Explaining Contingent Fees

No win no fee concept

Concept of No win no fee

How about paying a fee for a service only if you are satisfied with it? Sounds good, eh? That is exactly what no win no fee is all about. Also known as conditional fee or contingent fee, this is a fee that you have to pay only if the service that was provided to you resulted in a favorable outcome. These types of fees are usually charged in the case of legal matters, where the client has to pay the attorney’s fees only if the attorney procures a favorable outcome for the client.

Need for conditional fee

Not most people can afford to pursue a case in a court of law. The charges involved are sky-high with the attorney fee being the major contributor to it. With the help of this conditional fee, even those who normally cannot afford attorney fee will be able to pursue cases in a court of law. In this way, the government is able to ensure that no person is denied of their civil rights just because they are poor.

There are definite advantages to the client in such cases as the attorney will work diligently on the case because if he or she loses the case, then there would be no fee. This is an advantage, and also, the client can look forward to the attorney not settling for a lower amount in most cases.

Fee structure

No win no fee attorneys

            No win no fee lawyers

Now that you have become acquainted with the term no win no fee, the next question will obviously be about the fee structure. To make it clear, if the client was to receive a sum of money from the defendant as damages, not every bit of that money will go to the attorney as fees. There is a law that determines the fee of attorney but most lawyers will only charge a lesser fee than the local law allows them. Lawyers are allowed to charge 100% of the damages that are given to their clients. They are not allowed to charge more than that but they can charge the regular hourly charges. However, most lawyers on principle will only charge around 25% to 50% of the total damages.

These are some information regarding conditional fees that a lawyer can charge. The clients that usually take up these cases does so in an attempt to prove a point, raise awareness of an issue, or seek vengeance.

What Are Conditional Fee Or No Win No Fee Agreements

no win no fee

what is no win no fee

How would you feel if you lose a battle in court and end up in a situation where you are forced to pay your attorney and your opponent’s attorney? I bet that it would never be a good feeling! However, with the new conditional fee agreement, you pay your solicitor only if he is wins the case for you. So what exactly is a ‘no win no fee’ agreement? Let us find out the two types of this agreement’s conditions.

Conditional Fee Agreements

This is the most widely accepted and preferred conditional fee agreement. Two main features of this type of agreement are:

  • Success fee – The attorney gets his success fee only if he is successful in court. However, the attorney can charge you double his normal fee if he wins the case for you. This is considered as a compensation for the risk he took.
  • The ‘After Event’ Insurance policy – If you lose the case, it is true that under the ‘no win no fee’ agreement, you do not have to pay your attorney. However, you are accountable for your opponent’s costs. This will include the court fees of your opponent, his solicitor’s fee or any other fees pertaining to the case. It is the responsibility of your solicitor to arrange this fee for you with the help of an ‘after event insurance policy’. This will make sure that you do not have to pay a penny to the opponent even if you lose the case.

Contingency Fees

This is much easier to understand compared to the Conditional Fee Agreement. You can find Contingency fee agreements in employment tribunals where clients usually battle for a reimbursement or compensation. The client agrees to pay a part of this compensation to the solicitor if he wins the lawsuit for him.

contingency fee agreements

     no win no fee agreements

The Access to Justice Act of 1999 has lead to a number of debates and hullabaloos. With the law enacted in 1999, a large number of companies came up with no lawyers. With policy premiums going up, the victims in accident cases ended up with nothing in their pockets even after successful results in courts. In an attempt to make easy money, companies also started to egg on clients to apply for fake and insignificant claims.

Although, the law brought in many controversies along with it, it has become the most preferred agreement for many clients. However, please note that no solicitors may take up your case or agree to the conditional fee agreements if they do not see any hope of winning your case.

No Win No Fee Might Not Reward Just Like That

No Win No Fee

No win no fee attorneys

Be it a product or a service, we need pay only if we get what we want. That is indeed a just principle as regards the value of every hard-earned penny that we spend. However, the bitter fact is that such a principle of ‘just economics’ might not reward always as we expect. Surgeries are indeed risky, and there is no ‘money back guarantee’ associated with them. Nevertheless, if we could pay the hospital and the surgeon well, we can at the least expect that they would put in their best efforts to save our lives. Thus similar is the case with employment law advice as well.

The risk of losing and the exorbitant amounts of fees charged by solicitors are indeed genuine reasons for many of us to choose the no win no fee route. However, as experiences suggest, there are a quite few reasons why we should not opt for such a safe-play. And in this post, let’s take a look at some of those reasons.

The Pitfalls in a Safe-playing Route

  • The sort of agreements in question shall in most cases include a clause which gives the solicitor the main say on whether a settlement offered is acceptable or not. In order to mitigate the risk, it would not be surprising even if the solicitor accepts much lower sum than what the client wants. Moreover, chances are high that the employer might even drive a wedge between you and your solicitor.

