‘No win, no fee’, it’s a simple sounding offer that at face value, doesn’t appear to need much explanation. It appears to mean that there will be nothing to pay unless you win. The reality found in the small print of the terms and conditions is a different story. 

Almost all 'no win, no fee' / 'no win, no pay' offers have circumstances in which you can be left out of pocket.

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Check the small print

No win, no fee does mean you won’t have to pay your law firm any legal fees unless you are successful in claiming compensation. What the small print will reveal in most ‘no win, no fee’ agreements is that there are a number of circumstances in which you can still be left out of pocket. 

Agreements vary from firm to firm but the biggest risks occur if your case goes to court. While the majority of injury compensation matters are settled before reaching court, some matters will proceed to this stage.  In a court case, the judge has the power to award legal costs to the winning side. This means that if you lose in court, you could be liable to pay the insurance firms legal costs. 

In a smaller number of situations, some firms may make you liable for other non-legal costs such as;

• Expert medical reports. If you were sent to medical experts by your lawyers then you could be billed for these reports, often thousands of dollars each.
• Other outgoings. On occasion, you could be liable for fees incurred by the law firm such as printing, postage, insurance on litigation loans.

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