How Much Does Litigation Cost—and What Can I Do to Control Those Costs?

In my recent blog, “To Sue or Not to Sue?”, I explored the fundamental question that individuals and businesses often face: whether to initiate a lawsuit in the first place. I walked through practical considerations like your goals, the strength of your case, and alternative dispute resolution options. Now, let’s assume you’ve decided that litigation is the right path forward. The next logical question is one I hear all the time: How much is this going to cost me—and can I do anything to manage those costs? The answer, like many in the legal world, is: it depends. But I want to give you a clear-eyed breakdown of the typical cost factors and some practical strategies you can use to keep your legal budget under control.

Understanding the Cost Drivers in Litigation

Litigation costs can vary widely depending on the complexity of the dispute, the court involved, and how far the case progresses. Most of the expenses in a civil case fall into the following categories:

Attorney’s Fees

This is usually the biggest expense. Attorneys may charge by the hour, offer flat fees for certain stages, or work on contingency in specific types of cases. Hourly rates in New York, for example, often range from $250 to $900 or more, depending on the lawyer’s experience and the complexity of the matter.

Court Filing and Service Fees

Filing a lawsuit typically costs between $200 and $500, but that’s just the beginning. Additional charges may arise for serving documents, filing motions, issuing subpoenas, and preparing for trial.

Discovery Costs

Discovery—the process of exchanging evidence—can be one of the most time-consuming and expensive parts of litigation. These costs include document review, e-discovery tools, depositions (including court reporter and transcript fees), and expert witness work.

Expert Witnesses

Expert witnesses are often essential in complex or technical cases. Their fees can range from a few thousand to tens of thousands of dollars, depending on their field and the work required.

Motions and Countersuits

Costs can also escalate when one or both parties file multiple motions—such as motions to dismiss, for summary judgment, or to compel discovery. These often require additional legal research, writing, and court appearances. If the opposing party files a countersuit, your case may become more complex, lengthening the litigation timeline and increasing your legal fees significantly.

Trial Preparation and Proceedings

If the case goes to trial, costs rise significantly. Preparing for trial involves organizing evidence, prepping witnesses, using courtroom technology, and often dedicating several days or even weeks to the proceedings.

Potential Multiplier of Damages

Another factor to consider in your cost-benefit analysis is whether your case qualifies for multiplied or enhanced damages. In some types of cases—such as those involving fraud, consumer protection violations, or civil rights statutes—the law allows for double, triple, or even punitive damages. This means the potential financial recovery could be significantly higher than your actual losses. While these cases can still be expensive to litigate, the possibility of a larger award may shift the risk-reward calculation in your favor. It’s critical to identify these opportunities early so you can weigh whether a more aggressive litigation approach makes strategic sense.

Strategies To Help You Control Litigation Costs

While some litigation expenses are unavoidable, many can be anticipated and managed. Here are some of the best strategies I share with clients who want to keep legal costs in check:

Choose the Right Legal Partner

Work with someone who is transparent about fees and committed to efficiency. Good attorneys will aim to give their clients realistic budget expectations and practical advice tailored to their unique circumstances.

Start with a Litigation Budget

Even a basic outline can help. I encourage clients to ask for a projected budget that covers key phases—early motions, discovery, potential settlement, and trial.

Be Proactive and Organized

You can save significantly by providing your attorney with complete and organized information from the start.

Pursue Early Resolution Options

Clients should explore mediation, arbitration, or direct negotiation before diving too deep into litigation.

Narrow the Scope When Possible

Focus the case on the claims that really matter. A focused litigation strategy minimizes unnecessary fights and limits discovery.

Understand the Risk of Cost-Shifting

In some cases, the losing party may have to pay the other side’s legal fees. It is important to understand these risks early.

Litigation Is a Tool—Not a Gamble

Litigation doesn’t have to be financially overwhelming. Used wisely, it can be a powerful tool for protecting your rights or achieving your goals. The key is to be informed, strategic, and cost-conscious from the beginning. If you’re thinking about filing a lawsuit—or defending one—have a candid conversation with your attorney about your options and work together to build a litigation plan that works for your situation.