What’s the Catch with No Win No Fee
You have probably heard of no win no fee personal injury payment agreement. This type of claim funding agreement is mostly used to pay solicitors work to help you get a fair settlement. However, there is no free goodies in the economic competitive world. So how does the catch with a no win no fee agreement work?
In capitalist society, it is difficult to believe that you won’t be required to pay the service fee if your case is unsuccessful. As the name suggest, there is a no catch with a no win no fee agreement. this means that you will only pay the solicitor if they help you win your claim.
If a personal injury solicitor strongly feel that you have an upper hand of winning the case, they will help you get the desired settlement with no win no fee basis. Under such conditions, your solicitor will only demand payment if your personal injury claim succeeds. These circumstances, saves clients the financial risk involved in making a medical negligence, car accident or flip and fall accident claim.
These terms were suggested by the law society to assist people to pursue justice for personal injury claims. After an extensive research, the law society found that a significant number of people could not afford an injury solicitor due to hefty legal costs.
Are There Hidden Costs Under No Win No Fee Basis?
In a competitive economic world, it is extremely difficult to find free things. So yes, no win, No Fee agreements could come with some costs. You may be required to pay for an insurance policy. The policy known as After the Event (ate insurance) covers for the cost involved in winning the claim. The pay caters for costs for acquiring pieces of evidence such as cost of paying expert witnesses and medical assessments. The cost may also cover the court fee if the personal injury case goes to trial.
But with solicitor’s fees, you only pay after the claim succeeds and compensation awarded.
Who Pays for Ate Insurance Premiums?
If your claim is unsuccessful, you will not be required to pay for ate premiums. On the flipside, if you win, the cost of insurance will be deducted from the compensation awarded.
What to Expect When You Approach a No Win No Fee Solicitor
When you approach a personal injury attorney to discuss a “no win no fee” claim, the solicitor will kick off by reviewing the documents associated with your personal injury case. As a matter of fact, the solicitor will thoroughly review your documents and only agree to no win no solicitors fee, if they are almost 100% that they will help you win your case. After all, the solicitor takes a great risk of losing it big in case you don’t win your case.
If the no win no pay lawyer agrees to offer their legal services, they advise you on how to approach every step of your case.
Why Do People Complain of Unexpected Fees Under the No Win, No Solicitor Fee Agreement?
In the past, a couple of clients have complained about hidden fees under conditional fee agreement. Most CFAs are complex and daunting to comprehend. It is the work of a solicitor to advise their client. In most cases, if an issue arises after signing an agreement, it is mostly because of:
- Barristers fees are deducted from your compensation. legal fees can amount to thousands of euros.
- The legal costs incurred is more than what the client projected.
- After ate insurance premium is deducted and the client knew nothing about it when entering in the agreement. Also, clients might have had a clue that an insurance premium would be deducted but they never thought it would be that high.
As a common practice, a reputable solicitor should explain the CFA to you until you understand the terms of the agreement before signing it. Additionally, it is prudent to only sign an agreement after understanding every single point in it.
What You Should Know
If your personal injury claim receives a compensation award and costs, a large portion of your solicitor’s fee will be recovered from the losing party insurance company. Your legal fee contribution is subject to the balance monies owed by you to your solicitor.
On the other hand, if you claim isn’t successful, you will not be required to pay your court costs and experts fees, and you won’t be required to pay your solicitor’s legal fees.