Referral fees – the truth

The truth about referral fees

This page is only of historical interest now, as referral fees cannot now be paid by solicitors for personal injury cases since 1 April 2013.

There are so many headlines and so few facts about referral fees in personal injury compensation cases.

Payment of fees and commissions for the introduction of business have always been a fact of business life in general. A referral fee is a payment for the introduction of a client.

Referral fees really took off in the personal injury field after legal aid was replaced by conditional fee agreements, or no win no fee as they are called. To “compensate” for removing legal aid solicitors were allowed to charge a success fee to reflect the risk they ran of not being paid if the case lost. Continue reading “Referral fees – the truth”