Funding Your Case

What is a ‘No Win, No Fee’ Agreement?

The expression ‘no win, no fee’ is often used in personal injury cases. It is used as a way of funding a compensation case where the accident victim does not have the means to pay the costs involved as the case progresses.

If we feel your case has good prospects of success, we will usually agree to proceed with your case under a ‘no win, no fee’ agreement. The ‘No Win No Fee’ Agreement is another name for a Conditional Fee Agreement (CFA). One of the most important features of a ‘No Win No Fee’ Agreement is that if you do not succeed in your claim, then you will not be liable to this firm for our fees.

The ‘No Win, No Fee’ Agreement

In a Court case without a no win, no fee agreement the loser normally pays the costs of the winner in addition to their own costs, subject to certain rules known as ‘qualified one way costs shifting’. Typical terms of the ‘no win, no fee’ agreement are as follows:

• In ‘no win, no fee’ cases, we agree not to charge a fee unless the action is successful
• In no win, no fee cases costs risks may be limited to paying the other side’s costs if you lose, this being usually limited to the amount of your damages, plus any ‘disbursements’ (such as the cost of expert witness reports) & Court costs

The Success Fee

Running a legal action on a ‘no win, no fee’ basis with costs insurance means we are taking the largest financial risk. In ‘no win, no fee’ cases, if you lose we don’t get paid, but the insurance will cover any exposure to the other side’s costs and your own disbursements. As a result of this risk, we will charge a ‘success fee’:

• The success fee is capped at 25% of your damages. For example, if your claim settled for £4,000, we would deduct £1,000 from your final compensation
• You will be expected to pay the success fee from your compensation
• No success fee is payable in the event of an unsuccessful outcome

Will I Have to Pay Out any Monies Before the Conclusion of the Claim?

We will normally take the risk and make all necessary payments on your behalf. We may on occasion ask you to pay for disbursements as your claim proceeds. In a claim for personal injuries, disbursements are likely to include but are not limited to the following expenses:

• GP and Hospital Records
• Experts Medical Report
• Counsel’s fees
• Court fees

These expenses should be recovered from your opponent in the event of a successful outcome of the claim. In the event of an unsuccessful outcome, these disbursements may be covered by the insurance policy taken out in your name.

If you need any further guidance or information as to how your case will be funded, please contact us and we will be happy to explain the funding options to you.