The Essential Guide To Understanding ‘No Win No Fee’ Employment Claims

A ‘no win, no fee’ claim is also called a conditional fee agreement and is an arrangement between you and a solicitor. This type of agreement means if you receive no compensation as a result of an unsuccessful claim, you will not have to pay any contingency fees for the solicitor’s legal services.

There are many reasons why you might make a ‘no win no fee’ claim against your employer, including receiving an injury in the workplace and discrimination due to gender, sexual orientation, race, age, religion, or disability. When making a claim, it’s essential to understand how they work and what to expect, whether you are successful or unsuccessful. In our short guide, we will help you understand what you need to know before you make a claim.


How Does A Claim Work?

When entering a ‘no win no fee’ agreement with your solicitor, they will take out an insurance policy on your behalf to cover any costs incurred during the compensation claim; a solicitor will do this before they begin working on your case. Many of these costs include medical reports, court fees and other expenses your legal representation need to pay during the course of your claim. When you make a claim, you will not incur any hidden charges or fees that may occur during the compensation process.


Unsuccessful Claims

Most solicitors can advise you before you begin a claim if they think you have a good case with a high chance of success, but in the event that your case is unsuccessful, it is important to know what the next steps are. In most instances, when a claim is unsuccessful, the solicitor closes the case, and there is nothing to pay as the insurance taken out at the beginning of the claim cover the legal fees. However, there are some exceptions if the claim is found to be dishonest or fraudulent; in these cases, the court can order the claimant to pay the defendant’s legal expenses.

There are some risks of being unsuccessful in court. You may be made an offer outside of court; however, a good solicitor like Spencers Solicitors will advise you carefully regarding any offers you are made to ensure you are protected at all times.


Successful Claims

You might be concerned about what happens when a claim is successful and whether the compensation you receive will be used to pay all of your legal fees. However, in most ‘no win no fee’ claims, the majority of the legal costs incurred during the process of the case, such as court fees and basic fees, will be recovered from your employer as they are responsible for why you needed to make a claim in the first place; whether that’s because of poor health and safety causing you and injury, discrimination or any other reason.

There are other costs that will require payment and are taken at the end of a claim process, which are called ‘success fees’, and they are recovered from the client, which in this case is you. Don’t worry though, these fees won’t amount to all your compensation, and most solicitors only take a small percentage to pay for these costs.