PROPOSED NEW DAMAGES BASED AGREEMENT REGULATIONS 2019

Friday 22 November 2019

A recent review was undertaken by Professor Rachael Mulheron of the previous Damage-based Agreement Regulations 2013.

 The new proposals would allow for hybrid agreements, contain certain termination provisions and allow defendants to use DBA’s.  The new proposals are aimed at making DBA’s more workable.

It is likely that the cap would come down from 50% to 40% for commercial cases and 25% to 20% for Personal Injury.

Solicitors who have experienced the pilot have to provide their feedback via a questionnaire by 15^th November.

Maxima believe that hybrid DBA’s will provide more flexibility for Solicitors to risk share independently or in conjunction with Third Party Funders.

However, through Maxima, where there is a hybrid CFA in place, we can provide Insurance backed Solutions to ‘underpin’ the element of the Solicitor’s costs ‘at risk’ should the case fail during the lifetime of the litigation.  Please contact us for further details.

Vanessa Andrews
November 2019