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A culture of compensation

Since their introduction Conditional Fee Agreements have generated considerable controversy, with many people claiming they have created a “Compensation Culture” where people will sue for even very minor accidents.

However the figures for total claims have remained relatively stable at around 700,000 claims per year. In fact, nearly all of the increase in the annual rate of compensation claims took place in the 1980’s and early 1990’s, when claims rose from a rate of around 250,000 per year.

A 2006 report on the Compensation Culture by the Government found that there was no evidence that No-Win No-Fee claims had made more people seek compensation.

Updated on 5/30/2008

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