    Contractual Claims

          no win no fee method

  • In situations where the employee does not face the risk of paying the employer’s legal costs, it is possible that the case will be pushed longer than normal in the hope of getting a better settlement. The core of the issue is that the lawyer would be paid anyway, and as the case nears the tribunal the lesser would the client receive. Similarly, as the case reaches the tribunal over a long period of time, all damages ordered would be likely be consumed up as legal fees.
  • Most employment cases are worth less than 9000 dollars; in some instances it could be even less! That said it could be assumed that most cases are related to contractual claims and loss of earnings. Therefore, the best methodology is to get the most competent advice available even if you have to pay for it.

Hope this post gives you a fair idea on how to tackle an employment case to your advantage. For any further assistance on no win no fee lawyers, feel free to get in touch with our experts.

Pros And Cons Of No Win No Fee Lawyers

No win no fee

Pros and cons of no win no fee lawyers

At first thought, no win no fee lawyers might seem like the best option to go for. Not having to pay your lawyer unless he wins the case for you may seem like an excellent reason to hire such a lawyer. Nevertheless, there a few disadvantages to hiring such a lawyer as well. This article discusses some of the pros and cons of hiring such a lawyer.

Pros

  • Lawyers are pressured: Generally, your lawyers are not under any pressure to win the case for you. While he does represent you, he does not have to work all that hard to win the case for you. Irrespective of whether he wins the case or not, you will still pay him for representing you. On the other hand, no-win no-fee lawyers will have to put in their best to win the case for you as they will not be paid otherwise.
  • Keep the damages: In most cases, you get to keep all or a greater part of the damages. Certain lawyers such as personal injury lawyers will require you to pay a part of your winnings as their rewards. The percentage to be paid varies from lawyer to lawyer and you may end up having to pay more than 50% or more. This means that even if you win the case, you will end up losing a large part of your money. No-win no-fee lawyers, on the other hand, will have the defendant pay their success fees for you. This way, you get to keep all or most of the damages won.

Cons

  • Legal cost of living: The defendant will end up paying for your lawyer’s fees if you win the case and you will not have to pay any fees in case you do not win the case. However, this does not mean that you are freed from other charges and fees. You may be required to pay your opponent’s lawyer in such a case. Your financial status and the value of the case will be the deciding factors here, as a case needs to amount to a minimum value for charging you.

    Lawyer’s fees

                                    What is no win no fee?

  • Telling the opponent: Therequirement to inform your opponent about using a no-win no-fee lawyer is perhaps the greatest disadvantage of this system. This is bad because your opponent can obtain further information such as the percentage of success your lawyer anticipates.

Now you know the pros and cons of hiring a no win no fee lawyer. Consider these aspects before you make a decision on the kind of lawyer to represent you.

All About No-Win No-Fee Lawyers

No win no fee

                           No win no fee lawyers

The employment law protects every employee by providing them with a number of rights. If you believe that your employee rights have been violated, then the first thing that you should do is to register a complaint against your employer in accordance with the grievance procedure prescribed by your company. However, if this does not resolve your issue, then you can proceed to make a formal complaint with the employment tribunal.

No win no fee employment solicitors

The functioning of an employment tribunal is very similar to a court of law wherein your complaint will be presented before a panel and all evidence presented will be under oath. While filing a claim with the employment tribunal, it is always best to have an employment lawyer to help you with your case. If your case is a genuine one, you may even be able to find a no-win no-fee lawyer to represent your case. A no-win no-fee lawyer is a solicitor who charges a fee only if there is a successful conclusion to your case, i.e., by winning or settling the lawsuit in your favor.

As winning the case makes all the difference on whether or not they will receive a fee, it serves as a powerful motivation to these lawyers to give their best to win you the case. For those who cannot afford the exorbitant attorney’s fees, such lawyers are a great option. Before agreeing to take up your case on a no-win no-fee basis, such lawyers will want to assess your case first. To make this assessment, they will have to spend some time looking into your case file. Generally, they will charge you a ‘risk assessment fee’ to make such a ‘risk assessment.’ The amount charged as risk assessment fee depends on a variety of factors such as the type of case and the degree of complexity.

Employment tribunal

    Avail the services of a no win no fee                                       solicitors

Generally, no-win no-fee layers do not charge you any fee unless they win the tribunal claim for you. Nevertheless, discuss with the lawyer to see whether there are any expenses you will have to bear, in the event that you lose the case. Also prior to handing over your case, discuss with the lawyer the fees and the costs that you have to pay after winning the case.

