October 1, 2004
Regulated Contingency Fees Protect Consumers And Make Legal Services More Accessible TORONTO, Oct. 1 /CNW/ - Today's proclamation of the amended Solicitors Act means improved access to legal services for Ontarians who hire lawyers on a contingency fee basis, Attorney General Michael Bryant announced. "Consumers will be better informed when entering into contingency fee agreements, and their interests will be protected through safeguards in the new regulation," said Bryant. "This will especially help lower-and-middle income people." Contingency fee agreements allow a client to pay legal fees only in the event of success. If the case is successful, the client will be charged an agreed upon amount, usually a percentage of the amount recovered. If the case is unsuccessful, the client pays no legal fees. The new regulatory protections: - Require all contingency fee agreements to be made in writing - prohibit contingency fees in criminal, quasi-criminal and family law matters - prohibit a lawyer from getting paid more than the client recovers - set out specific protections for minors and incapable adults. "The Law Society commends the Attorney General for recognizing the importance of contingency fees in promoting greater access to legal services and taking the initiative to make it a reality," said Law Society Treasurer Frank Marrocco, Q.C. "Contingency fee arrangements benefit consumers, particularly those with limited incomes, by offering the public another option for paying fair and reasonable legal fees." "We are providing real, positive change that will enhance access to justice and build stronger communities by regulating contingency fees," said Bryant. "This will help break down the cost barrier for many people." Source