No win no fee, the answer to exorbitant legal fees?

2007-03-08 10:33:40

( Legal )



For a long time the legal system has been plagued with exorbitant legal fees which made access to courts for middle income taxpayers almost impossible.
Before,none payment of legal fees in the event of a no win did not equate to a no fee mortgage,no fee roth ira,no fee ira,no balance transfer fee or no fee checking.If you are a middle income earner who do not qualify for legal aid assitance but cannot afford the services of a lawyer you may opt for a no win no fee policy.
Legally,no win no fee policy in the United Kingdom is called conditional fee and contingent fee in the United States. It is an agreement between you and your lawyer where payment for legal services is based upon the condition that judgment is in your favor.Technically,the losing party(your opponent)pays for the contingent fee from the damages he is required to pay.
A contingent fee is the sum of a normal fee(the standard legal fee)and the success fee.It is a common practice that lawyers charge 25% to 50% of the damages recieved as success fee.
The terms are different depending on which jurisdiction you are in.In the United Kingdom,the law requires that the agreement be made formal while in the United States there is no express requirement for such.In UK,payment for success fee is strictly made upon a court judgment in your favor.In the US,payment may be made even under an eventual judgment or out-of-court settlement.Laws in UK provide that conditional fees are based on the normal fees while in the US,contingent fees are based on a percentage from the total damages received.
A no win is a condition in a no fee mortgage,no fee roth ira,no fee ira, no balance transfer fee and in a no fee checking.
Most law firms before accepting this case require that you pass the following:
* your claim is meritorious or legitimate.
* the case covers civil claims especially in medical malpractice, injuries, and insurance. the policy is not applicable in family law cases,commercial law cases and criminal cases.
* a proof of your inelligibility to legal aid services
* a written and signed agreement to enter in this policy
If you are under the jurisdiction of the United States where success fee is guaranteed even in eventual judgment lawyers may be persuaded for an out-of-court settlement to expedite the case,avoid costs and guarantee payment of damages.However,this may not render your highest possible claim and may compromise the interest of the law in protecting you.In this case,a no win no fee policy may not be your best option.


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