Understanding No Win No Fee Agreements
The no-win, no-fee arrangement was first created in 1994 to help people improve access to independent legal advice for people who couldn’t afford to pay for legal services. Since then, many law firms have created their own version of this legal funding model.
Injured people often battle financially after an accident that wasn’t their fault and struggle to afford the legal system, so no-win, no-fee agreements look attractive. But before seeking advice for a no-win, no-fee personal injury claim in Queensland, you should know the hidden traps of legal costs that can arise with a conditional costs agreement.
While a no-win, no-fee policy may seem like a simple way to secure legal representation and financial compensation for injuries caused by negligence, there are several factors you need to consider before proceeding. This article reviews potential pitfalls and hidden fees in a legal costs agreement. So, learn what a fee agreement means and how it impacts working with a legal representative.
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What is a No Win, No Fee Cost Agreement?
A “no win, no fee” agreement, or conditional costs agreement, is a legal arrangement between a solicitor and a client that charges legal fees for a successful outcome. Under no-fee-costs agreements, a solicitor’s professional fees are only payable if a client receives compensation.
In Queensland, no-win no-fee lawyers use three main types of no-fee, no-win agreements:
- Law firm fees are no-win, no-fee, but you pay outlays and third-party costs, including when you lose.
- Law firm fees are no-win, no-fee, but you agree to a disbursement loan to cover outlays and third-party costs.
- The law firm covers 100% of fees and costs; you owe nothing if you lose.
How Are Splatt’s Legal Fees Calculated?
In Queensland, Splatt’s no-fee compensation lawyers charge only for the work required to resolve a compensation claim. This calculation includes a combination of hours of work plus individual item billing.
What About Disbursement Legal Costs?
Disbursement legal costs are the additional expenses of running a legal matter, and they must be clearly outlined in a conditional cost agreement or legal fee costs agreement before proceeding. Legal costs can include:
- Initial Investigative reports
- Expert medical report fees
- Court filing fees and the other party’s costs
- Barrister’s fees
- Other service fees
Be sure to understand no-win, no-fee conditional cost agreements, particularly how a lawyer charges legal fees and costs and who pays, win or lose.
How Much Do No Win No Fee Lawyers Take in QLD?
For people seeking advice for a compensation claim, a common question is, How much do no win, no fee lawyers take? You can answer this question by checking a compensation lawyer’s no-win, no-fee policy before signing a legal cost agreement. Not only what you pay for a successful outcome, but also who pays legal fees if you lose.
How much you pay will change depending on:
- The complexity of a legal matter
- How much evidence is required to prove liability
- How long it takes to reach a settlement
Below are the general fee structures for Splatt’s Queensland injury lawyers.
What are Professional Fees?
Professional fees are the legal cost of advising on a personal injury claim. In Queensland, a compensation lawyer’s fees are legally capped at a percentage of your settlement amount, so you always receive more than your law firm.
Splatt’s no-win, no-pay solicitors provide capped fees for our clients, as required by Queensland legislation.
What are Disbursements?
Disbursements refer to the expenses of investigative reports for a compensation claim. Expert Medical report fees and other assessments are essential for constructing a compelling legal case. These assessments often cost several thousand dollars each and may include:
• Accounting reports
• Specialist medical evaluations
• Psychological or psychiatric reviews
NOTE: These costs are significantly higher for medical negligence claims.
What is Disbursement Lending?
If a law firm doesn’t fund disbursements, you will be asked to pay upfront costs or agree to a disbursement loan, which typically has a high interest rate. Ensure you understand this fee arrangement before signing a no-fee costs agreement when seeking advice from a personal injury solicitor.
What is a Success or Uplift Fee?
A success fee is an additional charge a personal injury law firm could impose when you win a case. Also known as an uplift fee, it is like an extra charge for delivering a successful outcome.
Splatt Lawyers is a 100% No-Win, No-Fee law firm, so we fund disbursements until settlement.
(Note – Splatt Lawyers funds disbursement expenses until settlement, and we won’t ask you to pay for expenses incurred if you lose) Which means you walk away owing zero if you lose. We also do not charge success or uplift fees as explained in our no-win, no-fee policy. Call 1800 700 125 or email us >
Who Pays if You Lose?
If you lose a compensation case, a legal no-fee agreement will outline what happens next. Usually, there are three possible outcomes:
- You will pay nothing if you choose a law firm that covers lawyer’s fees and disbursement costs. Your law firm carries 100% of the financial risk of your case. If you go to court, there may be an exception – please read the next section below.
- No-win, no-fee covers your lawyer’s fees, but you pay outlays.
- A no-win, no-fee lawyer asks you to pay their legal fees, and you take out a disbursement loan to cover outlays. There will likely be a separate agreement on how those costs are recovered.
In some cases, you might be subject to an adverse cost order, which means you could be required to pay the other party’s legal costs if you lose in court, as explained in the next section.
We Pay Legal Fees and Costs When You Lose
Splatt Lawyers is a 100% no-win, no-fee Brisbane law firm. Our no-win, no-fee cost agreement covers professional fees AND disbursement costs. Pay when you win, and zero if you lose. This is our no-win, no-fee, no-financial-risk guarantee. We also don’t charge uplift or success fees. Call 1800 700 125 or email >
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Who Pays Court Fees and the Other Party’s Costs?
