The Codes of Conduct Flashcards
What are the 7 SRA Principles?
Act in
1. a way that upholds the principle of the rule of law
2. a way that upholds public trust and confidence
3. with independence
4. with honesty: objective test
5. with integrity
6. encourages diversity and inclusion
7. in the best interests of each client
What is Para 1 of Code for Individuals
Maintaining trust and acting fairly
- cannot refuse instructions for discriminatory reasons
- do not take unfair advantage of clients
- perform undertakings
- do not mislead clients or the court
What is an undertaking?
A statement, given orally or in writing, whether or not it includes the word ‘undertake’, to someone who reasonably places reliance on it, that you or a third party will do something or refrain from doing something
- promise given by a solicitor
- solicitor personally liable
- undertakings are enforceable in court
What is Para 2 of Code for Individuals?
Dispute resolution and proceedings before the court
- do not misuse or tamper with evidence
- only make arguments which are properly arguable
- do not waste court’s time
- do not pursue pointless litigation
- do not be in contempt of course
- draw court’s attention to relevant case law or irregularities relevant to your case, that are material even if not helpful
- make it clear when a solicitor is not needed - e.g., if there is a simple compensation scheme, a solicitor may not be needed
What s Para 3 of Code for Individuals?
Service and competence
- only act on client’s instructions
- instructions from third party - get written authorisation from client
- risk of undue influence - speak with client separately
- make a statement of competence
- do not accept instructions if not skilled in that area or do not have sufficient time to provide competent services
- managers have extra obligations: they are responsible for the actions of those they supervise
What is Para 4 of the Code for Individuals?
Client money and assets
- account to client for any financial benefit (commission, discount, rebate) unless a written agreement states otherwise
- keep client money safe
What are Paras 5 of Code for Individuals?
Referrals and introductions
- If you refer the client to a third party or ou get referral fee - you must inform the client of any financial or other interest and the agreement must be in writing
- cannot use a fee-sharing arrangement in respect of criminal proceedings or damages arising out of death or personal injury
What is a separate business?
When
- a solicitor, a manager of an authorised firm, an authorised firm or solicitor employed by authorised firm
- runs, owns, manages, participates or is connected with
- a business that is not SRA authorised
The client must give informed consent f you refer in any of these cases
Own interest conflict
- You can never act in the event of an own interest conflict or where there is a significant risk of one
- There are no exceptions to this rule
This could cover:
- financial interest
- personal or business interest
- employer
- yourself/your firm
Client conflict of interest
- You cannot act where there is a client conflict of interest UNLESS an exception applies
- Substantially common interest - share the same common purpose and agree on best way to achieve that purpose; or
- Clients are competing for the same objective
- For either, must also comply with three conditions:
a) two clients give informed consent in writing
b) effective safeguards in place to protect confidential information
c) you are satisfied it is reasonable to act
Client confidentiality
Keep confidential all information to prospective, current and former clients
Unless disclosure is required or permitted by law
When will there not be a duty of confidentiality?
If you are being used by a client to carry out fraud or any other crime
Duty of disclosure of information material to the matter to the client
- Need to disclose all information to the client you know about in relation to the matter
Unless
- disclosure is prohibited by legal restrictions impose for national security or prevention of crime
- client gives written informed consent not to disclose
- believe there is a serious risk of injury
- information was privileged and you came across it by mistake (disputes context)
What happens if there is a conflict between duty of confidentiality and disclosure?
Cease acting for both
Must not act for a client that has an adverse interest to a current or former client
Unless
- effective measures in place - Chinese walls; or
- current or former client has given informed written consent
Cooperation and accountability
You must inform the SRA promptly if:
- you are subject to a criminal charge, conviction or caution
-firm becomes insolvent
- there are material changes in information
What are the discretionary reporting requirements?
Report to SRA if you reasonably believe there is a matter capable of breaching SRA rules
- any report must be made promptly
- must be open and honest with a client if you have made a mistake
- confidential information may need to be disclosed as will information covered by privilege
- can also make reporting requirements to COLP/COFA who will then report to SRA
Client identification
- need to identify the client when you receive instructions
Complaints procedure
- there must be a complaints procedure
- make sure at the start of acting for a client they are informed in writing (client care letter) of their right to complain
Who deals with complaints about legal services?
The Legal Ombudsman
- client must try to resolve with the lawyer - allow 8 weeks for this
- after that, they have 6 months to bring a complaint to Ombudsman
All client complaints must be dealt with promptly, fairly and free of charge
Client information
- must give information to clients in a way that they understand
- make clear how legal services are regulated
- client receives information about the price of the matter from the start and keep client updates as to costs
Publicity
- accurate publicity: must be accurate and not misleading
- A solicitor must not make unsolicited approaches to members of the public
Who is responsible for the firm’s compliance wth the Code?
The manager of a firm
- sole principal
- member of LLP
- director of company
- partner in partnership
What are the obligations of the COLP?
They have oversight over compliance with regulatory rules and SRA rules
- ensuring compliance with SRA
- ensuring no breaches
- promptly reporting to SRA any serious breaches
What are obligations of COFA?
Accounts Rules
- ensuring compliance
- reporting to SRA of any breaches
What are the sanctions for a solicitor falsifying a costs statement to make it seem as if they have done more work?
Likely that the solicitor will be struck off from the roll of solicitors on the grounds of dishonesty
What is always the sanction for dishonesty?
Dishonesty will always lead to a strike-off
- dishonesty is most serious violation of Code of Conduct and will lead to a strike-off
