The hardest thing about litigation is deciding to do it.
However, if someone owes you money or has failed to do as they promised under a contract, is it not important to hold them responsible? Is litigation really that costly? And what happens if we lose the case? All potential litigants need to ask themselves these questions. If you are considering litigation, you need to evaluate what it will cost you to litigate and what it will cost you if you don’t.
Litigation is often perceived as more hassle than it’s worth. It can be time consuming, costly and confusing but with the right litigation lawyer leading the way it can be straightforward. By getting informed advice from a good litigation lawyer as well as a comprehensive action plan your litigation can be quickly underway and under control. There are also several funding options to assist you, including insurance cover, third party litigation funding and conditional fee agreement.
So what are the costs?
Usually, the unsuccessful litigating party pays most of the winner’s legal costs. Occasionally, the judge may rule for a reduction, considering the circumstances that emerge throughout the litigation, but the majority of cases end with the loser covering all expenses. The decision needs to be viewed like a business decision. Despite the difficulty of estimating the fees at the beginning of a case, you need to estimate the expected value of an ultimate victory by weighing up the probability of winning and amount that could be gained as a result against the estimated costs involved.
Yes, you need to spend money to make money, but always do the math first.