Client Care and Costs Flashcards
You have just received a complaint from a client and, after going through the firm’s complaints procedure, the client is still dissatisfied. The client takes the matter to the Legal Ombudsman.
What can Legal Ombudsman do?
Legal Ombudsman can make a determination one one or more:
* direct solicitor’s firm to reduce/repay fees
* direct solicitor to rectify a mistake at the firm’s expense
* direct solicitor’s firm to pay compensation to the client
* direct solcitor to apologise to the client
Does solicitor need to provide clients with a written quotation of the overall likely costs of the matter at the outset?
Yes, client must be provided with a written quotation of the overlall likely costs.
You must ensure that clients are in a position to make informed decisions about the services they need, how their matter will be handled and the options available to them (para 8.6 of the Code of Conduct) and clients must receive the best possible information about how their matter will be priced, and, both at the time of engagement and when appropriate as their matter progresses, about the likely overall cost of the matter and any costs incurred (para 8.7 of the Code of Conduct).
Anita is a financial adviser. You and she have agreed that:
you will pay Anita a commission equal to 2.5% of the fee charged to any client she introduces to you; and
Anita will pay you 2.5% of any fees charged or commission she earns in relation to clients you introduce to her.
Can you receive payments in respect of clients you refer to anita?
Yes. You can receive payment for referring clients to Anita provided that this does not place you in breach of the Principles 5,3,7, eg cuz your independence is compromised.
The key SRA Principles here are acting with integrity (Principle 5), independence (Principle 3) and in the best interests of each client (Principle 7)
Can you enter into agreement for referals?
YES, you can enter into an agreement to pay A for referrals, but:
* clients must be informed of the fee sharing arrangement
* agreement must be in writing.
* you must ensure that clients are informed of any such financial benefit and ‘properly account’ for it to the clients.
* you cannot make (or receive) payments in respect of clients who are the subject of criminal proceedings**
What are the requirements regaridng publicity in relation to solicitor’s charges?
It must be accurate and not misleading
