Legal Services 1 Flashcards
What are the regulatory bodies in England and Wales? Who do they regulate?
Legal Services Board split into:
- SRA: for solicitors, law firms (including non-lawyers, registered foreign and European lawyers
- Bar Standards Board: barristers
- CILEX: legal execs
- IP Regulation Board: patent and TM attorneys
- Council of Licensed Conveyancers: individuals and firms specialised in conveyancing
- Cost Lawyer Standards Board: lawyers specialised in preparation of bills and schedules of costs
- Maser of Faculties: notaries
What is reserved legal activity? Who can undertake it?
Can only be undertaken by those authorised by the regulatory bodies. Although some may be exempt if they are party to proceedings.
Activities:
- exercise of right of audience
- conduct of litigation (issuing/defending proceedings)
- reserved instrument actives
- probate activities
- Notarial activities (preparing, witnessing and certifying documents and non-contentious legal work)
- Administration of oaths
What is Reserved Instrument Activities
- preparing any instrument of transfer or charge under LRA,
- applying or lodging a document for registration under LRA;
- preparing any other instrument relating to real or personal estate
Who is required to have professional indemnity insurance? On what terms
Insurance on SRA min terms and be adequate and appropriate
- firms
- sole practitioners
Must only be adequate and appropriate
- Solicitor for non-commercial bodies which provided reserved legal activity to public (must ensure the body has adequate and appropriate coverage)
- freelance solicitors who carry on reserved legal activity
Can freelance solicitors carry out reserved legal activity and are they required to have professional indemnity insurance?
Can carry out reserved activity not as sole practitioner if:
- 3 years post qualification
- do not hold client money
Must have adequate and appropriate insurance
What is good practice in relation to the retainer?
- in writing
- contain all term
- signed by client
Funding options for non-litigation matters
- private funding
- fixed fee financing
What is a solicitors duty in relation to funding arrangement?
Must
- must provide clear and transparent advice on costs at beginning (inc. likely costs)
- must keep updating client on cost and note discussions
- explain and advise on relevant funding mechanisms
In best interest of client
- should first see if client can afford private funding as this may be cheaper than other options
Funding Options for Litigation
Private funding
Conditional Fee Agreement
Damages Based Fee
Legal Expenses Insurance
Union Aid
Civil Legal Aid
What is a Conditional Fee Agreement? What are its limitations?
- no win no fee
- if successful solicitor win titled to normal fee (from losing side)
- disbursements and success fee (from losing side)
- success fee to be percentage of normal fee
Limitation
- success fee cannot exceed 100% of normal fee charged
- cannot be used in family proceedings
What is a damages based agreement?
If successful:
- lawyer paid percentages of damages awarded to client (minus) their normal/disbursement they take from losing side
- so client does not pay the full percentage out of their damages
If unsuccessful
- no normal fee or disbursements
Limit of Percentage of Damages
- PI cases 25% of damages (excluding future loss)
- non-PI case 50% of damages
What must a damages based agreement include?
- specify the claim it relates to
- circumstances in which costs and expenses are payable
- reason for setting payment level
- expected disbursements
- definition of success
- what happens in case of adverse costs
- how parties can terminate agreement
What is third party funding
3rd party covers legal cost
- normally expecting to get back profit if successful out of awards
What are the types of legal expenses insurance
Before the Event Insurance
- insurers pays legal costs
- often included in car, home etc. insurance
- solicitor must check if client has this at outset (even if this means losing the client)
After the Event Insurance
- taken out after the event
- may cover disbursements and/or having to pay other sides legal costs
When is Civil Legal Aid available? What types of cases? What is the effect?
Finacial Needs Test
- household income, outgoings, savings, living costs ect.
Merits Test
- cliam has good prospect of sucess
Types of Claims
- housing disputes
- family
- debt claims
Effect
- claimant may need to contribute part
- may be withdrawn if changes to merit of case or conduct of claimant
- aided party cannot be forced to pay other sides costs
