Ethics and Professional Conduct

Question 1

What are the 7 SRA principles

Answer 1

1. RoL and proper administration of justice
2. public trust and confidence in the solicitors’ profession
3. independence
4. honesty
5. integrity
6. encourages EDI
7. best interests of each client

Question 2

If 2 SRA principles conflict, which ones take precedence

Answer 2

Those which safeguard the public interest over the interests of an individual client

Question 3

Principles: difference between honesty and integrity

Answer 3

Integrity is wider than dishonesty so you can lack integrity without being dishonest

Question 4

Examples of breaching principle 5 integrity

Answer 4

Wilful/reckless disregard of standards/rules/requirements/obligations/ethics
Taking unfair advantage of clients/3rd parties
Knowingly/recklessly causing harm/distress
Misleading clients/3rd parties

Question 5

6. Conflict requirements

Answer 5

6.1 Dont act if there is an own interest conflict or a significant risk of such a conflict.
6.2 You do not act in relation to a matter or particular aspect of it if you have aconflict of interest or a significant risk of such a conflict in relation to that matter or aspect of it (current clients) UNLESS conditions satisfied

Question 6

6: exceptions for own conflict?

Answer 6

none

Question 7

6. Conflict: conditions to satisfy 6.2

Answer 7

a. clients have substantially common interest
b. clients are competing for the same objective, (aka. Commercial except(ion)
AND
1. clients have given informed consent in writing
2. where appropriate, put in place effective safeguards to protect confidential info
3. AND you are satisfied it is reasonable for you to act for all clients

Question 8

6: confidentiality requirements

Answer 8

6.3 keep affairs of current/former clients confidential unless disclosure is required or permitted by law or the client consents.

Question 9

6: examples of when disclosure of confidential information is permitted by law

Answer 9

1. Statutory requirement (eg. to HMRC)
2. statutory duty (eg. Proceeds of Crime act/MLATR 2017)
3. court order
4. acting for client under power of attorney/as court appointed deputy
5. in compliance with notice served by the LeO under s147 re facilitating investigation of complaint

Question 10

6: in SRA guidance, when may disclosure be justified even if its a breach of confidentiality

Answer 10

1. Clients indicated intention to commit suicide/serious self harm (ask client first then disclose to relevant authorities if they don’t consent)
2. Preventing harm to children/vulnerable adults
3. Preventing commission of a criminal offence

Question 11

6: disclosure requirements

Answer 11

6.4make client aware of all information material to the matter of which you have knowledge (with exceptions

Question 12

6: adverse interests requirements

Answer 12

6.5 Dont act for a client where they have an interest adverse to the interest of another current or former client of you or your business or employer, for whom you or your business or employer holds confidential information which is material to that matter (exceptions)

Question 13

6: when can you act for a client who has adverse interests under 6.5?

Answer 13

a. effective measures have been taken which result in the being no real risk of disclosure of the confidential information

b. current or former client whose information you or your business or employer holds has given informed consent, given or evidenced in writing to you acting, including to any measures taken to protect information.

Question 14

What can a firm do if a client refuses to pay

Answer 14

May exercise a lien over the clients property until the outstanding fees are paid

Question 15

6: when DONT you have to make a client aware of all info you have knowledge of?

Answer 15

1. Disclosure prohibited by legal restrictions imposed in interests of national security/prevention of crime
2. Client gives informed consent in writing
3. Reason to believe that serious physical or men injury will be caused to client/another if info is disclosed
4. info contained in a privileged document, mistakenly disclosed.

Question 16

Under the Code what are the requirements under 1: : Maintaining trust and acting fairly

Answer 16

1. Dont unfairly discriminate by allowing your personal views to affect your professional relationships
2. Dont abuse your position by taking unfair advantage of clients
3. Perform all undertakings within an agreed/reasonable time
4. Dont mislead/ attempt to mislead clients
5. Treat colleagues fairly and with respect.

Question 17

Code para 2: what are the requirements re evidence?

Answer 17

1. Dont misuse/tamper
2. Dont seek to influence the substance of evidence

Question 18

Code para 2: what are the requirements re witnesses?

Answer 18

Dont offer to provide any benefit to witnesses dependent upon the nature of their evidence

Question 19

Code para 2: what are the requirements re the court?

Answer 19

1. only make assertions that are properly arguable
2. dont place yourself in contempt of court
3. Dont waste the court’s time
4. Draw courts attention to law/procedural irregularities of which you are aware, and which are likely to have a material effect on the outcome of the proceedings

Question 20

Para 3: Requirements re taking instructions

Answer 20

Only on instructions from the client ,OR someone properly authorised to provide instructions on their behalf

Question 21

What should be done if a solicitor suspects instructions are given under duress/undue influence?

