A lawyer is paid by the law firm. He submits a bill to the client for his work. The client pays the firm. The firm pays the lawyer either based on a commission basis or on a flat fee. The firm retains much of the money to pay for overhead.
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No attorneys do not work on a commission basis. They can work on a contingency basis, which means they only get money if they win the case. Most states cap the maximum at one third of the recovery.