Pay If You Win: Conditional Fee Agreement (CFA)

Under a CFA, you only pay legal fees if your claim is successful. If you win, fees include:

• Success Fee: 25% of the settlement amount, including VAT.
• Basic charges, expenses, and disbursements (e.g., surveyor reports, court fees, and barrister fees).

If your claim is unsuccessful, you will not pay legal fees, but you may need to cover certain expenses and disbursements unless insured.

Costs

If your claim is settled without litigation on terms that justify bringing the claim, your landlord will be responsible for paying the Tenant’s reasonable legal costs.

For defended claims, the Tenant must demonstrate that:

1. There were issues of disrepair that were the landlord’s
2. These disrepair issues required repair work to be carried
3. The Tenant took reasonable steps before issuing the claim, including:
   • Requesting the landlord to address the
   • Making the premises available for inspection or repair
   • Allowing the landlord a reasonable amount of time to complete the necessary

If the landlord failed to address the issues despite these efforts, pursuing the matter in Court would be considered justified.

Legal Expense Insurance 

You may already have an LEI through your existing insurance policies (e.g., motor or home insurance) or memberships with certain organizations. LEI provides legal protection and covers costs for bringing or defending claims, particularly Personal Injury claims arising from road traffic accidents, workplace accidents, or other types of injury claims.

 Before-the-Event (BTE) Insurance vs After-the-Event (ATE) Insurance: What You Need to Know

When facing legal proceedings, understanding your insurance options is crucial. Two types of legal expenses insurance may come into play: Before-the-Event (BTE) and After-the-Event (ATE) insurance. Each serves a different purpose and can significantly affect how legal costs are managed in certain civil litigation matters and different types of injury claims.

Before-the-Event Insurance (BTE)

BTE insurance is purchased in advance, often as part of a broader insurance policy such as home, car, or business insurance. It is designed to cover legal costs and expenses if a dispute arises in the future.

Key features:

• Bought before any legal issue has arisen.
• Often included as an add-on to existing insurance policies.
• Can cover both legal advice and legal representation.
• Typically helps with defending or pursuing certain types of claims (e.g. personal injury claims and other civil litigation matters.

Implications:

• You may already have BTE insurance coverage and not realize it.
• Using BTE can significantly reduce or eliminate your upfront legal costs; however, it may be the subject of further approval from the BTE insurance provider on whether they will validate the policy.
• There may be limitations on the types of cases covered or your choice of solicitor.

After-the-Event Insurance (ATE)

ATE insurance is purchased after a legal dispute has arisen, usually once your solicitor believes your case has good prospects of success.

Key features:

• Covers legal costs if your case is unsuccessful.
• Often used in “no win, no fee” arrangements, which are funded through Conditional Fee Agreements, i.e., Personal Injury claims and other civil claims such as Housing Disrepair claims. We may discuss in detail whether it would be viable to obtain a policy in your given legal matter based on key factors, such as a high prospect of success and/or the claims being of low value. You may have the benefit of which we will discuss in detail, as it might not be viable to obtain a policy in certain matters due to the high prospect of success and the claims being of low value.
• You may have the benefit of QOCS (Qualified One-Way Costs Shifting) in claims with a Personal Injury element, which protects you from any adverse legal costs except in a fundamentally dishonest claim, or may offer partial protection in claims involving credit/hire aspect.
• Typically covers opponent’s legal fees and disbursements (e.g., court fees, expert reports).

Implications:

• Offers peace of mind, as you won’t have to pay legal costs if your claim fails.
• Premiums can be high and are usually deferred and contingent on success (i.e., paid only if you win).
• If successful, the premium may be deducted from your compensation.

Which One Is Right for You?

• If you’re proactively seeking coverage for potential future disputes, BTE insurance may be suitable.
• If you’re already involved in a dispute or about to take legal action, ATE insurance may be the better fit.

Before proceeding with any legal matter, it’s important to discuss your options with a qualified solicitor who can advise you on whether BTE or ATE insurance applies to your situation, so you can decide on whether to obtain the legal cover through an ATE Insurance Policy.

When We Cannot Accept Your Claim Under CFA

If your claim has a low likelihood of success, we may be unable to handle it on a No Win, No Fee basis. In such cases, we will advise you on alternative funding arrangements.

Contact Us

If you have a housing disrepair dispute or need further information, contact AQ Archers for a free initial consultation:
Call: 020 7791 3223
Email: info@aqarchers.co.uk

Our experienced team is ready to assist you with your housing disrepair claims and ensure your case is handled professionally and efficiently.