Contingency fee

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A contingency fee arrangement is one in which a claimant's legal advisors receive payment in proportion to the amount of money recovered from the defendent. Such arrangements have historically been considered Champerty, and therefore unlawful, but more recently the acceptance of Conditional fee arrangements have weakened this argument. However, it remains the case that while 'Contingent fee' arrangements -- where standard fees are charged in the event of success -- may be lawful, contingency fees strictly defined are probably not.





UK LAW