Association of Personal Injury Lawyers
A not-for-profit organisation representing injured people

Can I keep all of my compensation?

Can I keep all of my compensation?

Since April 2013, you may not be able to keep all of your compensation.

Damages based agreements or contingency fee agreements are also a type of ‘no win no fee’ agreement. If your lawyer agrees to represent you under a contingency fee agreement, they will be able to deduct a percentage of any compensation they recover on your behalf. The percentage you agree for them to deduct from your compensation will contribute towards the costs they have incurred running your claim to a successful conclusion. In some circumstances your lawyer’s costs may be able to be recovered in full or in part from the losing party. If you lose the case, you won’t be charged a fee by your lawyer.

The contingency fee percentage must be agreed in advance. It must not be more than 25 percent of your compensation excluding those calculated to pay for your future needs. You should also check whether the lawyer will deduct any expenses before or after they take their contingency fee as this can make a significant difference to the amount you finally receive.

See also What is no win no fee?