Professional Conduct Flashcards
1
Q
When must enhanced due diligence be applied?
A
- where the transaction is complex;
- where the transaction is unusually large; or
- where there is an unusual pattern of transactions, or the transaction or transactions have no apparent economic or legal purpose
2
Q
A solicitor represents a client who is in the process of buying a residential property. This property is subject to a restrictive covenant that has been breached. The solicitor’s firm is not authorised by the FCA to carry out financial services activities.
The client has enquired if the firm can provide advice on, and facilitate the arrangement of, a restrictive covenant indemnity insurance policy on their behalf.
Can the firm provide such services under the SRA Financial Services (Scope) Rules?
A
Yes, if the solicitor’s firm has notified the SRA in the prescribed form.
