The Benefits of No Win No Fee Compensation Claims
No win, no fee, otherwise known as a Conditional Fee Agreement (CFA), was introduced by the government as a way of enabling any injured person to seek compensation no matter what their financial situation was. Its aim was to make the legal system more affordable. Up until this point, the working classes had next to no access to legal representation without potentially saddling themselves with debt. In a nutshell, a no win, no fee compensation claim involves a written agreement signed by both the solicitor and the claimant.
In this agreement it is stated that legal fees are only payable if the case is successful. The fee will also include a success fee, up until April 2013 the entire legal fee including the success fee was able to be gathered from the losing side, however now claimants must pay the success fee out of their own compensation. The amount deducted will be discussed and form part of the agreement, and the amount is not allowed to exceed 25% of the awarded compensation.
The Benefits Of No Win, No Fee
- The main benefit is self-explanatory. By engaging in a no win no fee agreement you will be able to get access all the legal advice and help you need without having to pay a penny, for most people this can be the difference between continued suffering or being able to move on with their lives and provide for their families.
- When you enter a no win, no fee agreement although you need not worry about paying your own legal fees if the case is unsuccessful you may still be legally obligate to cover the expenses of the opposing party. However, your solicitor will help you to purchase after the event insurance ATE, so you will not have to pay anything at all if you lose the case. In most situations your solicitor will cover the cost of the insurance premium.
- Because you solicitor will only get paid if they win you can be sure that they have a huge incentive to succeed. They will likely work harder for you than a solicitor that is charging you an astronomical rate per hour.
- In a lot of no win, no fee cases, the practicing personal injury compensation solicitor will offer their clients a cash advance. This advance is usually any amount up to £1500 and will vary according to the amount of compensation being claimed for. This cash advance is fully controlled by the client and can paid out whenever they wish. There are no guidelines on how it should be spent and so it can be used to fully support the client’s needs.
In a no win, no fee agreement it is clear that solicitors will not get paid unless they win. Because of this they can very picky about the cases they take on, however if you have a strong case with clear lines of fault and adequate evidence it is likely that you will be able to make no win no fee compensation claim.