a new lawyer’s ability to evaluate the case and meet deadlines. Ask for a prompt file transfer and keep copies of what you have.
• Settlement distribution must address liens: In personal injury cases, medical lien issues can affect what is paid out at the end, and the disbursing lawyer must handle those obligations before distributing the net proceeds.

Conclusion

In North Carolina, you can usually switch personal injury lawyers after signing a contingency fee agreement, but the first lawyer may still claim payment for work already performed and you may still be responsible for case costs that were advanced, depending on your contract and whether there is a recovery. The cleanest next step is to end the relationship in writing and have your new lawyer request the file transfer promptly so deadlines—especially the statute of limitations—stay protected.

Talk to a Personal Injury Attorney

If you’re dealing with a contingency fee agreement and you’re unsure what happens to fees and costs if you change lawyers, our firm has experienced attorneys who can help you understand your options and timelines. Reach out today. Call [CONTACT NUMBER].

Disclaimer: This article provides general information about North Carolina law based on the single question stated above. It is not legal advice for your specific situation and does not create an attorney-client relationship. Laws, procedures, and local practice can change and may vary by county. If you have a deadline, act promptly and speak with a licensed North Carolina attorney.