Under a Conditional Fee Agreement, also known as ‘No Win, No Fee’ agreements we would agree that if you claim is unsuccessful you would not be charged for our time and we do not get paid. If your claim is successful then we are entitled to charge for our time and claim a success fee (calculated as a percentage) from the responsible paying party.
The general rule in English Law is that the loser pays the winners costs. In these circumstances, if your claim is successful, we would look to recover our costs from the other party who would also be responsible for the success fee claimed.
As such, if you instruct a firm of solicitors on a ‘No Win, No Fee’ basis then your risk, as to legal costs, is limited to the other sides reasonable costs and disbursements, any Court fees that have been incurred and any disbursements incurred by your solicitors (such as an experts fee or the fee for your medical records). You can, however, purchase insurance to cover these costs if your claim is unsuccessful. In the event that your claim was unsuccessful you would not pay your solicitors fees.
Funding claims on the basis of a ‘No Win, No Fee’ agreement is subject to an initial assessment, known as a risk assessment, this will decide whether or not we are prepared to offer you funding on this basis and what the percentage of the success fee will be. The success fee is an extra fee which the solicitor is entitled to charge as their risk that if you lose, they will not be paid.