How do No Win, No Fee injury solicitors get paid?Updated: October 13, 2020
Most personal injury claims are financed with a ‘Conditional Fee Agreement’ (CFA) between a solicitor and an injured claimant. CFA’s are more commonly referred to as ‘No Win. No Fee’.
Personal injury solicitors working on a No Win, No Fee basis receive a success fee if they win. If the case is unsuccessful the solicitor does not earn any legal fees.
If you win your claim, the solicitor will receive a ‘success fee’ which is deducted from your compensation award or settlement.
Success fees cannot, by law, exceed 25% of the final compensation award or settlement. 25% is the maximum allowed by the Ministry of Justice (MOJ).
In addition, any further legal fees would be paid for by the defendant if your claim is successful.
So I lose 25% of my compensation?
Not exactly. In 2013 the law was changed in line with a Court of Appeal review known as the ‘Jackson Reforms’. Since 1 April 2013, general damages for pain and suffering and loss of amenity has been a 10% increase if a claim is funded with a No Win, No Fee agreement. This uplift is applied to partially offset success fees.
If your claim is successful, your general damages compensation is first increased by 10% before the 25% success fee is deducted.
If you have been injured at work in the last 3 years, you may be able to claim financial compensation.
Find out more about making a work accident claim:
- Do you qualify?
- How much compensation could you get?
- How does No Win, No Fee work?