Regulatory and Legal Environment

Question 1

Who do the Legal Services Board regulate?

Answer 1

All lawyers in England and Wales

Question 2

Who does the SRA regulate?

Answer 2

All solicitors, law firms and individuals who work for businesses authorised by the SRA

Question 3

What does the Law Society do?

Answer 3

Represents solicitors in England and Wales to the public and supports them in their careers and practice.

Question 4

What is the first step in the complaints procedure for a client?

Answer 4

The law firm they received advice from. The SRA requires every firm to have a complaints procedure.

Question 5

If a firm’s internal complaints procedure is exhausted, who should a client refer their complaint to?

Answer 5

Legal Ombudsman, who can require the solicitor to apologise, pay compensation, limit fees or take specific action.

Question 6

Can the Legal Ombudsman discipline or fine a lawyer?

Answer 6

No!

Question 7

What power does the SRA have in relation to a complaint concerning misconduct, dishonesty or breaches of the SRA’s rules?

Answer 7

They have the power to issue warnings, fines, restrictions and close down a firm.

Question 8

What is the Solicitors Disciplinary Tribunal (SDT) and what are their powers?

Answer 8

The SDT is an independent statutory body which deals with serious breaches of the SRA’s rules. Their powers include suspending/striking off a solicitor, imposing fines, awarding costs but they do not have the power to award compensation.

Question 9

Outline the seven SRA Principles which individuals and firms are required to act in accordance with.

Answer 9

1. in a way that upholds the constitutional principle of the rule of law and proper administration of justice
2. in a way that upholds public trust and confidence in the solicitors’ profession and in legal services
3. with independence
4. with honesty
5. with integrity
6. in a way that encourages EDI
7. in the best interests of each client

Question 10

If the Principles come into conflict, which Principles take priority?

Answer 10

The Principles which safeguard the wider public interest take priority over the interest of an individual client.

Question 11

What is the Code of Conduct for Solicitors (CCS)?

Answer 11

CCS sets out the standards that the SRA and the public expect from individuals authorised by the SRA to provide legal services, including solicitors, paralegals and apprentices.

Individuals are personally responsible for compliance with CCS.

Question 12

What do the following state:
CCS 1.1
CCS 1.2
CCS 1.4

Answer 12

-Do not unfairly discriminate
-Do not take unfair advantage
-Do not mislead others

Question 13

What does The Equality Act 2010 do?

Answer 13

The Act aims to protect people from discrimination in the workplace and in wider society against a range of protected characteristics.

Question 14

What are the protected characteristics under The Equality Act 2010?

Answer 14

-age
-disability
-gender reassignment
-marriage and civil partnership
-pregnancy and maternity
-race
-religion/beliefs
-sex
-sexual orientation

Question 15

What is direct discrimination under The Equality Act 2010 and provide an example?

Answer 15

This occurs where because of a protected characteristic, A treats B less favourably than A treats or would treat others (s13(1) Equality Act 2010).

An example would be a club organising salsa evenings deletes a woman from their list when they realise she is pregnant, on the assumption she will not want to come during her pregnancy.

Question 16

What is indirect discrimination under The Equality Act 2010 and provide an example?

Answer 16

This is concerned with acts, decisions or policies which are not intended to treat anyone less favourably, but which have the effect of disadvantaging a group of people with a protected characteristic.

A classic example is an employer requiring an employee to work full-time, which could disadvantage women as a group since women in society as a whole bear a greater part of domestic/childcare responsibilities.

Question 17

What is harassment under The Equality Act 2010 and provide an example?

Answer 17

A harasses B if A engages in unwanted conduct related to a relevant protected characteristic which has the purpose or effect of either violating B’s dignity or creating an intimidating, hostile, degrading or humiliating environment.

An example would be two male shop assistants loudly commenting on the size of a female shopper’s breasts.

Question 18

What is victimisation under The Equality Act 2010 and provide an example?

Answer 18

This occurs where A subjects B to a detriment because either B has done a protected act or A believes B has done, or may do, a protected act.

An example of victimisation would be a publican banning a gay man from his pub after the gay man sues for discrimination on the basis the publican makes persistent derogatory remarks about his sexuality.

Question 19

What are the protected acts under the Equality Act 2010?

Answer 19

-bringing proceedings under The Equality Act 2010
-giving evidence or information in connecting with proceedings under the Act
-doing any other thing for the purposes of or in connection with the Act
-alleging that A or another person has contravened the Act

Question 20

What does S29 Equality Act 2010 state?

