The ACT is to have a no-win, no-fee system soon, the president of the Law Society, Robert Clynes, said yesterday.
The system would enable people who otherwise could not afford it to pursue a legal action.
Mr Clynes said the society had agreed to the system. It did not require legislation, just a change to the profession’s rules of conduct. It would not apply to criminal or family law.
The system would enable lawyers to charge an amount on top of the normal fee if the client won the case, he said. This was for taking the risk of a loss, in which case the lawyer would not get paid, and in lieu of interest.
This is called an uplift fee. Present rules prevent the charging of an uplift fee.
Mr Clynes’s statement comes after a Melbourne firm, Slater and Gordon, announced it was taking cases on a no-win, no-fee basis. However, it would not be able to charge an uplift fee.
Mr Clynes said the ACT would permit an uplift fee of up to 100 per cent of the scale fee set by the court. It would not be the American system of the lawyer taking a percentage of the winnings.
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