NP Litigation is open in terms of its fee arrangements, but the specific arrangement must make sense for both the firm and the client. We operate predominantly with standard hourly rates and where required we also provide estimates for the phases in the litigation, capped fees, and fixed-fee structures. We also selectively enter into Alternative Fee Arrangements (AFAs), including performance-based, contingency fee and hybrid contingency fee agreements.
In an effort to be transparent and candid with you the reader, commercial disputes lack the automated insurance payouts found in personal injury law. As a result, business-to-business contingency files require a strict risk sharing partnership. To protect our firm’s limited operational resources and maintain a premium standard of advocacy, we do not accept speculative files or low-value contract complaints on a contingency basis.
We restrict contingency retention exclusively to files that meet three pillars of eligibility:
1. High Financial Value and Scope
We do not offer contingency or risk sharing models for small claims or minor billing disputes. The economic reality of commercial litigation requires that the minimum financial value in dispute must justify a multi year legal investment. We strictly review the quantifiable damages, lost profits, or asset values of a file during our mandatory merit assessment phase to ensure the scope warrants an alternative arrangement.
2. Clear, Verifiable Ability to Collect (Defendant Solvency)
A successful court judgment or arbitration award is entirely useless if the opposing party is insolvent, bankrupt, shell-company structured, or judgment-proof. NP Litigation will only consider a contingency retainer if there is clear, verifiable evidence that the defendant possesses the liquid assets, corporate capital, unencumbered real estate, or commercial insurance required to satisfy a full financial judgment.
3. Substantive Merit
We do not accept “long shot” cases on contingency. The factual and evidentiary foundation of the breach of contract, shareholder oppression, or corporate dispute must be robust. Our firm must be satisfied that liability is clear and that the documentary evidence supports a high probability of trial success or a highly favorable mediated settlement
Our Process: Mandatory Paid Merit Evaluation
To ensure a file meets these strict thresholds, we charge a formal, upfront fee to assess the legal and financial merits of the case. During this assessment, we review your documentation, evaluate legal liability, and conduct preliminary asset verification on the defendant.
If the file passes this strict screening phase, we will determine which structure best aligns with the case profile:
- Full Contingency Fee Arrangement: Reserved exclusively for exceptional, high-impact cases. In accordance with Law Society of Ontario we are publishing that our standard commercial contingency fee percentage is 33% of the ultimate recovery.
- Hybrid Contingency Fee Arrangement: For matters that require substantial upfront resources but possess strong merits, we may structure a hybrid model. This combines a significantly reduced hourly rate or fixed retainer to cover ongoing operational costs, paired with a lower, customized contingency percentage upon successful recovery.
Full particulars of the engagement layout, including the treatment of disbursements and applicable taxes (HST), are provided and agreed upon transparently prior to executing any formal retainer agreement. We also provide you with the Law Society of Ontario’s document titled “Contingency Fees: What you need to know” consumer guide before entering into any contingency fee agreement.
Note: In accordance with Law Society of Ontario we are advising that our standard commercial contingency fee percentage is 33% of the ultimate recovery. Full particulars of the engagement layout, including the treatment of disbursements and applicable taxes (HST), are provided and agreed upon transparently prior to executing any formal retainer agreement.