Gloucestershire County Council – v – Evans & Ors  EWCA Civ 21
This was a case where the CFA claimed basic charges at a rate of £145/hour but should the claim be unsuccessful, the rate was to be discounted to £95/hour. The success fee claimed was 100% of the basic charges (£145/hour). The Court of Appeal dismissed the appeal, therefore endorsing the use of discounted CFA’s which, if a claim was successful, allowed for basic charges with a success fee but a discounted hourly rate if the claim was unsuccessful.
This is good news for solicitors as this type of discounted CFA can be entered into when BTE Insurers are adamant on the use of low hourly rates by solicitors when conducting cases. Therefore if a case is unsuccessful, the basic charges (normal hourly rates) are discounted to the rates which are to be paid by the BTE Insurer.