Claims against solicitors: CIA will arbitrate
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UA simple method of obtaining an independent decision on a claim against a solicitor for negligent handling of a client's affairs has been established by the Chartered Institute of Arbitrators at the request of The Law Society.
It is called the Solicitors' Arbitration Scheme Law Society request and avoids a client taking a claim to court — both sides are bound by the result, so a solicitor cannot be sued subsequently about the same matter in court.
In order to use the scheme, both client and solicitor each pay a registration fee of £46 including VAT. These payments are a contribution to the fees of the arbitrator and the administration expenses of the Chartered Institute of Arbitrators. The rest of the cost is met by The Law Society. If the client wins he may be able to recover the fee from the solicitor; if the solicitor wins, he may be able to recover the registration fee from the client.
An application form and rules can be obtained from the Chartered Institute of Arbitrators, 75 Cannon Street, London, EC4N SBH, or from the Contentious Business Department, The Law Society, 113 Chancery Lane, London WC2A 1PL.
If the solicitor does not agree to arbitration, the client cannot use the scheme. In that case, the Chartered Institute of Arbitrators advice is to try to arrange to see an independent solicitor for preliminary advice which, depending on the client's means, may be obtained under legal aid. In case of difficulty getting advice, the client can write to the Secretary, Professional Purposes, The Law Society, who can put the client in contact with a solicitor willing to give preliminary advice, free of charge, under The Law Society's Negligence Panel Scheme.
However, the scheme does not cover claims of: 1. overcharging; 2. dishonesty or other professional misconduct 3. one which the arbitrator cannot deal with solely by reading the written statements of the solicitor and the client and any other correspondence or documents sent him; 4. one against a solicitor who does not practise in England or Wales.
There are other ways of resolving overcharging claims. One is to apply to the court to have the solicitor's bill examined In some cases, The Law Society can be asked to examine the bill (further information is obtainable from the Contentious Business Department).
In any claim of professional misconduct, the advice is to write to the Secretary, Professional Purposes, at The Law Society.
For the third point, the Chartered Institute of Arbitrators says: "If the arbitrator needs to call a hearing at which you and the solicitor are present, it will still be possible for the arbitrator to deal with the matter in this way outside the rules of the scheme. However, the arbitrator can only do so if you and the solicitor agree to attend a proper hearing at which you and the solicitor can be present. In these circumstances, the proceedings are likely to be much more expensive."
When claiming against a solicitor who does not practise in England or Wales, the client should get advice from another solicitor on how to go about pursuing the claim.
If the client goes for arbitration and loses, the solicitor cannot be sued about the same matters in the courts. There are very limited rights of appeal to the High Court against the decision of an arbitrator which would not, for practical purposes, be worth pursuing unless the compensation claimed is very large, and if it is, an independent solicitor should be consulted Arbitration conducted under the Rules of the Scheme are subject to the Arbitration Acts of 1950, 1975 and 1979.
by Legal Bulletin reporter