Lord Young has today released his much anticipated review on health and safety red tape, the compensation culture and the issues associated with the no win no fee industry.
Lord Young’s review titled “Common Sense Common Safety” aims to protect society as a whole but cut through the red tape that often stifles businesses.
One of the most anticipated elements to the review is the long awaited shake up of the personal injury “compensation culture” and in particular how the No Win No Fee industry conducts itself.
Already causing a stir with one lawyer posting his thoughts to Lord Young via Facebook and claims management companies up in arms claiming that “advertising no win no fee services is an essential part of the justice system in England and Wales; outlawing television advertisements on the subject merely the public’s access to justice.”
In his report Lord Young of Graffham identifies and addresses the key issues impacting on society as a result of the no win no fee industry he says that “the introduction of Conditional Fee Agreements (CFA’s) the growth of After The Event (ATE) insurance and the proliferation of Claims Management Companies. The shift towards increased litigation can be seen to have its routes in these changes.”
The recommendations made by Lord young include;
Introduce a simplified claims procedure for personal injury claims similar to that of road traffic accidents under £10,000 on a fixed costs basis. Explore the possibility of extending the framework of such a scheme to cover low value medical negligence claims.
Examine the option of extending the upper limit for road traffic accident personal injury claims to £25,000
Introduce the recommendations in the Lord Justice Jackson Report including ceasing the recoverability of ATE premiums and paying success fee out of damages awarded.
Restricting the operation of referral agencies and personal injury lawyers and control the volume and type of advertising.
Clarify (through legislation if necessary) that people will not be held liable for any consequences due to well-intentioned voluntary acts on their part.
To read the full report go to http://www.number10.gov.uk/wp-content/uploads/402906_CommonSense_acc.pdf
itsmyclaim.com is the only online consumer claims service allowing claimants to make a claim for compensation in an expedient and transparent manner to the benefit of both parties. Without the need to instruct a solicitor or claims management company, sign up to a conditional fee agreement or take out an after the event insurance policy.