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I am on a CFA with ATE insurance the case is in it's 4th year

Customer Question

I am on a CFA with ATE insurance the case is in it's 4th year with Fatal Clinical Negligence claim
The other side have offered £30,000 and their is new medical evidence that does not help my claim. If my solicitor advises to accept I will have to pay £14,000 premium to my ATE insurer and maybe £2000 to my solicitor for a loan arrangement he organised for disbursements leaving £14,000 for me.
My solicitors costs total to date £60,000 will I be liable to pay him if i settle.?
The expression used by the other side is ' drop hands offer '' but is this another term for ' part 36 ' ???
thank you
Submitted: 9 months ago.
Category: Law
Expert:  JustAnswerKM replied 9 months ago.
Good afternoon Thank you for your question. I will do my best to help. I know that CFAs (Conditional Fee Arrangements or Agreements) have changed slightly over the years because of the changes to Solicitor's costs. You need to check your CFA carefully. Traditional no-win-no-fee agreement simply mean, if you do not win then you do not pay your Solicitor's costs. However, some CFAs have conditions so you must read them carefully. I will give you some examples. If you lose because further down the case evidence arose that was detrimental to your your case, you may have to pay a percentage of your Solicitor's costs. The ATE should cover the other parties costs if you lose. Another example, if an offer is made to you that your Solicitor believes is reasonable and you reject it and lose, again you may have to pay a percentage of your Solicitor's costs. So the answer to whether you are liable for any of the £60,000 of your Solicitor's costs depends on the CFA. Do not be afraid to ask them whether you will liable for their costs if you accept the offer, it's better to negotiate their costs before you make a decision. The expression 'drop hands offer' typically refers to both parties walking away from the case, they pay their own costs (their Solicitor's costs and disbursements) and nothing to the other side. Again, it's a good time to ask your Solicitor how much of their costs will you be liable for if you accept the offer. A part 36 offer is made within Court proceedings and deals with the damages/claim amount and sometimes makes an offer on your costs. If there is no mentioning of costs, it may be offered separately. Your Solicitor would have advised on the implications of accepting or rejecting a Part 36 offer (i.e. if you win more than the amount stated in their offer, the Judge may award you your costs in the case). Take a look at the written advice given to you about Part 36 offers. Hopefully, my explanation has distinguished both type of offers. Best of luck and if you need anything clarified further, please do not hesitate to ask, I appear to have typed up a long answer. Kind regards Krystel
Expert:  JustAnswerKM replied 9 months ago.
Krystel

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