Litigation can be an expensive undertaking, and understanding your funding options is crucial. As your solicitors, we believe it’s essential to keep you informed. Here are some of the key litigation funding options available in England:
- Private Funding: This is the most straightforward method where clients pay for the litigation out of their own pockets. Typically, lawyers may charge on an hourly basis or a fixed fee.
- Conditional Fee Agreements (CFAs): Often known as ‘No Win, No Fee’ agreements. If you lose the case, you might not have to pay your lawyer’s fees, but if you win, a ‘success fee’ is added to the standard fees, which can be up to 100% of the regular charges. Remember, even with a CFA, you may still have to cover other costs, like court fees or expert fees.
- After the Event (ATE) Insurance: This insurance covers the risk of having to pay the opponent’s legal costs if you lose. It’s typically taken out after a dispute has arisen and often in conjunction with CFAs.
- Before the Event (BTE) Insurance: Unlike ATE, BTE insurance is purchased before any dispute arises, usually as a part of household or motor insurance policies. It can cover legal costs in case of litigation.
- Third Party Funding: Here, a third-party (not connected to the litigation) agrees to pay some or all of your legal costs. In return, if you win, they receive a share of the proceeds. If you lose, they usually get nothing.
- Legal Aid: Though it’s become more limited in recent years, legal aid is still available for certain types of cases, primarily involving serious matters like homelessness or child custody. Eligibility is based on the merits of the case and the client’s financial circumstances.
- Trade Unions: If you’re a member of a trade union, they might offer support for legal disputes related to employment issues.
- Public Interest Litigation: In some cases, charities or non-profit organizations may fund litigation that serves the broader public interest.
- Crowdfunding: An emerging trend, crowdfunding platforms like GoFundMe or CrowdJustice allow individuals to raise money from the public to fund litigation.
- Payment Plans: Some lawyers may offer flexible payment plans, allowing clients to spread the cost over a period.
In conclusion, navigating the world of litigation funding can be complex. It’s always best to discuss your options with a lawyer to find the most suitable solution for your circumstances. Our team is here to help and guide you through every step of the process.
Why not submit your case details to us and see if we can help?