The Basics

No Win No Fee agreements are available throughout the UK, including in Haydock, but the wording can mean different things depending on the claim type and the agreement offered. Not every solicitor in Haydock provides a no win no fee service, and firms that do may limit it to areas such as personal injury or medical negligence. To find a no-win-no-fee solicitor in Haydock, get a free consultation with First4Lawyers, who will look for a solicitor offering a no-win-no-fee agreement that may fit your enquiry.

If you are comparing options after an accident or difficult event, it can help to understand the basic promise and the possible limits. No win no fee usually means you do not pay your solicitor’s basic charges if the claim is unsuccessful, but other costs, insurance terms, and deductions from compensation can still matter.

Conditional Fee Agreements

No Win No Fee is a term in the UK commonly used to describe Conditional Fee Agreements (CFA) between lawyers and their clients. In general, a CFA allows a solicitor’s payment for some or all of their work to depend on whether the claim succeeds. If the claim is successful, the solicitor may charge a success fee, which is a fee linked to the outcome and explained in the agreement. If the claim is unsuccessful, the agreement should explain what, if anything, remains payable, including disbursements such as report fees or court fees. Some claims may also involve “After the Event” (ATE) insurance, which is designed to cover certain risks if the claim is lost. Not all types of cases allow no win no fee arrangements, and family and criminal cases do not allow CFAs to be used.

Types of Cost Components 

When looking at the benefits and disadvantages of a No Win No Fee Agreement, the most useful starting point is the written agreement itself. It should explain what the solicitor charges if the claim succeeds, what happens if it does not, and whether expenses, insurance, or deductions from compensation are involved:

• Basic Charges or Standard Fee – Fees associated with legal work done on behalf of a client.  Typically based on the number of hours spent and hourly rates associated with the staff involved with case. Different lawyers in Haydock will have different fees for their day-to-day work, and these can vary between practices, and between qualified solicitors within a practice.
• Disbursements – Payment for expenses made on behalf of the client including but not limited to court fees, experts’ fees, accident report fees and travelling expenses.
• Success Fee or “Uplift” To compensate for the cost of lost cases, lawyers typically are allowed to add a success fee or ”Uplift” in the CFA.   This is usually a percentage (not more than 100%) of a lawyer’s basic charges that is added to a client’s bill for which they will seek to recover from the other party if they win the claim.
• After the Event (“ATE”) Insurance Premium – Cost of Insurance as part of a no win no fee agreement to indemnify the costs and disbursements of the lawsuit.  Usually purchased at or after the start of the litigation process.

Advantages and Disadvantages

Advantages

• Because the cost to the client is linked to the outcome of the case.  For an unsuccessful case, there is the possibility that the client pays little or no cost.
• Required disclosure of a CFA to the other party may encourage earlier settlement as the other party’s cost will increase in line with the level of the success fee.
• Any damages awarded to the client will not be eaten up by the success fee, as the success fee will in most cases be payable by the opponent.

Disadvantages

• There is no privilege, nor privacy attached to the funding arrangement in place. The existence of the CFA must be disclosed to the other party at the outset of the litigation and the risk assessment has to be disclosed to the court and if necessary to the other party when costs are assessed.
• A CFA gives the lawyer a financial interest in the litigation and because of this they are inclined to take control of the strategy and resolution of the litigation.
• Unless the client buys ATE to cover the winning party’s costs, the client is still at risk to pay those costs.

To search for a specific solicitor, try the Solicitors Regulation Authority website, which lists all the law firms and people regulated by the Solicitors Regulation Authority. If you are looking for a no win no fee solicitor in Haydock and want a general conversation about whether your enquiry may fit, you can also visit our partner First4Lawyers for a free no-obligation chat.