Understanding how legal costs work and how we help you afford justice
Medical negligence cases are often complex and costly, largely because they require multiple expert reports, detailed calculations of future needs and loss, and long timeframes before finalisation.
At Lanser Sutherland Inc. we are transparent about costs and discuss fee and funding options upfront. This page explains how legal costs generally work in South Africa, what you can expect, and the different ways we can structure fees to make pursuing a meritorious claim more accessible.
How we structure our fees
1) Contingency fee agreements (“no win, no fee”)
In appropriate matters, we may act on a contingency basis in accordance with the Contingency Fees Act 66 of 1997.
What this generally means is that if the case is unsuccessful (as defined in the written agreement), we do not charge our professional fees. If the case is successful (which usually includes settlement or judgment resulting in a recovery), our fee may include a success fee, of double the normal fee, or 25% of the capital amount recovered, whichever is the lesser.
A contingency fee agreement must be in writing and in the prescribed form, must explain key consequences and risks (including cost risks), and includes a 14-day cooling-off period during which you may withdraw in writing.
If a matter settles under a contingency fee agreement, the Act requires additional safeguards (including affidavits confirming that the settlement and fee consequences were properly explained and accepted).
Contingency fee agreements are generally only appropriate where we believe the matter has good prospects and the likely recovery justifies the risk and the necessary disbursements.
2) Hourly rates
We charge an agreed hourly rate for work done. This is common in straightforward or discrete matters and gives you clear visibility over costs.
- We provide regular updates on work performed and costs incurred.
- You receive itemised invoices for work done over the billing period.
3) Hybrid arrangements
In some cases we use a combination of fee structures, for example:
- hourly billing for certain stages of work, and
- a success-based component for later stages (such as settlement or trial).
We will explain what structure is best for your matter and record it clearly in writing.
Disbursements (expert fees and other out-of-pocket costs)
Disbursements are the expenses incurred to investigate and run the case, including:
- expert reports (medical specialists, occupational therapists, industrial psychologists, actuaries etc.)
- court fees and sheriff’s fees
- costs of obtaining medical records
- travel costs for necessary consultations or inspections
In medical negligence matters, expert fees can be significant and are usually incurred during the life of the case, not only at the end.
Who pays disbursements?
Even where legal fees are structured on contingency, disbursements are usually still payable as they arise (unless another arrangement is recorded in writing). The Act requires the contingency agreement to explain how disbursements will be handled.
Common options
- You pay disbursements as the matter progresses.
- A litigation funder pays disbursements (see below).
- In limited cases, we may advance certain disbursements. If we do, the repayment terms and what happens if the case is unsuccessful will be recorded in writing.
Litigation funding: help with upfront costs
In appropriate matters, external litigation funders may assist with the upfront cost of experts and litigation in exchange for an agreed return from the final recovery.
How it typically works
- The funder assesses the merits and likely value of the claim.
- If approved, the funder pays disbursements as the matter progresses.
- If the matter succeeds, the funder recovers its outlay and agreed return from the recovery.
- If the matter fails, the outcome depends on the funding agreement and will be explained before you sign.
When funding is often considered
- high-value claims with substantial expert costs
- clients who cannot fund expert fees upfront
- complex matters that are likely to require multiple experts
What will my case cost to run?
The honest answer is: it depends. Cost drivers include:
- complexity of the medical issues and legal disputes
- number of experts required
- whether the matter settles early or proceeds to trial
- the extent of opposition and interlocutory litigation
- timeframes (medical negligence matters may take several years)
What we do to keep you informed
- provide an early cost discussion once we have enough information to assess the matter
- give stage-based cost guidance (for example: pre-litigation review, pleadings, discovery, experts, trial preparation)
- discuss funding options suited to your circumstances
- keep you updated so that you remain in control of decisions that affect costs
Costs risk: what happens if you lose?
If a claim is unsuccessful, a court may order you to pay the other side’s party-and-party costs (a costs scale reflecting costs considered necessary for litigation). This is a real litigation risk and it is one reason we carefully screen matters and discuss risk candidly before proceeding.
Funding or insurance arrangements may reduce personal exposure, but this depends on the agreement and must be confirmed upfront.
Recovering costs if you win
If your case succeeds, the defendant will typically be ordered (or agree) to pay:
- the damages awarded/settled
- party-and-party costs (on the applicable scale/tariff)
- recoverable disbursements (including expert fees, subject to the rules and reasonableness)
It is important to understand that party-and-party costs do not always cover all legal fees actually incurred, and any shortfall is dealt with in terms of your fee agreement.
In a contingency fee matter, our fee is taken from the recovery subject to the statutory caps and the terms of the written agreement.
Our commitment: transparency and fairness
We believe access to justice should not depend on your bank balance. We are committed to:
- transparent fee structures
- honest assessment of costs and risks
- flexible funding arrangements where appropriate
- regular communication so you are never in the dark about costs or progress
If cost is a concern, tell us. We will explore appropriate options, including contingency fees, litigation funding, or phased approaches where possible.
Questions you should feel free to ask us about costs
- What is the likely cost range at each stage?
- What fee structures are available for my matter?
- Can my matter be run on contingency, and what would the statutory caps mean in practice?
- What disbursements are likely, and when will they arise?
- What is my risk if the matter is unsuccessful?
- What might I realistically receive after fees, disbursements and funding arrangements are accounted for?
These are not awkward questions. They are essential questions, and we welcome them.
Lanser Sutherland Inc.
Experience. Compassion. Results.
If you would like to discuss costs and funding options for a potential claim, contact us for an initial consultation.