Rejecting 'no win no fee' compensation claim

Mervyn_King

What recourse do I have if I don't agree with the amount of compensation I've been awarded in a 'no win no fee' insurance claim that the solicitor has recommended I accept. Do I just have to lump it or can I go over his head to an 'ombudsman' to arbitrate ? What is the worst case scenario that could result if I dig my heels in ?
Many thanks for any responses.

scheming_gypsy

You haven't been awarded any compensation, you've been offered it and the solicitor has recommended that you accept it, as it's a fair offer. You can refuse to accept it and the third party can either make you another offer or tell you that it's their only offer; if you continue to refuse then i think it may go to court or something, to decide the compensation.

vaio

I think if it's a part 36 offer then if you reject, go to court and don't get awarded more then you end up paying all the costs (both sides) from the point of the offer onwards

Crazy_Jamie

If you have already been awarded compensation following a court and hearing and are not happy with the outcome, the only possible next step is an appeal. However, it is unlikely following a simple assessment of damages that grounds for an appeal would exist.

If you have been offered an amount of compensation in settlement and been advised that you should accept it, you do not have to accept that advice. There is no Ombudsman or similar; you simply choose whether to accept the advice of your solicitor or not. If you do not and no revised offer is made, your case will proceed to a final hearing where the Judge will determine the amount that you will be awarded.

Vaio's post is important, and is very much something that you need to be aware of. If the offer is made by way of Part 36 (it almost certainly will be), then you need to beat that offer at trial (i.e. be awarded more than the offer) in order to avoid adverse cost consequences. If you do not beat the offer, then you will be liable for the costs incurred by the other side from the date of expiration of the offer to trial. These costs may be covered by ATE insurance that you should have in place as part of the arrangement that your solicitor made for funding your claim. However, as you will have rejected the advice of your solicitor, it may be that liability for these costs could fall on your personally. This will depend on the terms of the ATE insurance, and I highly recommend that you check with your solicitor whether or not you would become liable for the costs if you reject the advice, reject the offer, and then beat it at trial.

On a side note, why is it that you do not agree with the amount offered? Valuing personal injury claims is a specialist skill, and one that your solicitor will be trained in. Is there a compromise within the offer that you do not agree with, or is there some other reason?

Mervyn_King

Thanks for replies. My situation is this: I haven't actually received an award yet but my solicitor has suggested the amount I'm likely to receive - which I consider an insult. Added to which there has been another development which he has suggested may seriously compromise my claim.

Basically I was knocked off my bicycle 12 months ago by a careless lorry driver (the accident was entirely his fault and he was subsequently prosecuted). The accident left with me several broken bones (and permanent discomfort) and some psychological damage. One of my injuries may / may not require surgery. I was advised by the NHS orthopaedic surgeon assigned to me NOT to have surgery as is may make matters worse and to some extent I have adapted to this injury. Subsequently, I was assessed by an independent surgeon on behalf of my solicitor and the insurance company who then RECOMMENDED surgery. I've now been told by my solicitor that I must undergo surgery (and subsequent re-assessment 6 months on) otherwise, to refuse surgery will seriously restrict or even negate my claim.

ihateyes

how much did they offer?
remembering no win no fee, usually take a sizeable chunk to cover costs.

I got hit (motorcycle) by a taxi, no broken bones, but 8 yrs on, i have back trouble, have a special chair at work, have had physio twice, the most recent 12mths ago (though at my companies expense).

I got £4k for that, though to be honest with the pain i go through now, wasnt enough!!

A figure would give some people an idea if your being ripped of or not. Has the Solicitor had all the notes from the hospital as to the ops you require, etc etc

lisyloo

I've now been told by my solicitor that I must undergo surgery

Surely whether you undergo surgery is a matter for yourself and the health professionals.
The solicitor can advise you of the impact on your claim and of course if you are seen to be actively making things worse (by refusing treatment) then you cannot expect to be compensated for making things worse.
I expect it didn't come across quite right but it's not for a solicitor to advise you medically.

InsideInsurance

No win no fee, in the vast majority, take no "sizeable chunk" from you at all. Their costs are added on top of yours to the third party or their insurers to pay.

The problem with medicine is that it is not an exact science, I'd argue it is not a science at all, and therefore you do get significant differences of opinions. I move home a fair amount due to work and so fairly frequently having to switch doctors and a good number of times they've decided my medication was "wrong" and so changed it.

The solicitors are correct in saying that by having a medical report saying surgery will help and by not then having it that it would impact your payout. It certainly wouldn't reduce it to nil as you evidently still have pain, suffering and loss of amenities up to this date but it would reduce the amount of money awarded for the future element as you aren't doing what the written expert has said would accelerate/ improve your recovery.

If you wish to complain about the solicitor you must first follow their internal complaints process which will involve your case being looked at by a senior partner at the office you're at. After that you can go to the Legal Ombudsman if you are not happy with their decision. The LO was created after I left claims handling so have no direct experience of them but certainly the anecdotal evidence is they aren't too hot and are more "customer service issues" than wrong legal advice.

They probably have bought insurance on the case to cover costs if they do not win. The issue with this is that they must have "reasonable prospects of success", if they don't they have no cover. If you cannot get them to change their mind then the option is to proceed under normal funding conditions, ie you pay them and the third party solicitors if you are unsuccessful. If you are successful the TP still claims.

The danger comes with Part 36 offers as as Crazy Jamie says, if you continue after a Pt36 you become liable for both sides' additional costs unless you achieve a higher settlement than the offer.

Mervyn_King

Both sides have received all the reports. Solicitor is indicating around £7,000 comp. - but that was before his insistence that I have to undergo an operation whether I want it or not - despite conflicting medical advice. So presumably if I don't wish to have the op. and stick with 'the devil I know', I may be looking at either no comp. or 2 to 3 £000.

PDAH

Meryvn - £7000 seems very light. £2000-£3000 is too low to the point that I really dont think that will happen, I think you are worrying too much! What sort of surgery are we talking about? Is the opinion from an orthopaedic surgeon? Also, if you do elect for surgery, do some research and select the surgeon and get it done privately and get it paid for by the insurer, along with rehab. Also if you have surgery, you would pretty much have to go for a further medical exam so its too early to be talking about settling your case.

InsideInsurance

Again your solicitor should advise you on what to expect. They will know what they are considering for the PSLA to date and what is for future issues. It would only be the future issues element that is potentially reduced by not following the expert advice. I say reduced as the report may not say surgery would cure it but simply help, if thats the case you effectively would get the payout as if you'd had the surgery rather than what you'd get if your current worsened state was the best you could hope for.