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Litigation Letter

Success fee reduced

C v W [2008] EWCA Civ 1459; NLJ 16 January p73

The claimant was an innocent passenger in a car driven by the defendant who was insured and who admitted liability for the accident in which the claimant was injured. After liability had been admitted the claimant entered into a conditional fee agreement, which provided for a single success fee of 98%, 15% of which was attributed to the cost of funding. The CFA contained a provision that no fees would be payable if a Part 36 offer was made, but was rejected on advice and the damages were equal to or less than the amount offered. On a detailed assessment, the district judge reduced the success fee to 70%, and, on appeal, the circuit judge further reduced it to 50%.

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