Answer 20

A person concerned with the provision of a service to the public or a section of the public must not discriminate against a person requiring the service by not providing the person with the service.

Question 21

Outline the scope and nature of the duty to make reasonable adjustments under The Equality Act 2010.

Answer 21

This duty aims to make sure that a disabled person can use a service as close as it is reasonably possible to get to the standard usually offered to non-disabled people. The duty is anticipatory, meaning a service provider must think in advance about what disabled people might reasonably need. The duty contains three requirements:
-changing the way things are done
-making changes to overcome barriers created by physical features
-providing extra aids and services

Question 22

What is an undertaking?

Answer 22

A statement, given orally or in writing, whether or not it includes the word ‘undertake’ or ‘undertaking’ to someone who reasonably places reliance on it, that you or a third party will do something or cause something to be done, or refrain from doing something.

Question 23

What does CCS 1.3 outline in relation to undertakings?

Answer 23

You must perform all undertakings given by you, and do so within an agreed timescale or if no timescale has been agreed then within a reasonable amount of time.

Question 24

What must a solicitor do if they later become aware they have misled the court?

Answer 24

A solicitor would not normally be guilty of misconduct if they inadvertently misled the court. If the solicitor later becomes aware of this, they must with their client’s consent, immediately inform the court. If the client does not consent, the solicitor must stop acting for that client.

Question 25

What does CCS 8.8 state in relation to publicity?

Answer 25

You ensure that any publicity in relation to your practice is accurate and not misleading, including that relating to your charges and the circumstances in which interest is payable by or to clients.

Question 26

What is an introduction and provide an example?

Answer 26

Introduction relates to a relationship you/a law firm has with a third party, where the third party introduces or refers business to you /the law firm.

An example is a firm of estate agents agrees to refer property sellers and buyers to a law firm’s residential property department. The law firm agrees to pay the estate agent a fixed fee plus VAT in respect of each introduction.

Question 27

What is a referral and provide an example?

Answer 27

Referral refers to an arrangement you/a law firm might have with a third party to whom you may refer or introduce clients.

For example, your firm might have an arrangement with a surveyor’s firm whereby the surveyor pays your firm a fixed fee for each referral.

Question 28

What does CCS 5.1 outline in relation to introductions, referrals and fee sharing arrangements?

Answer 28

In respect of any referral or introduction, you ensure that:
-clients are informed of any financial or other interest which you have in the referral or introduction
-clients are informed of any fee sharing arrangement relevant to their matter
-the fee sharing arrangement is in writing
-you do not receive/make payments relating to referrals/introductions in respect of clients subject to criminal proceedings
-any client referred by an introducer has not been acquired in a way which would breach the SRA’s regulatory arrangements if the person acquiring the client were regulated by the SRA.

Question 29

What is the prohibition under S56 LASPO 2020 in relation to referrals?

Answer 29

This section prohibits solicitors from referring or receiving referrals in respect of a claimant’s claim for damages in respect of personal injury or death to each other in consideration for a referral fee.

Question 30

What is the duty of confidentiality under CCS 6.3?

Answer 30

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

Question 31

What are the exceptions to the duty of confidentiality?

Answer 31

-statutory exceptions that enable bodies such as HMRC to require disclosure of documents and information

-when the duty is overriding by statutory or regulatory reporting requirements eg MLR 2017, POCA 2002

-cases where you need to reveal information to support a defence in a civil claim or in a criminal prosecution

-cases involving children if you believe the child’s health is in danger

Question 32

What is the duty of disclosure under CCS 6.4?

Answer 32

Where you are acting for a client on a matter, you make the client aware of all information material to the matter of which you have knowledge.

Question 33

What are the exceptions to the duty of disclosure?

Answer 33

-the disclosure is prohibited by legal restrictions imposed in the interests of national security or the prevention of crime

-the client gives informed consent, given or evidenced in writing, to the information not being disclosed to them

-reason to believe that serious physical or mental injury will be caused to the client or another if the information is disclosed

-the information is contained in a privileged document that was mistakenly disclosed

Question 34

If the duties of confidentiality and disclosure conflict, which duty takes precedence?

Answer 34

The duty of confidentiality takes precedence when the two duties conflict.

Question 35

What does CCS 6.5 state in relation to adverse interests?

Answer 35

You do not act for a client who has an interest adverse to the interests of another current or former client for whom you hold confidential information, unless:

-effective measures have been taken which result in there being no real risk of disclosure of the confidential information; or

-the current or former client whose information you hold has given informed consent to you acting