Seddons launches campaign to ensure clients beat litigation funding reform deadline
30th November 2012
Are you expecting to have to litigate in the near future, and looking to insure against the potential liability to pay your opponent’s costs? If you don’t put such insurance in place within the next 4 months you will not be able to recover the premium from your opponent if you win.
Typically premiums for this type of policy are around 30% of the value of cover sought. At present this cost can typically be deferred to the conclusion of a Claim, and recouped from the losing party, but this will not be the case for policies taken out after this date, and as such this will represent a significant increase both in the up front and overall costs of litigation. In light of this, Seddons has embarked on a campaign to notify its clients and business contacts of the need to act promptly in order to take advantage of this window before it closes for good when the Legal Aid, Sentencing and Punishment of Offenders Act comes into force on 1st April 2013.
Seddons currently offer an extremely attractive insurance product (operated through Elite Insurance Company Ltd, from whom Seddons has full delegated authority) whereby if the policy is taken out and the claim is unsuccessful, the premium itself is insured, as are the client’s own disbursements (including counsel’s and expert’s fees) and the costs of the other side. The premium is also deferred to the conclusion of the litigation, meaning the claimant pays nothing upfront, and only pays if he wins (in which case he can recover the premium from his opponent).
If you have a claim which might benefit from this cover then it is important that you act now. Provided that the cover is taken out before 1 April 2013 the premium will continue to be fully recoverable.
Call or e-mail Marvin Simons, Head of Litigation at Seddons, for a confidential, no obligation appraisal of your situation and whether you need to act now to mitigate your litigation costs.
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