Who Pays When You Sue in a Car Accident?

January 14, 2025 Vehicle Wrecks

Getting injured in a car accident is a traumatic experience, and it’s worse when it doesn’t only affect your physical state but your mental health and finances, too. Thankfully, Texas law allows you to turn to the legal system and seek compensation when negligence caused the collision that harmed you. However, victims have one question: Who will pay them if they sue?

This blog will delve into the intricacies of who pays after a car accident in Texas, including how insurance policies influence compensation and what happens in the event of a lost lawsuit. If you require further information, our car accident lawyer at Terry Bryant Accident & Injury Law is ready to assist. Call us at (713) 973-8888 to arrange a free case review.

Why Choose the Terry Bryant Accident & Injury Law Team?

At Terry Bryant Accident & Injury Law, we have spent over 35 years representing car accident victims, helping them fight for their rights and protecting their interests. In the years we’ve served, we have handled many successful negotiations, but when negotiations fall through, we help our clients file lawsuits and have recorded successful verdicts, too.

We are personal injury trial lawyers, certified by the Texas Board of Legal Specialization. Therefore, you can rely on us to handle your case with the skill and expertise needed to secure a favorable verdict. We will draft and file all the court processes and advocate for you during the trial, so you can focus on your recovery and not worry about the lawsuit. Our attorneys will update you throughout the process and explain what to expect at every turn. Contact us to get started on your case without delay to avoid expiration of the statute of limitations.

Our attorneys dedicate time and resources to every case we handle to secure the best possible outcome. 

Common Expenses Associated With Car Accidents

There are several expenses associated with car accidents in Texas. They include the following:

Medical Expenses

This covers all necessary medical treatments, including ongoing follow-up doctor’s appointments, physical therapy, and surgical procedures. If you used your money to pay for any of the preceding, you will be reimbursed at the end of a successful lawsuit. However, you will not be refunded for any treatment unrelated to your accident injuries, even if you underwent the treatment simultaneously.

Towing and Car Rental Fees

If your car was rendered undrivable after the accident and required towing to a repair facility, your compensation will include this expense. Similarly, if you rent a car while your car is undergoing repair, it will be considered in the compensation awarded.

Vehicle Repairs or Replacement

After an accident, your car will either need repair or replacement. Replacement is necessary if the car is totaled, and you will receive the vehicle’s market value at the time of the accident. Note that the at-fault party’s insurance company will want to assess the damage done to the car before paying, so don’t be in a hurry to replace or repair your vehicle.

Replacement and Lost Future Income

You will receive compensation for any lost income while you are away from work and recuperating at home or in the hospital. Similarly, if your injuries keep you from being employed in the future, the compensation will cover any income you could have earned.

Home Modification Costs

If you had to modify your home as a result of your injuries, perhaps by installing wheelchair ramps, your compensation will cover the home modification costs.

Our attorneys at Terry Bryant Accident & Injury Law can seek compensation for all the expenses associated with your car accident injury.

Who Pays When You Sue in a Car Accident?

When you file a car accident lawsuit, asking who will pay compensation and other car accident lawsuit costs is standard. The financial responsibility usually falls on the party responsible for the accident — a person or an entity. The at-fault party will pay using their auto liability insurance coverage, as Texas is an at-fault auto insurance state.

Liability insurance will pay for bodily injury, covering all medical expenses, lost wages, pain and suffering, and other related costs. It will also pay for property damage, including all repairs or replacement of your vehicle. The at-fault party’s insurer will make this payment if the verdict is in your favor.

The following are the different classes of people who may be responsible for paying compensation after a car accident and named as defendants in a car accident lawsuit:

Another Motorist

Other drivers on the road are the most common defendants in car accident lawsuits. Although motorists owe a duty of care to other road users not to drive recklessly, they often breach this duty, engaging in negligent behaviors that cause accidents. Examples of negligent behaviors include driving under the influence of drugs or alcohol, distracted driving, and running red lights.

