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Understanding ‘No Win, No Fee’ Claims in Australia

3 minute read

By Katie Ormsby

“No win, no fee” agreements are game-changers for folks who were once hesitant about taking legal action because of the costs. Under this arrangement, lawyers only get paid if they win your case. Start a search today to find lawyers.

This structure levels the playing field, making justice more reachable for more people. If you’re interested in hiring legal representation, you can find affordable “no win, no fee” compensation claim lawyers with online research.

“No Win, No Fee” Basics

Under a “no win, no fee” arrangement, a lawyer agrees to represent a client without requiring upfront payment.1 Instead, their fees are contingent upon the successful resolution of the claim. In contrast to traditional legal agreements where clients pay irrespective of the outcome, “no win, no fee” ensures clients only pay if their lawyer wins their claim.

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So, how do you get started with this kind of agreement? Once you’ve found a lawyer you’re keen on hiring, you’ll discuss the details of your case. If they believe the case has merit and want to take it on, a formal agreement is drafted outlining the fee structure should your claim be successful, detailing what costs are payable and when they’ll be due.

Types of Claims Covered

The landscape of “no win, no fee” compensation claims in Australia is vast. There are, however, a few general categories of cases that commonly offer this structure.2 For instance, here are common types of claims covered:

Depending on the specific circumstances and the legal firm involved, lawyers may offer this fee structure for other types of cases. So, it’s always worth researching and exploring your options.

Benefits of “No Win, No Fee” Agreements

For many Australians navigating the complex legal landscape, the “no win, no fee” structure has emerged as a lifeline.3 It offers several distinct advantages, including:

In essence, these agreements are designed with the client’s interests at heart. They make the pursuit of justice more attainable for more people.

Choosing the Right “No Win, No Fee” Lawyer

With the right approach, you can find the right lawyer for your case. Here are a few steps that can help you get started:

When you shortlist potential lawyers, schedule a consultation. Use this opportunity to gauge their competence, ask questions, and figure out if you’re compatible.

Costs Involved

While you don’t have to pay lawyer fees upfront, there are other associated costs like court fees or medical reports. The good news? Your lawyer often covers these disbursements for you initially. Those costs are often recouped in the success fee, which is a percentage of the compensation you win. It’s all part of the process, so make sure you understand the ins and outs of a lawyer’s fee structure before hiring them.

What Happens If You Lose?

Under a “no win, no fee” agreement, you generally won’t owe your lawyer money if your claim is unsuccessful. Paying back disbursements, however, is a common exception. Do some research because you might be liable for the other party’s legal costs. To safeguard against this possibility, some lawyers might advise on legal expense insurance or explore other avenues.

The Bottom Line

With the rise of “no win, no fee” compensation claims, justice in Australia has become more accessible. These agreements ease the financial burden, ensuring that more people can pursue their rightful claims. If you’re on the fence about seeking legal representation due to financial concerns, this structure could be your way forward.

Katie Ormsby