It is rare for a case to proceed to court, as most compensation cases are mediated in Queensland. A lawyer would not proceed with this action without your instructions. In the case of court action, a barrister would provide legal representation, and barrister’s fees would be deducted from a settlement if you win.
You may be liable for court fees if a case proceeds to court. If you lose, the court will determine if you are responsible for some or all of the other party’s legal costs.
In this situation, a no-win, no-fee agreement outlines who is responsible for the other party’s costs. Under 100% no-win, no-fee agreements, you owe nothing if you lose in court when you follow your lawyer’s instructions.
Most Cases Through Through Mediation.
In Queensland, mediation is used to settle the majority of compensation claims. We would not proceed to court unless you instructed us to do so. Furthermore, we carry all costs even if you lose in court (when you follow our advice). This is our No Win, No Fee, No Financial Risk guarantee!
Do No Win No Pay Lawyers Only Accept Cases They Can Win?
When personal injury law firms represent a legal action, they bear all legal costs and risks. Even if a case fails, they still need to cover their costs, including office rental, staff salaries, and other expenses. So, it is fair for them to accept cases they think will have a reasonable outcome.
It’s Free to Know if You Have a Valid Claim
Splatt Lawyers provides a free case review that explains your legal rights and possible outcomes. We charge no upfront costs or ongoing legal fees until settlement. This is our no-financial-risk fee guarantee. Call 1800 700 125 or email us >
It's Free to Know Your Rights
3 Steps to Choosing No-Win, No-Fee Lawyers
Step 1: Review The Legal Costs Agreement
When seeking advice from a Queensland personal injury lawyer you should carefully review their no-win, no-fee agreement. This fee agreement explains how a lawyer or solicitor will work on your behalf, including when and how you pay their fees. Pay particular attention to the following:
• What are my upfront fees for disbursements?
• Is your lawyer asking you to take out a high-interest loan?
• Will you pay disbursements if you lose your case?
• Do they charge uplift or success fees?
Note: The document must also declare that you were advised of your right to seek independent legal advice before signing the contract.
Splatt Lawyers can provide a copy of our legal fee agreement on request. You can also see more about our legal fees here >
Step 2: Do They Provide Legal Advice for Your Type of Compensation Claim?
No-win, no-fee personal injury lawyers advise on different types of compensation matters, such as car accident claims, workers’ compensation claims, public liability claims, TPD claims, and other insurance claims. Depending on the type of matter, these can involve physical injuries, mental illness, psychiatric conditions, and other types of illnesses.
When seeking advice from a Brisbane law firm, be sure they have expertise in your type of case.
Step 3: Are They Accredited Specialists in Personal Injury Law?
The legal team at Splatt Lawyers works with the guidance of a Queensland Law Society Accredited Specialist in Personal Injury Law, Kerry Splatt (our practice group leader).
Our Brisbane personal injury lawyers are prepared to navigate the complex legal system, explain your rights, and explain what you must prove for a successful outcome.
How Law Firms Work with No Win No Fee
Law firms that offer No Win No Fee agreements have a structured fee arrangement that outlines the terms and conditions of the contract. This typically includes:
- Definition of Success: A clear definition of what constitutes a “successful outcome” or “win” in your case.
- Payment Triggers: Specific circumstances that trigger the obligation to pay the law firm’s professional fees.
- Fee Amounts: Detailed information on the amount of professional fees and disbursements the client will be responsible for paying.
- Independent Legal Advice: You are encouraged to seek independent legal advice to review the fee agreement before signing, ensuring you fully understand the terms.
Clients can carefully review their law firm’s fee agreement and seek independent legal advice before signing.
QLD No Win No Fee Personal Injury Claims Advice
Splatt Lawyers provides no-win, no-fee legal services for a wide range of personal injury compensation claims in Queensland. Our no-financial-risk guarantee covers the following:
| Personal Injury Claims | Car Accidents | CTP Claims |
| Mental Health Claims | Work Accidents | TPD Claims |
| Workers Compensation | WorkCover | Insurance Claims |
| Psychological Injury | Work Bullying | Back Injury |
| Motorbike Accidents | Work Stress | Severe Injury |
| Pedestrian Accidents | Slips and Falls | PTSD |
| Public Liability | Shoulder Injuries | Fatal Accidents |
Note: Splatt Lawyers does not advise on medical negligence or medical law claims.
Do I Have a Valid Claim?
Brisbane No Win No Fee Personal Injury Lawyers
If you’re seeking independent advice for a personal injury claim under a no-win, no-fee arrangement (like a workplace injury or motor vehicle accident), you should know the hidden traps. Ensure you understand what you’re getting into before proceeding with Brisbane’s no-win, no-fee lawyers. View their no-win, no-fee policy and the terms and conditions of their legal cost agreement. Who pays what in each outcome – win or lose- and what legal fees are charged if you proceed to court?
You choose who advises on a legal claim on a no-win, no-fee basis. Qualified legal advice can help you understand your rights when seeking compensation for a loss incurred by the negligence of others.
At Splatt Lawyers, it’s free to understand your rights. Call 1800 700 125
Queensland No Win No Fee Lawyers Nearby
Splatt Lawyers provides no-win, no-fee legal advice for compensation claims with no upfront legal fees from ten QLD-wide locations.