Professional Negligence Funding Options | Irwin Mitchell

Claiming compensation for professional negligence can seem daunting, especially if you’re worried about paying legal costs. We’ve provided a breakdown below of the funding options that may be available to you, as well as details of an insurance policy that’s designed to protect you should your case be unsuccessful.

Conditional Fee Agreement (CFA)

We accept many cases on a CFA basis. This is when we agree upfront when you will be responsible for paying legal fees and what they might be – so there’s no nasty surprises when your case is settled. We’ll talk you through each potential scenario, discussing the legal costs you’ll need to consider should you win or lose your case.

Why Do I Need A CFA?

We want to help you reach a successful and harmonious outcome for your professional negligence claim and will do everything in our power to get you the right result. But before we begin work on your case, we’ll agree a CFA so you’re aware of what legal costs you may need to pay. Our normal charges are on an hourly basis (known as ‘base costs’), with expenses and court fees also a possibility depending on the nature of your case.

What Happens If I Win My Case?

If you win your case, you’ll be responsible for paying our basic costs and expenses. However, the court may order your opponent to pay the majority part of these, providing they are reasonable and proportionate. If your opponent refuses to pay this, we can enter enforcement proceedings to recover this for you.

What Happens If I Lose?

If your case is unsuccessful, the CFA means that you won’t be liable for any of our base costs. You may be responsible for some expenses, but these may be covered in an After The Event (ATE) insurance policy.

Discounted Conditional Fee Agreement (DCFA)

A DCFA is a CFA with a discounted hourly rate. You’ll pay our base costs at a discounted hourly rate whatever the outcome of the proceedings, but will give up the balance of these if your case is unsuccessful. However, we’ll be entitled to recover all of our base costs if you win your claim.

After The Event (ATE) Insurance

This insurance policy may also be available to you to help protect you financially if your case is unsuccessful. As an ATE insurance policyholder, any money that’s owed to your opponent after your case has finished will be paid by the ATE insurance, meaning you won’t be left out-of-pocket.

We have close relationships with many providers of ATE insurance and can help set up a policy for you quickly and efficiently.

What If I Win?

If you win your claim:

  • You’ll need to pay the premium for your policy. However, this will be taken from the settlement figure you receive.
  • Your policy will also pay for any court orders that you’re required to pay for your opponent’s legal costs.

What If I Lose?

If your claim is unsuccessful:

  • The policy premium will be waived.
  • Your insurance policy will pay your opponent’s legal costs which you’re ordered to pay, which means that you won’t have to make any payment out of your own pocket.
  • The policy will also reimburse you for any legal fees you need to pay.

Contact Us Today To Discuss Funding Your Case

If you have any questions about the options available for funding your case, please call us today to arrange a free initial consultation. Call 0370 2188 440 or contact us online.