No win no fee medical negligence claims

What if we lose a no win no fee medical negligence claim?

At Stephensons we thoroughly vet new business enquiries and only open files for claims that we think are more likely than not to be successful. However, without medical records and independent expert evidence, it is not always possible to correctly determine the eventual outcome of a claim at such an early stage. Unfortunately, there will be some cases that are unsuccessful.

It is important to note that clients are ultimately responsible for any legal costs incurred as a consequence of investigating a claim. However, the general principle of a ‘no win, no fee’ agreement is that if the client loses we will not look to enforce our right for them to pay our costs provided they act reasonably. Reasonably is defined within the agreement but largely relates to acting honestly, following reasonable advice and providing timely instructions.

Although we are unlikely to charge our fees (if we lose) there is still a liability for the disbursements (expenses) in the case and, in certain circumstances, opponents’ costs. We may therefore recommend taking out an insurance policy to protect against these risks. There is no upfront cost associated with obtaining the insurance product and it only falls payable at the conclusion of a claim. Indeed, the insurance policy works in a similar way to a ‘no win, no fee’ agreement in that, if we lose, providing a client acts reasonably, an insurer will not look to recover the cost of the insurance product from the client.

What happens if we win a no win no fee medical negligence claim ?

If we win, then the defendant will be responsible for the majority of the cost of any insurance policy. However, there will be a shortfall and this will be taken from the compensation. The extent of a client’s contribution depends on the final value of the claim and an indication of the likely deduction will be given when the policy is taken out. However, please rest assured that we would not recommend taking out an insurance policy unless we thought it was proportionate to do so.

Under the terms of a ‘no win, no fee’ agreement, Stephensons are only likely to be paid if we win. To recognise this risk, we will take a “success fee” from any compensation awarded.

The success fee is capped at 25% of any compensation relating to pain and suffering past out of pocket expenses. However, there are two main situations where we will take less than 25%:

- if a case settles for £100,000 then a 25% success fee would be £25,000. However, if costs at the time are only £10,000 then this would be the maximum amount that we could deduct.

- we will not deduct a success fee from losses that have not yet occurred. For example, if a case settles for £100,000 but future losses amount to £80,000 then we would only be able to take a success fee from the remaining £20,000.

At the start of a claim, it is often not possible to accurately estimate the likely extent of costs at the time of settlement as this will depend on factors such as whether or not the defendant makes early admissions. The extent of future losses will also often not be calculable until independent expert evidence has been obtained. Nonetheless, Stephensons can offer you the reassurance that you will not be asked to make an offer/consider an offer unless you know exactly what you are going to receive in your hand.

Why choose Stephensons?

Stephensons’ no win no fee solicitors have secured millions of pounds worth of compensation to aid clients in their recovery, rehabilitation and life following medical negligence. We are committed to providing our clients with expert legal guidance while keeping the process as straightforward as possible for them.

We have more Law Society accredited medical negligence solicitors than any other team in the North West and are ranked amongst the best in the UK for our expertise in this complex area of law. If you believe that you may have a medical negligence claim call our team on 0161 696 6165 and we can discus whether, if accepted, it could be funded under a no win no fee agreement.