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“No win, no fee” agreements live on for compensation claims

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There have been various stories in the media recently announcing the end of “no win, no fee” agreements for personal injury and medical negligence compensation claims, following the introduction of the Legal Aid, Sentencing and Punishment of Offenders Act”. However, whilst the Act (which came into force at the start of April 2013) alters “no win, no fee” agreements, they have not been removed.

“No win, no fee” agreements, or Conditional Fee Agreements (CFAs) as they are also known will remain available to those looking to pursue personal injury and medical negligence compensation claims. However, the rules surrounding CFAs have changed. Injured claimants will still be immune from paying legal fees up front or if the case is lose but they will now face a “success fee” if they win their case. This fee will be no higher that 25% of the damages received in the payout

The changes mean that the cost of a successful claim will be shouldered by the claimant rather than the defendant who would previously have paid the fee. There are significant disadvantages to this. It has long been accepted by the courts that injured claimants should receive 100% of the compensation they deserve but under to new system, they will be forced to pay up to a quarter of this in legal expenses. However, the good news is that CFAs have not disappeared completely as some sections of the media had been suggesting.

Need advice on funding your personal injury claim? Call 0800 1404544

There are various ways to fund your compensation claim and a “no win, no fee” agreement remains a good option. For further information on funding and advice on how to claim compensation, get in touch with our expert personal injury and medical negligence solicitors:

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