Trial with "no win, no fee" for lawyers
1 June 2007, THE HAGUE – Lawyers will soon be able to introduce a version of the "no cure, no pay" system on a trial basis.
1 June 2007
THE HAGUE – Lawyers will soon be able to introduce a version of the "no cure, no pay" system on a trial basis.
Justice Minister Ernst Hirsch Ballin is working on an experiment in which clients will only have to pay an hourly rate to their lawyer if they win the case. This system has been dubbed "no win, no fee".
Hirsch Ballin is currently in talks with the Bar Association about introducing this system on a trial basis. The details will be worked out in the coming months, the minister told Parliament on Thursday.
A majority in Parliament of Christian democrat CDA, Labour PvdA and Liberal VVD supports the plan. Left-wing opposition parties Socialist SP and green-left GroenLinks are critical. They fear that lawyers will be too eager to seek out only promising cases.
In a "no win, no fee" system clients and lawyers agree on an hourly fee in advance and lawyers keep a record of the number of hours spent on a case. If the case is won, he can bill the client. If the case is lost, he receives no payment.
In a "no cure, no pay" system a lawyer does not charge a fixed rate, but shares in the damages awarded his client. The cabinet is opposed to this kind of performance-based reward.
[Copyright Expatica News + ANP 2007]
Subject: Dutch news