Middle-Class Americans Can’t Afford to Lawyer Up

In the legal world, middle-class Americans are in a real conundrum, often leading to the nation’s median-income earners getting no help at all.

In the United States, average lawyer hourly rates run from $211 to $424, and a lost trial can be even more costly, according to LawPay. This puts legal help far out of reach for the average American, who has a median income of $74,580, according to the U.S. Census Bureau.

Right in the middle between rich and poor, the middle class often makes too much to qualify for free legal aid but not enough to file the types of lawsuits or receive the type of defense they’d like when in need of help, New York attorney Min Hwan Ahn told Newsweek.

“It presents a paradox where middle-income individuals find themselves trapped in a justice gap,” Ahn said. “They find themselves uniquely disadvantaged, as the legal system, with its intricate nature and high expenses, appears to favor either the affluent, who can effortlessly afford legal fees, or the impoverished, who qualify for legal aid.”

Real-Life Impact

In 2014, singer Collette McLafferty was sued for $10 million by a stranger.

The lawsuit came after McLafferty sang in a Pink cover band, unaware that the bass player had a falling out with the former drummer. The drummer sued the bass player, McLafferty and one other person, accusing them of conspiring to steal his idea, she said.

“The case was 112 pages long,” McLafferty told Newsweek. “He also mentioned he did not think I was attractive enough to sing in a Pink cover band. This was a small detail of the case, but it went viral worldwide.”

The entire ordeal lasted for two years. During this time, McLafferty saw firsthand the struggles middle-class Americans can face navigating the legal system.

She couldn’t afford a personal injury attorney, so instead she got initial help from a real estate attorney. At the time, McLafferty didn’t know about legal aid, court-appointed attorneys or law school programs. Only after the case attracted media attention was McLafferty able to get a top lawyer to represent her.

“I got the case thrown out and eventually got my $15,000 in legal fees back, but I had to give up my apartment in Manhattan to afford it,” McLafferty said.

Since then, McLafferty finds herself commonly speaking up about the extra hurdles most Americans face when put into the seemingly impossible situation of handling a multimillion-dollar lawsuit.

“People should have tools to understand common legal jargon,” McLafferty said. “The basics of the legal system should be taught in schools. I didn’t know the difference between civil court and criminal court when I was sued. So many people don’t.”

For other Americans who find themselves in a similar situation, McLafferty recommends they look at the resources available at law school clinics. Beyond just being unable to defend themselves, the costs of the legal system can also stop Americans from using some essential legal services.

Renee Fry, Boston-based CEO of estate planning platform Gentreo, said she watched her middle-class parents give away $10,000 just to complete an estate plan.

“It canceled their vacation plans for the year, Fry told Newsweek. “Almost every year after, there was a bill from the law firm to update a document like a health care proxy.”

These types of legal hurdles are hard felt by Americans, as less than 20 percent have executed an estate plan, she said. Fry’s Gentreo seeks to change that narrative and help middle-class families protect their money without giving it all away. “Creating a will or living trust or even a health care proxy should not cost thousands of dollars and now with technology it doesn’t have to,” Fry said.

Checking the Legal Facts

Even the wealthy often avoid litigation when the financial consequences are made clear to them, Randall Kessler, attorney at Kessler & Solomiany law firm, said.

“Often, even with wealthy people, if a good lawyer explains to them the costs of litigation, people will choose to let it go,” Kessler told Newsweek.

While organizations like Atlanta Volunteer Lawyers Foundation exist to help address the needs of middle-class Americans unable to afford their own lawsuit, Kessler said people also have the right to file a lawsuit on their own, representing themselves.

“There is no rule against filing a lawsuit on your own,” Kessler said. “Many do it, and many do it successfully.”

Still, some Americans might be unaware that attorneys in fields like personal injury, Social Security disability and long-term disability work on a contingency fee basis. That means the attorney only gets paid if they are successful in gaining payment for their client.

“I regularly hear from people who did not inquire about representation because they were scared of the cost and believed they couldn’t afford it, when in actuality it would have cost them nothing out of pocket,” Louisiana-based attorney Loyd Bourgeois told Newsweek.

In family, contract, criminal, business and general civil litigation, however, the hourly and flat fees can quickly add up, and middle-class America is largely left out in the cold.

“The ability of those who can afford representation to properly handle their legal matters only widens the economic gap between the upper and middle classes,” Bourgeois said.

Ultimately, the U.S. legal system is built to disproportionately favor the wealthy, Adrienne Hines, Ohio-based bankruptcy and injury lawyer, said. These are often the high-profile cases that get specific lawyers on the map in the public’s eye.

“Legal cases that make the news often involve sensational facts, high-profile individuals, or substantial financial stakes,” Hines told Newsweek. “Yet, everyday legal issues faced by ordinary people, like breached contracts, misrepresentation in sales, or various forms of legal harm, rarely garner such attention.”