There is a “real risk” that members of the public will view the Solicitors Regulation Authority as “simply preferring the word of solicitors”, its independent review body has concluded. The Independent Complaint Resolution Service called for a review of compensation claim fund claims.
The Solicitors Regulation Authority approved a radical overhaul of the separate business rule at its board meeting yesterday, despite strong opposition from the Law Society. The changes are planned to come into force on 1 November this year.
The Bar Standards Board (BSB) has proposed that it should be given, for the first time, the power to intervene in barristers’ practices and chambers. It also wants new powers on fines and setting up a compensation fund.
The Legal Services Consumer Panel has strongly attacked plans by the Council for Licensed Conveyancers to cut the size of grants from its compensation fund from £1m to £500,000 – a quarter of the amount clients of solicitors can claim.
The number of lawyers demanding an independent review of their treatment at the hands of the Solicitors Regulation Authority has gone up, despite a decline in members of the public making a similar request.
The Solicitors Compensation Fund could be hit by a new wave of property claims after a High Court ruling on two test cases relating to a buy-to-let scheme.
The Solicitors Regulation Authority expects its compensation fund to have to pay out up to £2.5m in the next practising year to cover the cost of negligence claims against uninsured law firms, it has emerged.
The Solicitors Regulation Authority has decided to go ahead with cutting the minimum compulsory cover for indemnity insurance from £2m to £500,000, despite strong opposition from the Law Society.
The Solicitors Regulation Authority has called for the minimum level of indemnity cover firms must obtain to be cut to £500,000. The existing limits are £2m for traditional partnerships, or £3m for incorporated practices.
Sole practices are responsible for 45% of the latest claims made on the solicitors’ compensation fund, despite making up only around a third of firms at the time, research for the Solicitors Regulation Authority has found.