Unit 4: Funding Legal Representation Flashcards
Definition: Private Funding (what is being paid, how is this calculated)
- The solicitor’s fees are calculated according to the time spent on the case at a given hourly charging rate (disbursements and expenses are charged separately).
Process for a client challenging a bill
In most cases this may involve asking the court to assess the costs. The court will reduce the bill if the amount charged is unreasonable. This is an obvious restraint on the amount that a solicitor can charge.
If a costs officer reduces the amount of a bill that has been challenged - when must the SRA be informed?
If the bill is reduced by more than 50%
Does a solicitor have an obligation to offer a client alternative funding options (ie. legal aid)
No - But, solicitor should make them aware and direct them to seek separate advice on their availability (ie. if client qualifies for legal aid but solicitor does not carry out legal aid work)
Two categories of civil legal aid
- Controlled work: it is for the solicitor to determine the client’s eligibility
- Licensed work: must be authorised by LAA on a case by case basis
DEF: Legal Help
This covers the solicitor giving basic advice and limited steps following on from that advice. This might involve drafting a letter or obtaining information from a third party. It does not extend to issuing court proceedings. Legal Help is controlled work.
DEF: Help at court
covers advice and assistance, including advocacy.
- The work which the solicitor carries out must be in relation to a particular hearing rather than representation in the case generally.
- Controlled work
DEF: Legal representation
Legal Representation is available to a client who is a party to proceedings or who is contemplating starting proceedings. It can cover the conduct of the client’s case, if necessary, up to and including representation before the court.
- It is licensed work, application must be made to the LAA and if successful, a LA certificate will be issued
Two bases which legal representation (under LA) can be granted under?
- Investigative basis: solicitor’s work assessing strength of the case
- Full basis: covers issuing and conduct of proceedings including advocacy at final hearing
Tests required to qualify for legal aid
- Merits Test (varied based on type of LA claimed)
- Financial Needs Test
Merits Test: Legal representation
- Client’s prospect of success must not be less than 50%
- Balancing of likely damages recoverable and costs that will be incurred (monetary claim)
- Whether benefits to be gained justify the likely cost that a reasonable privately paying client would be prepared to proceed (non-monetary claim)
- Funding will not be granted if other funding is available for client (ie. insurance) or if case is suitable for a CFA
Merit Test for Legal Help and Help at Court
Sufficient benefit test (must be sufficient benefit to client to justify the work)
Capital limits to qualify for civil legal aid
- 8000
- 3000 for immigration cases
Means Test: Civil Legal Aid Steps
- Look at Capital Limits
- Is client in receipt of benefits
- If no to 2, examine gross income
If a client is not on welfare benefits - what must their gross income be to qualify for leal aid?
2 657 or less
What must disposal income be less than to qualify for civil legal aid under the means test?
733
When will a client be deemed to be able to ‘pay something’ towards their legal costs
- Licensed Work: this is if the monthly disposable income is above 315 or their capital above 3 000 (they will need to make a contribution)
- income contribution will take the form of monthly payments
What is the statutory charge and when does it arise?
For the statutory charge to arise the client must have been wholly or partly successful in the proceedings, or obtained an out- of- court settlement which resulted in the client gaining or keeping money or property. Usually (but not invariably) the client must have been in receipt of Legal Representation.
- the statutory charge is money received from the case which can be used in repayment of the solicitor’s fees (recouping LA money)
Who is entitled to free legal advice if brought to the police station?
Anyone attending at the police station (whether under arrest, or attending voluntarily) is entitled to free legal advice, irrespective of their means. The solicitor will claim for the work done under the Police Station Advice and Assistance Scheme. The solicitor will receive a single fixed fee regardless of the nature of the case or the time actually spent.
If a solicitor provides free legal advice at a police station - how can they claim for the work done?
The solicitor will claim for the work done under the Police Station Advice and Assistance Scheme. (single fixed fee for this)
Criminal Legal Aid: Must every client satisfy the interests of justice test to be eligible:
The client will automatically satisfy the test if:
- they are under the age of 18; or
- the case is going to the Crown court
Criminal Legal Aid: who does not have to take the means test
Those with an adjusted income of 12 475 or less (in MC or CC)
Criminal Legal Aid: Threshold below which the disposal income must fall to be eligible (MC)
£3,398
Criminal Legal Aid: Threshold below which the disposal income must fall to be eligible (CC)
if a client has a disposable income of more than £3,398 and less than £37,500, the means test may determine that the client can afford to make some contribution towards their legal fees, whether from income or capital, and legal aid will be offered to the client on that basis.