Answer 21

Dont act unless satisfied instructions reflect clients wishes
Eg. arrange to interview client alone

Question 22

Para 3: requirements re service to clients

Answer 22

1. Ensure service is competent and delivered in a timely manner
2. maintain competence to carry out role and keep professional knowledge and skills up to date.
3. consider and take account of client’s attributes, needs and circumstances.

Question 23

Para 3: requirements when you supervise or manage others providing legal services?

Answer 23

1. remain accountable for the work carried out through them
2. effectively supervise work being done for clients

Question 24

Para 4: rules re client money?

Answer 24

1. properly account to clients for financial benefit received as a result of their instructions, unless agreed otherwise.
2. safeguard money and assets entrusted to you by clients and others
3. Don’t personally hold client money unless authorised

Question 25

Para 5: In regards to referral of client/3rd party who introduces business to yournd you share fees, what should you ensure?

Answer 25

1. clients informed of financial/other interest which you/your business/employer has in referring client or which an introducer has in referring the client to you 2. informed of any fee sharing arrangement 3. fee sharing agreement is in writing 4. NO referral/payments for criminal 5. only refer/recommend client/share clients business where client gives informed consent

Question 26

Para 8: requirements re client identification

Answer 26

You identify who you are acting for in relation to any matter.

Question 27

Para 8: requirements re complaints handling

Answer 27

1. Est/maintain/participate in procedure for handling complaints 2. ensure clients informed in writing at time of engagement of: right to complain how to complain right/how/when to complain to Legal Ombudsman 3. if client complaint not resolved in 8w, inform them how to complain to Legal Ombudsman 4. ensure that complaints are dealt with promptly, fairly, and free of charge.

Question 28

Para 8: how should you give clients information?

Answer 28

in a way they can understand

Question 29

Para 8: what information should you give clients re costs?

Answer 29

Ensure that clients 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 overall cost and any costs incurred

Question 30

what does the SRA glossary define 'costs' as?

Answer 30

Solicitors fees and disbursements

Question 31

What should be done if its impossible to give client a precise figure as to costs

Answer 31

Reasonable estimate or at least a range (eg. time +hourly rate) If not: Ceiling figure which cant exceed without clients permission Review date when parties will revisit costs

Question 32

Why must VAT be expressly states in info on costs

Answer 32

Bc if its not, the cost will be deemed inclusive of VAT (+firm looses out)

Question 33

What extra info on costs must be given for litigation?

Answer 33

1. Risk of paying someone else's legal fees (if loose OR loosing party unable to meet costs bill) 2. May still be liable for own solicitors costs (bc court assess costs OR fixed recoverable costs)

Question 34

Para 8: requirements re publicity

Answer 34

1. ensure that any publicity in relation to your practice is accurate and not misleading 2. Dont make unsolicited approaches to members of the public, with the exception of current or former clients , in order to advertise legal services

Question 35

Para 8: requirements re regulation

Answer 35

1. You ensure clients understand whether and how the services you provide are regulated. 2. ensure clients understand the regulatory protections available to them.

Question 36

On the death of a client, who does confidentiality pass to?

Answer 36

PRs

Question 37

Can a solicitor accept a gift from a client?

Answer 37

If is a substantial gift, cannot accept unless satisfied the client has taken independent legal advice

Question 38

What gifts to solicitors should be considered (for substantial gifts)

Answer 38

Consider any gifts over £500 it can be assumed that it would be significant if: (a) over 1% of the client’s current estimated net estate; (b) it might become valuable at some point, especially after the death of the client (c) it provides a benefit to an individual which is more valuable than his relationship to the deceased reasonably justifies.

Question 39

What types of compliance officer must every firm have?

Answer 39

1. A compliance officer for legal practice (COLP) 2. A compliance officer for finance and administration (COFA)

Question 40

For conflict, will the buyer and seller of a property have a 'substantially common interest' meaning the solicitor can act for both?

Answer 40

NO

Question 41

Conflict: Can you act for buyer and lender?

Answer 41

Yes BUT CANT as risk as conflict will be high if: 1. mortgage is not on standard terms 2. AND solicitor doesn't use the approved certificate of title

Question 42

Timeframe for an undertaking to be completed

Answer 42

Within a reasonable time

Question 43

Meaning of 'substantially common interest'

Answer 43

clear common purpose between the clients and a strong consensus on how that purpose is to be achieved

Question 44

Meaning of 'competing for the same objective'

Answer 44

when two or more clients are competing for an "objective" which, if attained by one client, will make that "objective" unattainable to the other client or clients

Question 45

Who has the power to enforce an undertaking?

Answer 45

The Court