You can file a lawsuit against the negligent driver and receive compensation if the verdict favors you. Under Texas law, the compensation awarded will cover economic and non-economic damages and punitive damages if the driver was particularly reckless or egregious.

A Business

Businesses could be added as defendants to a car accident lawsuit if their negligence or that of their employees led to the crash. An auto repair shop is an example of a company that could find itself as a defendant in a lawsuit. Repair shops can be responsible for an accident if they fail to fix a vehicle properly and it leads to a crash.

Another example is a bar that serves alcohol to someone who is already inebriated and allows them to drive their vehicle without ordering a designated driver or taxi. If a business is involved in a car accident lawsuit, it may pay out-of-pocket compensation if found liable.

An Auto Manufacturer

Car manufacturers must ensure their vehicles are safe to drive and free of manufacturing or design defects. However, many cars still suffer from such defects, leading to car accidents. If you get into a crash due to design or manufacturing defects, you can sue the manufacturer. We can help you gather evidence and provide expert witnesses to show that the manufacturer’s error led to the accident.

A City, County, or State

There are instances where a city, county, or state can be named as a defendant in a car accident lawsuit. This happens when potholes, sinkholes, uncleared debris, or dead animals cause a collision. In such instances, the government entity, if found liable, will compensate you and pay the car accident lawsuit costs.

Proving the liability of government entities is quite challenging, but with our car accident attorneys representing you, you stand a better chance of establishing liability and getting a favorable verdict.

Who Pays the Legal Costs in a Car Accident Lawsuit?

If you hire an attorney to handle your case, their fees will be on a contingency fee basis. This means we don’t get paid until we win and only receive a percentage of the compensation you are awarded, usually 33% to 40%. Therefore, you will handle your attorney fees with the money awarded in the verdict. Also, you will pay filing fees and court costs, but you can recover them as part of the judgment if you win the case.

What Happens If You Lose the Lawsuit?

If you lose the car accident lawsuit, you might be responsible for some of the defendant’s legal costs. However, this depends on the case facts and the court’s ruling. Also, while you may not pay legal fees to your lawyer since their payment is contingent on winning, you may pay for other costs incurred during the lawsuit, like professional witness fees.

Our Terry Bryant Accident & Injury Law team will work hard to ensure your compensation covers all expenses associated with your injuries and lawsuit. 

What Should You Do if You Lose the Car Accident Lawsuit?

If you believe you had a valid claim and still lost the lawsuit and, consequently, your compensation, there are steps you can take. We recommend doing the following:

  • Consult your attorney to understand the verdict, especially why you lost the case.
  • Evaluate your options, assess the strength of your case, and determine if there are grounds for appeal.
  • If there are grounds for appeal, consider filing one. Common grounds for appeal in personal injury cases are procedural errors, misinterpretation of the law, and inadequate representation.
  • You can negotiate a settlement after losing a lawsuit. Speak to your attorney to explore this option, but note that it will be a reduced amount.
  • Review your insurance coverage to see if you have personal injury protection (PIP) or underinsured or uninsured motorist coverage. You can rely on them to pay your medical bills and recover some of your lost wages.

Were You Injured in a Car Accident? Our Legal Team Can Help!

Recovering from accident injuries and filing a lawsuit is never easy, but you can do both with the help of our Texas car accident attorneys. We are dedicated to getting justice for our clients and will fight for you to get paid what your case is worth. Contact Terry Bryant Accident & Injury Law at (713) 973-8888 for a free case evaluation.

Attorney Terry Bryant

Attorney Terry BryantTerry Bryant is Board Certified in personal injury trial law, which means his extensive knowledge of the law has been recognized by the Texas Board of Legal Specialization, setting him apart from many other injury attorneys. The 22 years he spent as a Municipal Judge, Spring Valley Village, TX also provides him keen insight into the Texas court system. That experience also helps shape his perspective on personal injury cases and how they might resolve. This unique insight benefits his clients. [ Attorney Bio ]

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