Conditional fee agreements—success fees
Conditional fee agreements—success fees

The following Dispute Resolution practice note provides comprehensive and up to date legal information covering:

  • Conditional fee agreements—success fees
  • What are success fees?
  • What is the meaning of 'success' in a CFA?
  • Success defined by reference to the remedy
  • Success defined by reference to the claim itself
  • Requirements to be satisfied if including a success fee in a CFA
  • What is an appropriate success fee percentage?
  • Staged success fees
  • Appeals against decisions in respect of success fee percentages
  • Success fee is payable by the party to the CFA
  • More...

This Practice Note considers success fees, a form of fee, which may be payable as a consequence of a successful claim where that claim has been funded by the use of a conditional fee agreements (CFA).

This Practice Note considers what is meant by the term success fee and whether such fees are recoverable. It considers what constitutes a 'success' to trigger payment of the success fee as well as requirements to be satisfied if including a success fee in a CFA, what is an appropriate success fee percentage, appeals against decisions in respect of success fee percentages and whether the success fee under the funding agreement is payable by the other side as costs as well as the transitional arrangements or exceptions which apply post 1 April 2013 under the Legal Aid, Sentencing and Punishment of Offenders Act 2012 (LASPO 2012).

For further guidance on dealing with CFAs, see Practice Notes:

  1. Conditional fee agreements—definition and requirements

  2. Types of conditional fee agreements

  3. Conditional fee agreements—switching from legal aid to CFA

  4. Conditional fee agreements—assignment of a CFA

What are success fees?

A CFA is an agreement between a client and solicitor which provides that the solicitors' costs will only be payable if the client is successful. Generally, any disbursements will be payable in any event. In other words, if the client’s claim is not successful, as measured

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