Termination of Retainers

Question 1

Uruly Rabbits Will IB Put Bouncing Show Stopper When Watching Grass

Question 2

What is an Entire Contract

1. U v L:

Answer 2

Entire Contract
1. Underwood v Lewis: Entire contract, ends after all obligations performed

Question 3

Wrongful Termination - consequences

2. Re R & H :
3. W v S :

Answer 3

Wrongful Termination - consequences
2. Re Romer & Haslam : wrongful termination = no entitlement to pay
3. Wild v Simpson : unreasonably terminated -no entitlement to fees even on a quantum meriut

Question 4

Solicitor May Terminate - Good Cause/Reasonable Notice:-

4. IB 1.26 SRA handbook: requires

Answer 4

Solicitor May Terminate - Good Cause/Reasonable Notice:-
4. (Indicative Behaviour) - IB 1.26 SRA handbook: require good cause and reasonable notice

Question 5

Sols Reasons to Terminate – conflict, requiring sol to act in unlawful or unethical manner, obstructing solicitor, serious breakdown in relationship

5. Para 6.1 of the SRA Code of Conduct for Solicitors, RELs and RFLs:
6. B v M-O:
7. Section 1 LSA 07:

Answer 5

Sols Reasons to Terminate – conflict, requiring sol to act in unlawful or unethical manner, obstructing solicitor, serious breakdown in relationship
5. Para 6.1 of the SRA Code of Conduct for Solicitors, RELs and RFLs: Should not act where there is a conflict
6. Buxton v Mills-Owens: unreasonable instructions/unarguable points could be good cause
7. Section 1 LSA 07: regulatory objectives, duty to court and administration of justice

Question 6

Payments
8. S.65(2) SA 1974 –
9. W v M:
10. W v V:

Answer 6

Payments
8. S.65(2) SA 1974 – Allows for interim payments on retainers
9. Warmingtons v McMurray: not receiving payment on account may be good cause
10. Wong v Vizards: must be a request for a reasonable sum on account or will not be good cause

Question 7

Notice
11. G v H M S:

Answer 7

Notice
11. Gill v Heer Manak Solicitors: reasonable notice will be fact specific.

Question 8

Client May Terminate
1.
2.
3.

Answer 8

Client May Terminate
1. At any time and for any reason
2. Can also be terminated by effluxion of time, death, bankruptcy, insanity of client and/or sol, retainer becomes unlawful
3. Can also terminate if sol found guilty of misconduct rendering the services incompatible with the work being carried out under the contract

Question 9

Termination of CFA
1. Client terminates through
2. Most CFAs include
3. Sols rights to terminate would include 1) 2) 3)
4. Some take away points:
* Clients should be made aware that
* Solicitors should be aware that
* Solicitors should advise their client

Answer 9

Termination of CFA
1. Client terminates through cancellation rights under Consumer Contracts Regs 2013 – that is end of CFA and no other liability to sol. If, CFA cancelled otherwise, e.g. client misleading sol, residual fees may be payable.
2. Most CFAs include termination clause. V. Important. Likely include payment of sol’s basic charges and disbs up to date of termination.
3. Sols rights to terminate would include 1) client does not keep to their responsibilities 2) claim/counterclaim likely to be lost 3) client ignores/rejects sols advice on settlement
4. Some take away points: * Clients should be made aware that they may have to pay in excess of what is recovered from the Defendant in the event of termination;
* Solicitors should be aware that depending on the termination clause, they could recover more than what is recovered from the Defendant.
* Solicitors should advise their client of this possible eventuality.

Question 10

DBAs

Z v L - COA held that including

Answer 10

DBAs

Zuberi v Lexlaw Ltd [2021] - Court of Appeal looked at whether the inclusion of a clause providing for payment on termination made the DBA unenforceable. In doing so, it provided important guidance on the nature of DBAs, resolving key uncertainties concerning their operation and enforceability.

COA held that including a clause in a DBA, enabling the lawyer to recover its fees if its client terminated the DBA shortly before concluding a settlement, would not invalidate the DBA.

The decision has renewed interest in DBAs and it is expected that the DBA Working Group’s recommendations will now being taken forward, leading to reforms that will create workable DBAs, offering lawyers and their clients greater options when considering how best to finance their litigation.