These are some aspects about no win no fee lawyers and some points to be kept in mind while hiring such a lawyer. Check online legal resources for more info about such solicitors.

Facts About No Win-No Fee Agreement

No win no fee

                      What is no win no fee

‘No win no fee’ has now become a popular term because of its association with injury claims. In U.S, there are millions of people who sustain injuries due to accidents. But surprisingly, only a third is found to make use of compensation claims. There could be mainly two reasons behind this – either they are completely ignorant of this particular agreement or they are ill-informed about it.

So what does it actually entail?

There is a common misconception among the people when it comes to no win-no fee attorneys. Does it mean that you don’t have to pay anything if you don’t win your case? Of course, there may be a few firms which claim you don’t need to pay anything if you don’t win. In fact, this isn’t true. The fact is that you don’t have to pay your solicitor’s fees if you lose your claim.  Yet, you may be liable to pay your opponent’s costs, like his solicitor’s fees and other costs. These costs usually include court fees, medical report fees, ‘after-the-event’ insurance etc. Often you may be required to pay such costs upfront.

Is there a way to avoid the opponent’s costs in this agreement?

There is another option availing which you don’t have to pay a single penny whether you win or lose your claim. This is possible when you claim for compensation through ‘The Claims Solicitors’. Here ‘after-the-event’ insurance is taken out on your behalf which will usually cover your opponent’s court fees, as well as yours and your opponent’s costs.

Compensation claim

                 No win no fee compensation claim

No win no fee is a common term used for its lesser known term called Conditional Fee Agreement (CFA). When you accept this agreement, you are entitling your personal injury lawyer for a success fee for a successful claim. Usually your solicitor receives his share from the compensation award or it will be paid by the opponent. When the claim is made through The Claims Solicitors and you win the same, it will be the responsibility of the other party to pay your solicitor’s success fees, which will guarantee you a 100% compensation award.

Make use of such legal benefits which takes way much of the risks associated with injury claims. Also keep in mind that it will be wise to check with your solicitor before you decide to go ahead with the agreement.

Know What Is ‘No Win No Fee’

No win no fee

What is no win no fee

For those who would like to know what this “no win no fee” actually means, here is the answer. It is a mutual agreement made between the client and the solicitor. This is mainly associated with personal injury claims. It is a common term used for the lesser known term of Conditional Fee Agreement (CFA). The basic idea behind this agreement is that you are not required to pay for your solicitor for the time he spent on court unless you win your lawsuit. You cannot expect this privilege for every lawsuit as there are certain conditions to be met for this agreement to take place. When such an agreement comes into place, the solicitor is supposed to provide you with information at various stages of the case. With this agreement being into effect, the legal system for getting compensation has leveled to a great extent for all, rich and poor.

Pros and Cons of CFA

Before you dive in for this option, it’s good to understand certain facts about this CFA agreement. This agreement has both advantages and disadvantages for both the client and the lawyer. The advantage for the client is that he doesn’t have to pay in advance for lawyer’s time he spends in court. This greatly reduces much of risk involved in filing a lawsuit in court. The disadvantage for the client is that often the solicitor’s fee is one third of the recovery. So as the case proceedings stretch more than expected, the amount will be much higher. When it comes to the lawyer, the effects are just the opposite. He gets nothing for the time he spent on court if he loses the case. But if he wins it, he might get more for his time he had spent than he would have got on an hourly rate.

Conditional Fee Agreement

pros and cons of no win no fee

Know some more facts about no win no fee

If the solicitor is able to win the lawsuit, the solicitor is entitled to get his fee which is usually a success fee from the opposing party. Often this opposing party will be insurance companies as the lawsuits are associated with personal injury cases. But if you lose your case, you may be liable to pay for the opposing parties costs too. So in order to cover such expenses, your solicitor should arrange an “After Event” insurance which will normally cover the risk for the premium which you or your solicitor might need to pay.

So, that’s all for you folks today.

Know More About No Win No Fee Compensation Claim

No win no fee, Compensation claim

No win no fee claim conditions

Considering the amount of time and money one has to spend, many people refrain when it comes to filing a lawsuit in court. They will have to do constant follow-ups and make appearances in court; both time consuming and mentally draining. Though a would-be plaintiff might have suffered considerable loss and pain, he/she would keep from the decision to go to court, owing to many reasons. Fortunately, though U.S. law contains a crucial and very useful legal statute, which dictates that those who file a civil lawsuit in court, will be entitled to get some relaxation and support through the No Win No Fee compensation claim. When we consider this in detail, there are both pros and cons for the plaintiff and for the lawyer as well. If you are considering such a legal procedure, it’s better that you be informed about the various aspects of this claim process. Let us discuss this in detail.

