Auto Insurance Claims: State Farm settlement - salvage title issues - attorney trying to get more than suppose to, retainer letter, salvage title

Question
Purchased and financed care from Drummy olds that had a salvage title, but did not inform me of this and later on law suit ensued against State Farm and Finance company because of above stated reason.

Attorney  notified me that total settlement was $19,800; my portion $9000 and her portion the rest. However, the retainer letter dated Novemeber 16, 2005, sent to me states "In the event of a cash award or settlement, our fee will be based on 1/3 of gross recovery, regardless of the actual time spent, unless the award or settlement provides a higher amount"....

So, how is it that my attorney can take more than half of the total settlement...I asked her about this and her reply was "she had a case where the client received a settlement of $750 dollars but her fee was $50,000, and that this sometimes happens." Attorney wants me to sign off on this so she can write me a check and she take the rest....


Need expert advice regarding what attorney is trying to pull and how I should go about handling this with the attorney.   

Thank You, Pat B.

Answer
Hi Pat,
I have never seen a retainer agreement that contained the wording .... 'unless the award or settlement provides a higher amount'...  Higher than what?  This looks like a blatant license to steal.
My first recommendation is that you file a telephone complaint with, and request the assistance of the State Bar Association in your home state.
Once you have talked to the Bar Association and if they are not able to totally resolve the issue, please write me again.
In order to provide a proper answer, I need your state of residence and a more full explanation for the reasons of the law suit.
Was it due to the result of an accident where State Farm paid you a low value based on the salvage title or did it include that and a claim for injuries.  The more information that you provide, the better I can evaluate the situation and provide answers or point you in the right direction for help.
Please check PRIVATE for your reply and I will be the only person able to read your statement.
I hope this has been of help and I am fully prepared to provide more assistance.
Your feedback by rating this answer will be appreciated.
Sincerely,
Bennie
San Francisco Bay Area 12-06-07 9:27 PM PST