No-win, no-fee claims are filed after a victim has been unjustly injured as a result of someone else’s actions, usually negligence, and in some cases even malicious intent. These claims, which are becoming the norm in the US, are characterized by the fact that legal expenses are paid by the other side’s insurance provider, even when the claim denied. It is a complex, societal issue. Today we will examine some of the pros and cons of this policy.
Pro: It’s only right for the victim. This is the argument that carried the day. Congress was full of testimonies from victims who have been involved in a personal injury case which was not their fault. Few of them were able to get appropriate representation in court. Today, a victim can hire the best personal injury attorney around and know they will not pay a dime even if the case is thrown out. We are one of the few countries in the world that provides this level of protection for our citizens.
Con: The conditional fee system has turned America into a more litigious society. The courts are full of absurd claims, such as cases where people sue restaurants over failing to tell them their “hot coffee” will be hot. People abuse the privilege this law affords through self-serving efforts to “just get money.” This creates a lot of extra work for the courts, which in turn reflects a greater tax burden for the rest of us.
Pro: No-win, no-fee claims have allowed the economically marginalized to seek justice. Prior to the adoption of these laws, often it was only the rich that would get justice in personal injury cases. Disenfranchised neighborhoods were full of car accidents, food poisoning, and medical malpractice– All without representation or justice. Today, regardless of your income or walk-of-life, you can find solace in the legal system.
Con: No-win, no-fee is one of the culprits behind the health care crisis. It has been cited by multiple Congressional panels as such; Abuse of no-fee, no-win has resulted in a wave of frivolous lawsuits against hospitals and doctors. It is estimated now that only 1/3 of medical malpractice suits are legitimate. This ratio has driven insurance costs for healthcare providers through the roof, and they passed all this cost down to you and us.
Pro: Victims of injuries have shown better treatment outcomes than in the past. Before, a victim could only hope to get highly-limited compensation for medical bills between the time of the accident and the time of the claim resolution; Usually about 3 months. Nowadays, brilliant lawyers, along with help from the medical profession, have created models for long-care treatment prospects; Dealing with chiropractor bills, chronic issues, and psychological stress years, if not decades, down the line. These models adjust the claim amount so victims are taken care of for the rest of their life.
Now try – Work Accident Compensation