PPI Litigation Claim

My elderly parents were contacted by a solicitor over a year ago about a PPI litigation claim.  They did, back then, sign a form and sent it back but never heard anything.  The solicitors have since been in touch again about a pending court case but we have since found out their fees are 40% plus VAT and on reading some negative reviews I have advised my parents to just leave it - its not worth the hassle - and even if they do win, they'll come out with not a lot - so its not worth the stress.  When my parents informed the solicitors recently that they did not want to continue they advised them that they could now incur legal charges of around £500 as the court case has been set (albeit my parents didn't hear from the solicitors for over a year!!!).  Has anyone else experienced this.  This is supposed to be a no-win-no-fee situation anyway.   Should they just carry on with it or try and cancel it?

Comments

  • Brie
    Brie Posts: 9,364
    Photogenic First Post Name Dropper First Anniversary
    Forumite
    Ask for a copy of whatever agreement was signed.  That would outline if there might be fees payable at any point.  If there's fees for cancelling before completion and the amount that might be won is minimal then I'd say just let it go.  Presumably this being done on a no win, no fee basis means potentially getting 60% of a small amount which is better than paying out £500 for nothing proceeding.  

    I am curious as to what the court case might be about given that PPI claims closed a number of years back.
    "Never retract, never explain, never apologise; get things done and let them howl.”
  • elsien
    elsien Posts: 32,321
    Name Dropper Photogenic First Anniversary First Post
    Forumite
    It is fairly normal with these operators for the client to agree to pay any charges incurred so far if they decide not to go ahead with the claim. 
    So yes, they should ask for a copy of the agreement that they signed, but don’t be surprised if it does include that clause. 
    All shall be well, and all shall be well, and all manner of things shall be well.

    Pedant alert - it's could have, not could of.
  • DullGreyGuy
    DullGreyGuy Posts: 9,220
    First Anniversary First Post Name Dropper
    Forumite
    Morleyp said:
    This is supposed to be a no-win-no-fee situation anyway.  
    That's how no win, no fee works.

    Conditional funding perhaps should better be named Lose, No Fee but marketing folk thought the other name sounds better. If you win, you pay a fee as a percentage of winnings, if you lose the ATE insurance pays the costs, if you discontinue then you pay costs to date. 

    Insurers don't cover change of mind hence before instructing a solicitor you need to be sure you will be willing to see it through to the end else you will be lumbered with costs for time and disbursements 
Meet your Ambassadors

Categories

  • All Categories
  • 341.9K Banking & Borrowing
  • 249.7K Reduce Debt & Boost Income
  • 449.2K Spending & Discounts
  • 234K Work, Benefits & Business
  • 606.2K Mortgages, Homes & Bills
  • 172.5K Life & Family
  • 246.9K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.8K Discuss & Feedback
  • 15.1K Coronavirus Support Boards