One law firm based in Birmingham has been critical of governmental proposals that could lead to the abolition of no win no fee legal arrangements, legal experts recently said.
Personal injury compensation experts DBS Law recently released the details of legitimate personal injury claims cases in an effort to demonstrate the unsuitability of the proposed changes to the Legal Aid system currently working its way through Parliament. The law firm states that the system currently in place makes it easy for anyone to bring a claim against a defendant regardless of their financial situation, which means ordinary Brits can fight against rich and influential insurers on an even playing field.
The Government’s proposal, which calls for the abolition of success fees currently paid by the defendant or its insurer upon losing a court case, is driven by pressure from the insurance company lobby, the law firm maintains. Removing success fees will put the ball in the insurer’s court in personal injury cases, DBS law maintains.
Rob Bhol, managing director for the law firm, remarked that it is rarely straightforward to make and win a compensation claim, as complex cases require the solicitor for the claimant to conduct a detailed investigation, which is both time consuming and expensive. The current funding arrangements are the only way that solicitors can thoroughly search the evidence in each case, the managing director insisted.
Under the current system, the defendant pays the legal costs of a successful claimant. If the case is not settled before going to court, there is an additional success fee, which is paid by the insurance company of the defendant.