Clients of Stricken Law Firm Facing Huge Legal Bills Despite No-Win, No-Fee Assurances, BBC Investigation Reveals
Law firm clients facing huge legal bills after compensation claims collapse
Hundreds of clients of a stricken law firm are facing massive legal bills after their compensation claims collapsed, despite being promised a no-win, no-fee arrangement. SSB Law, which recently went into administration, has left more than 1,400 people potentially affected by the sudden demands for costs, some as high as £40,000.
One such client, Yusuf Patel, a civil engineer from Blackburn, signed up with SSB Law in 2020 after being assured that he would not be liable for any costs if his case was unsuccessful. However, after his case was dismissed in court, he received a bill for £27,495, which he has no means of paying. The situation has left him feeling “broken” and unsure of how to deal with the financial burden.
Other clients, such as Sean Wilkes and Qurrah Ahmed, have elderly parents who have also received demands for thousands of pounds in fees. Wilkes’s 77-year-old mother, who is on pension credit and has no savings, has been told she needs to repay £18,000 after her claim failed.
The Solicitors Regulation Authority is currently investigating the matter, and administrators FRP Advisory have transferred the cases to new solicitors who will advise on any adverse cost claims. Solicitor Erich Kurtz from law firm Hugh James estimates that there could be more than 1,400 people affected by the collapse of SSB Law, with many facing shockingly high legal bills.
Insurance companies such as QBE and Royal and Sun Alliance, who are trying to recover fees from the clients, have emphasized the importance of holding the solicitors involved accountable for encouraging unsubstantiated claims. The situation has caused immense distress for the clients and their families, with many feeling overwhelmed by the sudden financial burden.
The clients affected by the collapse of SSB Law are urged to seek legal advice and engage with insurers to try to reduce the costs. The Solicitors Regulation Authority is investigating the concerns raised by the clients and is working to find out what went wrong with their claims. The situation serves as a cautionary tale for those considering pursuing compensation claims on a no-win, no-fee basis.
