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A Practical Approach to Civil Procedure

A Practical Approach to Civil Procedure (26th edn)

Stuart Sime
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date: 15 February 2025

p. 102. Funding Litigationlocked

p. 102. Funding Litigationlocked

  • Stuart SimeStuart SimeHead of Department, Academic Programmes, The City Law School, City, University of London

Abstract

This chapter discusses the issue of funding litigation. Solicitors have a professional duty to advise clients on litigation funding options. The advice and agreed funding method should be confirmed in writing in a ‘client care letter’. Most commercial clients pay their lawyers under the traditional retainer, normally with an agreed hourly rate. Conditional free agreements (CFAs) or ‘no win, no fee’ agreements allow a lawyer to agree not to charge the client if the proceedings are unsuccessful, but to charge an uplift or ‘success fee’ of up to 100 per cent over the solicitor’s usual costs if the proceedings are successful. Damages-based agreements (DBAs) are a form of contingency fee agreement under which the lawyer is paid out of the sums recovered in the proceedings. Public funding through legal aid is restricted to individuals with modest income and capital, and there are wide exclusions from the scheme.

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