What does it mean when a lawyer takes a case on consignment

1. Why people use “consignment” to describe contingency fees — shorthand or confusion?

Many consumer Q&A sites and local attorney blogs use “consignment” as an informal synonym for contingency representation: clients are told they’ll owe nothing up front and the lawyer will take a cut only if there’s a recovery ^{[1] [2] [3]}. That usage likely arises from everyday analogies — like consigning goods and getting paid only after a sale — but it is not the standard commercial or statutory meaning of “consignment” in the Uniform Commercial Code or property law ^{[4] [5] [6]}.

2. What the legal meaning of consignment normally is (goods and ownership)

In commercial and UCC contexts, “consignment” is a transaction where one party (the consignor) delivers goods to another (the consignee) to sell; the consignor retains ownership until the goods are sold and only then receives payment from proceeds ^{[4] [5] [6]}. Practical Law and legal dictionaries frame consignment as the movement and sale of physical goods, not as a fee arrangement for professional services ^{[5] [7]}.

3. How lawyers actually describe fee arrangements you might be hearing about

When lawyers mean “you pay only if we win,” the correct term is contingency fee. Consumer-facing legal advice repeatedly describes contingency arrangements as “no upfront fee” or “you don’t pay anything upfront,” which matches the informal “consignment” usage on Q&A sites but is a distinct concept from consigning goods ^{[1] [2] [3]}. ContractsCounsel and other practitioner sources focus on drafting consignment contracts (for goods) and on lawyers who draft such agreements — not on lawyers themselves acting as consignees ^{[8] [9]}.

4. Practical implications if a lawyer offers to work “on consignment”

If a lawyer says they’ll take a case “on consignment,” confirm whether they mean a contingency fee (they get paid from settlement/judgment) or something else. Contingency arrangements are common in personal injury and many plaintiff-side cases; some jurisdictions and case types prohibit contingency arrangements (for example, family law or some criminal matters), so the precise fee structure and legality should be confirmed ^[3]. Available sources do not provide a detailed statutory list of prohibited contingency contexts; check local rules for specifics (not found in current reporting).

5. Risks, recordkeeping and contractual safeguards to watch for

If you’re actually dealing with a goods consignment, legal guides stress careful contracts that set commission rates, sales deadlines, recordkeeping, and protections if the consignee goes bankrupt — consignors should perfect their rights under the UCC to avoid losing goods or proceeds to a consignee’s creditors ^{[9] [10] [11]}. If you’re discussing a contingency fee for legal services, ask for a written fee agreement that states the percentage, expenses, and when fees are deducted; consumer Q&A and lawyer blogs advise avoiding upfront payments in typical injury‑case contingencies ^{[2] [3]}. Some sources recommend specialist counsel for drafting and disputes around consignment contracts ^{[12] [8]}.

6. Two different conversations — don’t conflate them

Journalistically: one conversation is about consigning tangible goods (commercial consignment under the UCC, ownership until sale, commissions) and the other is about lawyers working on contingency or “no upfront fee” arrangements (consumer-facing sites use “consignment” informally for this) ^{[4] [5] [1]}. Treat the contexts separately and request clarification from the lawyer or business you’re dealing with to avoid costly misunderstandings ^{[8] [11]}.

If you want, I can draft a short checklist of exact questions to ask a lawyer or a consignee so you get a clear written agreement — tell me whether your situation involves goods or a legal claim and I’ll tailor it.