How Has No Win No Fee Affected Us?

It has been ten years now since no win no fee rulesfees, meaning solicitors could charge up to 100%
were extended and applied to the majority of civilmore on top of their usual fees to cover to risk
court cases. Many feel that this has changed theinvolved.
face of personal injury law and certainly altered theThe law also changed meaning that legal aid would
publics’ perception of personal injury lawyers.not be available in personal injury cases. In
With the introduction of no win no fee, a whole hostconsequence CFA’s rose in popularity and more
of compensation firms sprang up, focusing oncompensation firms acting as middlemen sprang up,
personal injury and encouraging victims to claim.advertising relentlessly.
Every day we are bombarded with adverts fromThe change brought about a lot of negative press
these firms citing successful cases and offering towith headlines claiming that “Legal 'vultures' are
win you thousands of pounds of compensation formaking £2m out of the NHS each week” or
minor everyday accidents.“Compensation culture is killing equestrianism" or
The adverts hammer home that you could and"Compensation culture wrecking small firms”.
should claim as you can take legal action with no riskThe public is led to believe that the UK is in the grip
or cost to yourself. Anyone who has caused youof a claims culture where everyone is making their
injury will be held accountable for their actions andlittle penny out of any minor accident. Personal injury
you will receive a healthy cheque.lawyers are seen as money grabbing, inflating their
Conditional fee agreements as they are known werefees for no win no fee cases causing a drain on the
introduced in 1995 and extended to most civil courtpublic purse.
cases in 1998. They were designed to secure justiceMartin Bare, president of the Association for Personal
for those stuck in the middle, who could not affordInjury Lawyers rejects this perception, saying that
lawyers yet did not qualify for legal aid.“there is no gravy train. The perception arises
Minister at the time Geoff Hoon had this say aboutbecause people don't think that for the cases that
them:you win, there's another that you lose, for which you
“No-win no-fee conditional agreements will resultget nothing.”
in better access to justice. Access will be given toLawyers blame the claim management firms, for
the many people who fall between those who arewhom the changes in the law “gave them a
very rich or those who are so poor that they qualifymodel where they could afford to bombard you and
for legal aid. In future, the question of whether oneme with endless advertisements. That is what makes
gets one's case to court will no longer depend onpeople believe that there is a compensation
whether one can afford it, but on whether one'sculture” says Mr Bare.
case is a strong one.”Indeed statistics do not demonstrate a particular rise
No win no fee agreements then became even morein the number of compensation clams made. The
attractive the following year when legislation wasnumber of cases registered to the Compensation
introduced which would mean that all legal costs wereRecovery Unit has barely changed year on year since
reclaimed from the losing side. With this came uplift2000.