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11th July 2024
'No-win, no-fee' solicitors: know the facts
If you're being targeted by 'no-win, no-fee' disrepair agents or solicitors, it's important that you know the facts.
We are aware that some residents are being approached by independent solicitors who are increasingly enticing customers through promises of 'no-win, no-fee' compensation claims.
Whilst ‘no-win no-fee’ solicitors can appear a good option, it’s not always as straight forward as it may seem. The promise of 'free' money in the form of compensation can be misleading, and we urge you to treat this with caution.
‘No-win, no-fee’ agents and solicitors use extensive marketing activities, such as leafleting, telephone calls, online advertising, and door-knocking to persuade people to make a claim. Often these companies are based hundreds of miles away and operate as high-volume case-processing centres.
New legislation which is designed to give tenants more rights to challenge their landlords when repairs are ignored is a good thing, and we welcome and support this.
But unfortunately, many companies have set themselves up to exploit this legislation for their own gain.
We acknowledge that, in exceptional circumstances of extreme and unnecessarily prolonged disrepair, there may be a reasonable claim to compensation. These rare every rare cases, and we encourage you to speak directly to us as your landlord before committing to a ‘no-win, no-fee’ agent or solicitor.
Why?
‘No-win, no-fee’ claims can be a very lengthy and stressful process.
The claim involves you in a legal case against your landlord which may require you to attend court.
It is important to understand that you could be liable for costs should you decide not to pursue the claim or fail to comply with your no-win no-fee contractual obligations. For example, any attempts to stop the claim, may breach the terms of your ‘no-win, no fee’ contract, and you may receive a large legal bill from the claims company as a result.
In most cases, if successful, ‘no-win, no-fee’ solicitors’ gain a significant percentage of your claim, and apply huge fees to the social landlord, with minimal compensation for the tenant. This is essentially money that we invest in new kitchens, bathrooms, windows, boilers, and repair services, going into the pockets of claims companies.
What to do if you are contacted by a ‘no-win, no-fee’ disrepair agent or solicitor
In the first instance, please contact us directly at customersandcommunities@karibu.org.uk or call us on 0207 607 7777.
We will discuss your situation, and we will work with you to reach a fair and equitable solution. This includes a timetable for fixing any issues around outstanding repairs and damp and mould cases. In almost all cases, the outcome in dealing directly with us will be quicker and easier.
Please note that this does not affect your statutory rights nor compromise your tenancy agreement with Karibu Community Homes in any way. At all times, we will act in confidence and with respect.
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