No Win No Fee – Pros and Cons

With this statute in effect, much of people’s pressure and tension is relieved. This claim enables one to take a risk and go ahead by proceeding with the litigation. One of the ways this has backfired, though, is that there are numerous claims surface every day, and not all of them genuinely valid. There number of fake claims files is on the rise, and these waste valuable court time.

No win no fee, Compensation claim

no win no fee compensation claim

The main advantage to this claim is that the plaintiff will not have to pay for the lawyer’s fees the litigation doesn’t yield a settlement. This means one can confidently sue, without worrying about the loss of money that would have to be planned for otherwise. Another disadvantage is that, around one third of the amount recovered as damages, is charged by the lawyer towards his fees, for appearing in court and presenting the case in favor of the client. If the litigation takes up too much time, and if the client decides to pay for it, the final lawyer fee is likely to exceed the recovery amount; this will be a problem for the client. As opposed to this, the lawyer gets the benefit of receiving more money than he could have earned on an hourly rate. But if the lawsuit fails, the lawyer does not get paid.

The above information, no matter how helpful, cannot substitute for legal advice. Please consult a reputed no win no fee attorney before filing this claim.

If You Do Not Win, I Do Not Pay

No Win No Fee

What is a no-win no-fee case?

In personal injury cases primarily arising out of auto accidents, you are at liberty to choose your attorney to defend your case in the appropriate court of law. With the emergence of the no win no fee or Conditional Fee Agreement (CFA) as it is known, it is your counsel’s liberty to accept or reject your personal injury case. The term means that if there is a win, there is a fee and if it is a no win, then there is no fee. When the application of the idea became wider, the scope for legal help enhanced beyond barriers faced while reaching out for legal help. Legal help became more accessible outwitting social inequality.

In the recent past, the need for the no win no fee system was on an ebb owing to various restrictions imposed by the government in dealing with the motor accident claims by the people. Applying the principle, an auto accident case claim will be subject to an initial assessment of possibility of claim and in the event of such possibility being successfully assessed there will be further assessment on the probability of success on the claim. If at any stage the assessing solicitor finds your case unfit, then you may be denied representation on the basis of no-win no-fee by the solicitor. And if after assessment, the lawyer represents your case but fails in spite of assessment, he is not entitled for a claim of fee going by the principle.

Conditional Fee Agreement

                           No win no fee lawsuits

In a no-win no-fee case, the assessing solicitor applies every bit of reason and prudence to not end up with a no-fee situation eventually. He would not take up the case if the facts and circumstances of the case do not guarantee a win and thereby no fee. If after assessing a case, the solicitor finds a ray of hope, he would at once take up the case and handle it in a manner that is acceptable for the client and himself. On winning the case on the basis of no-win no-fee, he would be paid the solicitor’s fee apart from success or bonus fees by the losing party. The losing party is also liable for incidental costs involved in the suit such as court fees, medical report costs and so on.

Finding a no-win no-fee lawyer may be difficult at times since the discretion lies with the lawyer. May you be guided by the principle of right lawyer than the best lawyer.

Explaining No-Win, No-Fee Litigation

No win no fee

No win no fee litigation

As the name itself suggests, the no win no fee litigation is a term used to explain the how a lawyer’s fee may be charged in a case of personal injury. If you arrange a lawyer to appear on your behalf in court for a personal injury claim and the lawyer fails to win the case, then you are not required to pay his fees.

 

Mainly used in personal injury claims

These types of litigations are mainly used in personal injury claims but by no means are they are restricted to such cases only. One of the advantages of these types of litigations is that the burden of paying the fee of the solicitor who appeared in court arguing for the personal injury claim will fall on the person responsible for the actions. Thus, the victim would not have to pay any amount of money in either case, even if he wins the case or not, as it is intended on protecting the interests of the victims. So what is in it there for the lawyers? Well they get to decide whether to take the case or not when they are approached with a case.

If the lawyer feels that there is a good chance for you to win the case and claim damages which will include the solicitor fees, then he or she might be willing to appear on behalf of you in the court of law.

Read the documents carefully

Once you enter into a no win no fee agreement with a solicitor or his firm for personal injury law, then you will be provided with a conditional-fee agreement by the lawyer. When you are presented with the documents that contains the details regarding the payment of fees, read it carefully and make

Personal injury claims

No win no fee lawyers

sure that you will not have to pay your solicitor’s fees if you lose the case. You will only need to pay percentage uplift on your solicitor’s usual fee if you win your case. The percentage increase on the fee, which has to be paid to the lawyer, will be decided by the solicitor and will be clearly mentioned in the agreement.

Generally the no win, no fee mantra is used by attorneys who are looking to cement their position in the world of law. For them, establishing a reputation is very important as in the future, their career growth is determined by how many cases they win rather than how much they earn.