01.06.05: Results of consultation and agreement on the subject of success fees applicable in employers liability disease claims

(Civil Justice Council decision)

Success fees have previously been fixed in RTA cases and in employers liability cases. The latter category applied to non-disease cases as some consultation on this area was required. Consultation has now taken place and the following is a summary of the resulting agreement:

 

1. 27.5% success fees in claims arising from asbestos-related diseases (30% if the claim falls under s.30 of the Access to Justice Act - see CPR Part 45.21(a) for equivalent provision);
2. 62.5% success fees in claims arising from deafness, VWF and other diseases (see full list in attached file) except RSI and stress claims (70% for s.30 claims);
3. 100% success fee in claims arising from stress and RSI;
4. Counsel’s success fees should follow the basic same structure/rules as for RTA and EL accidents success fees (Part 45.17) with the following success fees:

   Fast track

   • 14 day or less before trial – 50% for asbestos claims, 62.5% for deafness (etc claims) and 100% for RSI and stress claims.
   • The applicable success fee that applies to solicitors for claims that conclude more than 14 days before trial.

   Multi track

   • 21 days before trial – 75% for asbestos and deafness etc category claims and 100% for RSI and stress claims.
   • The applicable success fee that applies to solicitors for claims that conclude more than 21 days before trial.
   
   
5. Parties can seek to “escape” the fixed success fee provisions and seek an alternative success fee if claim is greater than £250,000 (see Part 45.18(2) for equivalent provisions). (to be defined). The ranges for the assessment of the alternative % increase (as provided for in 45.19 and 45.22 for RTA and EL(A) respectively) is to be determined; and
6. The need for an exceptionality clause and its precise wording with regard to test case litigation will be discussed by representatives of the claimants and insurers under the auspices of the Civil Justice Council over the next few months. The outcome of this will be submitted to the Rule Committee in the autumn. The main part of the agreement detailed here would come into force in October with the remaining exceptionality provision, if appropriate, implemented in April 2006.

 

The Civil Justice Council is an advisory non-departmental public body established under the Civil Procedure Act 1997 and is chaired by the Master of the Rolls, Lord Phillips. The CJC is required to: keep the civil justice system under review; consider how to make the civil justice system more accessible, fair and efficient; advise the Lord Chancellor and the judiciary on the development of the civil justice system; refer proposals for changes in the civil justice system to the Lord Chancellor and the Civil Procedure Rule Committee, and make proposals for research. Its membership includes senior judges, lawyers, consumer and commercial representatives, legal advisers and academics.

 

The Civil Procedure Rule Committee is an advisory Non-Departmental Public Body. It was created by virtue of section 2 of the Civil Procedure Act 1997 to make rules of court for the Civil Division of the Court of Appeal, the High Court and the County Courts.