No Win-No Fee Policy: 5 Things You Need to Know
A No-win, No-fee is an agreement between the claimant and personal injury lawyer, which bars the lawyer from earning the contingency fee in case of claim failure. This policy helps the client to pursue legal action again without risking their finances. Here are 5 things one must know about the policy:
What to do if ‘no win, no fee’ claim is successful?
After we get to know that our claim is successful, we will need to cover all the legal costs incurred during the process. It will be recovered from the defendant, who was responsible for your injury. Your lawyer will fight to his full extent to ensure you receive all your long-term compensation related to your lost income and all the costs involved until you are recovered.
After the settlement, you will need to pay your lawyer legal fees as well as the upfront insurance cost from the awarded compensation. The insurance amount is payable to the success of the claim only.
How do we know if a ‘no win, no fee’ claim work?
The No-win No-Fee policy states that no-win-no-fee lawyers will take out an insurance policy on their behalf to facilitate legal expenditure costs for the compensation claim process. These costs will include court fees and other expenses.
Before making the compensation claim process, the lawyer will evaluate the strengths and weaknesses of a claim to decide the prospect of success and failure. If he finds a realistic possibility of securing compensation, he may continue to fight for them on a No Win No Fee basis.
Things to do after the claim is unsuccessful.
Based on No Win, No Fee policy, the claimant has to pay nothing unless they are not fraudulent and have cooperated with their advocate during the claiming process. While generally everyone pursues the claim to succeed but, in some instances, the claim fails. The person could be forced to pay costs related to the claim process or lawyer fees.
The personal injury lawyer covers their expenses with their covers. While it may be disappointing, but still the claimant has another chance because of No Win No Fee to reapply their claim from a third-party lawyer who they feel is capable of forming a proper strong case in front of the law.
When am I responsible for paying costs if my claim fails?
Regarding the stringent rules of No win No Fee policy, a claimant who is right in front of the law and has honestly cooperated with the lawyer is free from paying any cost to anyone in the outset of failed claims. Lawyers will check if the claimant is falsely pursuing a claim. If he finds out that the documents or details are incorrect, they can recover the costs.
In situations where the claimant is not available to sign authority or proper medical assessment tests are not provided before court deadline, the claims will be unsuccessful due to the claimant’s fault. In this case, the lawyer will charge incurred costs and legal fees from the claimant.
When can you cancel a No Win No Fee agreement?
There are scarce chances for a claimant to cancel a No Win No Fee policy or agreement with the personal lawyer. But there is also a facility to cancel this agreement within the first 14 days after signing. This will be a cooling-off period in which no fees would be payable to the advocate. If the claimant is cancelling after 14 days, then they will have to pay legal fees to their lawyer to recover the costs they have undertaken to claim their compensation.