No Win No Fee - Charge Dispute

[joejacks]

Hello

I had a free consultation meeting with a local solicitors regarding an accident claim.* In the meeting they discussed options and stated that I would only pay a fee if the case wins* acting under a CFA basis and that I had up to 3 years to make a claim.* I decided to think about things as it sounded a little complicated and left.**

I emailed the solicitor a week later and decided to proceed with the claim and asked them to send over information that I would need to read over with my family and I asked them to confirm that there is no financial liability on me when making this claim apart from if it was successful (the solicitor told me that they would send over the documentation for me to look over with my family and sign if I wanted to proceed.
Because of the personal issues I had little time to fully read through the documentation in detail (I was a little concerned and unhappy with some of the working in the agreements they sent me to look over and sign and wanted more time to look over this) and as I believed that there was no time constraints (I thought I had up to 3 years) I have not sent any signed paper work back to formally proceed with the claim.


However today I have received a bill from the solicitor asking for £400 because of a failure to cooperate was a breach of the No Win, No Fee Agreement and they are entitled to charge for the work undertaken.

At no time during our only meeting did the solicitor state that if i did not proceed that there would be a charge?

Apart from my email stating from our initial meeting where we discussed the case that I would like to proceed further (with regard to receiving the full documentation to read over) I have signed no client letters, forms of authority or CFA so is this bill to me fair and payable?





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[EXC]

Have you signed anything at all with the solicitor?

What does the bill say actually say with regards to breach of the agreement?

[joejacks]

No not signed anything - the only thing was an email after the initial free meeting where I said to proceed with the claim (via email) and they sent me the documents and information to read over - but I never signed any of these or sent them back in their envelope they provided.* The breach is that of the no win, no fee agreement.* Accepting your instruction but being unable to progress the case due to your lack of cooperation.

[luxardo]

sounds like they have taken your email as an instruction to act and inferred a contract now exists, the terms of which are you will pay them 400 quid if you fail to proceed.

[joejacks]

But nowhere in the terms does it state that there would be any charge (£400) if we fail to proceed?* It was only after reading through the contract and documentation which came in the post after I had sent the email that we decided that this was not right and we were not happy with the no win no fee and the proposal outlined - which sounded totally different*to the initial 30 minute discussion we had in person. (there were too many grey areas in the documentation which* needed to be signed in the contract)

I have not signed any paperwork or sent anything back to them ? They sent an email a few weeks later asking if I had signed the paperwork as they would need this to progress.

I feel as though they have taken advantage of me and trying to make a quick profit - could I try and renegotiate a lower charge with the practice?

[luxardo]

if it's not in the contract or any other documentation and they never mentioned it then it's unenforceable.I'd write and tell them this and refuse to pay it., being a solicitor he will know he has no chance of winning a claim.

[joejacks]

thanks - they never mentioned it during our meeting and this was confirmed by them via email stating that I only pay something if the claim is successful.**

This is all before he sent the documentation and contracts which I didnt sign.* Looking through the contract or documentation I cannot see any reference to any payment that would need to be made if I didnt proceed and sign and return the contracts and documentation back to him.

How can it be enforceable if I have not signed any paperwork with them?* How would you respond to this letter and bill?**

[des8]

see post 6 for how to respond

[joejacks]

Even if they think I have instructed them to proceed from my email?* Which was not my intention - this was to proceed with sending me the documentation and contracts to look over - which I did not sign and return

[des8]

Well tell them your email was only instructing them to send the documentation.
You haven't told us the exact wording of that email, nor its exact context, so we can pass no opinion on how a third party might construe the position

[R0b]

Very foolish of you to simply say 'proceed' in an email as that is entirely unhelpful and unclear as to what you meant so it's no surprise you find yourself in this position. If I was the solicitor I would have probably taken that to mean go ahead with the claim and get started. Telling a solicitor to proceed is a whole lot different to saying, I would like to go ahead but want to see the paperwork first before you start any work.

I could be wrong but I don't think there is an obligation for solicitors under the SRA Code of Conduct to require a client to sign a letter, rather their obligation is to provide a client care letter setting out certain information. So, iIt will rest on the documentation you received from the solicitor and if it refers to you signing the document before the work will commence, or that work won't start until you have signed and returned the paperwork or words to that effect then you might be on safe ground.

Most, if not all client care letters operate in that way because as I mentioned above, firms need to send you certain information before starting work, and they will also want to include their terms of business - which they can't enforce if the contract was formed before they were sent out unless you consented.*

In terms of response, I agree you with the rest of posts that say you did not enter into any contract to carry out the work. In addition to that, you can also raise the following points:

1. The paperwork including the contract sent out to you was never signed and returned to them. Point out any references which says you are required to sign and return the document before any work is carried out.
2. If the bill isn't itemised as to what work has been done, make a request that the solicitor under section 64 of the Solicitors Act 1974 (I think) for a detailed invoice setting out what work has been carried out.
3. In any event, the firm is in breach of its obligations under the SRA Code of Conduct which requires them to provide a client care letter setting out certain information including costs and the work to be carried out. Failing to provide this information is considered a serious breach of the rules and you are minded to report them to the SRA for breaching their duties should they continue to pursue you for this non-existent amount.

I suspect they would reject point 3 and they may have good reason but worth including anyway just to see their response to it.



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