tag:blogger.com,1999:blog-20722989.post4009781530220771510..comments2024-03-24T23:01:57.640+00:00Comments on The Justice Diaries: Guarantee Fund ‘at risk’ as financial crises hits solicitors management of client funds while regulator dithers on oversight roleUnknownnoreply@blogger.comBlogger28125tag:blogger.com,1999:blog-20722989.post-27797432563217817642008-11-19T15:28:00.000+00:002008-11-19T15:28:00.000+00:00I think your story caused the following !http://ww...I think your story caused the following !<BR/><BR/>http://www.journalonline.co.uk/News/1005933.aspx<BR/><BR/>Society's advice on banking of client funds<BR/>18 Nov 08<BR/><BR/>Terms of business should be revised in light of counsel's opinion<BR/><BR/>Solicitors are not under an absolute duty to account to clients for funds deposited in accordance with the Law Society of Scotland's Accounts Rules, according to counsel's advice obtained by the Society.<BR/><BR/>In the light of the recent uncertainty about the future of banks, the Society sought the opinion of the Dean of Faculty on a range of matters.<BR/><BR/>In summary, as respects the duty of accounting, in the Dean’s view the basic duty is that of the solicitor of ordinary skill acting with ordinary care as set out in Hunter v Hanley 1955 SC 200. The contract of agency between solicitor and client is fiduciary (i.e. like that of a trustee), but in the Dean’s view that does not equate to an absolute duty to account to clients for client funds which have been deposited in accordance with the Accounts Rules. If the solicitor has actual or constructive knowledge of a material risk of failure of a particular bank, a question of negligence might arise.<BR/><BR/>In the Society’s view, actual or constructive knowledge of a material risk of failure means such knowledge of a specific and material risk for a bank. Mere knowledge of speculation in the media or on the internet would be unlikely to amount to actual or constructive knowledge.<BR/><BR/>In response to the suggestion that the Society’s Accounts Rules, and in particular rule 4(3)(b), create an obligation to guarantee clients’ funds, the Dean confirmed that the rules do not create such an obligation. The wording in rule 4(3)(b) “nothing herein contained shall relieve a solicitor of his responsibilities” must refer to responsibilities to be found elsewhere and not within the Accounts Rules.<BR/>Terms of business<BR/><BR/>Having regard to the Dean's advice, the Society's Professional Practice Committee has agreed that further guidance on terms of business is appropriate. Solicitors should advise clients in their standard terms of business of the identity of the bank or banks in which any funds held for the client will be deposited. The terms of business should further say that if clients wish their funds to be deposited in a different bank or banks they will need to give the solicitors specific instructions to that effect.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-74580800525961609072008-10-31T12:59:00.000+00:002008-10-31T12:59:00.000+00:00same as the comment at 6.31pm I have a demand from...same as the comment at 6.31pm I have a demand from my lawyer for £2,420.40 and he had estimated the work at £900 and the case also has not reached court yet I complained to the Law Society before the 1st October with this slcc coming along but I will complain to them tooAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-59948511414922038172008-10-30T18:31:00.000+00:002008-10-30T18:31:00.000+00:00I am another one with a bill that's went from an e...I am another one with a bill that's went from an estimate of 1,000 to a 3,200 demand from my bastard lawyer and he hasn't done a thing to get the case into courtAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-58920723377307238662008-10-30T15:09:00.000+00:002008-10-30T15:09:00.000+00:00Law Society are refusing to take complaints agains...Law Society are refusing to take complaints against the Guarantee Fund Peter<BR/>I have been writing to Yelland Clancy Mill and others for months trying to complain against my solicitor who transferred 35000 from my account to his own personal account and the Law Society wont do a thing about it not even the Police because the lawyer is on Law Society CommitteesAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-77268969752467243972008-10-30T11:08:00.000+00:002008-10-30T11:08:00.000+00:00Thanks for the advice Mr Cherbi.I went into my law...Thanks for the advice Mr Cherbi.I went into my lawyers office this morning to make sure he followed my instructions to transfer all money he was holding into my own bank account today.I had called him several times yesterday and he wouldn't reply but I caught him today.Everyone do the same if you are sensible!Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-80664627092214314182008-10-29T21:00:00.000+00:002008-10-29T21:00:00.000+00:00If these lawyers lose you money do something about...If these lawyers lose you money do something about it.Don't get sucked into the complaints system just (you know the rest)Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-1862711940022077512008-10-29T17:19:00.000+00:002008-10-29T17:19:00.000+00:00Its been known for awhile as some suggest there ar...Its been known for awhile as some suggest there are problems with the fund.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-90715481742204405882008-10-29T16:00:00.000+00:002008-10-29T16:00:00.000+00:00slcc looks stupid not starting its full role alrea...slcc looks stupid not starting its full role already and as you say now the banks have failed us this fund probably will too<BR/><BR/>anyway why is it with the lawyers and controlled by the law society - shouldn't it be independent if it was to be any good at all ?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-25640741738304552052008-10-29T15:31:00.000+00:002008-10-29T15:31:00.000+00:00Maybe this and the bank failures will help bring b...Maybe this and the bank failures will help bring better regulation to the legal sector too because anyone who argues against it now looks like a crook and that includes macaskill.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-63063034729453175492008-10-29T13:22:00.000+00:002008-10-29T13:22:00.000+00:00To all those who are passing comment about the Gua...To all those who are passing comment about the Guarantee Fund you are not alone in your suspicion.<BR/><BR/>Most of the profession have regarded it as a joke for many years and Mr Cherbi is probably spot on about its impending collapse.<BR/><BR/>To Peter.You should make inquiries just how much it takes to 'manage' the fund and who gets the lions share of that.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-41788748033172824312008-10-29T11:48:00.000+00:002008-10-29T11:48:00.000+00:00I have about 12 letters from bastards at the Law S...I have about 12 letters from bastards at the Law Society of Scotland telling me I can't claim a penny from this guarantee fund but my lawyer emptied a bank account of 24 thousand he was 'looking after' when we sold a piece of land<BR/>Law Society are full of lying bastards as are all their lawyersAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-51415244809424155262008-10-29T09:41:00.000+00:002008-10-29T09:41:00.000+00:00I foresee clients coming in to ring our necks whic...I foresee clients coming in to ring our necks which will make you happy ?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-34085925239542773732008-10-29T08:30:00.000+00:002008-10-29T08:30:00.000+00:00Don't worry Peter.I'm sure John Swinney will bail ...Don't worry Peter.I'm sure John Swinney will bail out the lawyers on MacAskill's request.After all its pretty clear they are sponsoring the SNP by getting all their pals onto this complaints quango !<BR/><BR/>Oh no wait though Swinney will have to go begging to London for the money !Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-74762809433636765452008-10-28T23:15:00.000+00:002008-10-28T23:15:00.000+00:00I didn't realise lawyers looked after money for cl...I didn't realise lawyers looked after money for clients but I suppose you are correct and with some firms going under probably their clients wont get their money.<BR/><BR/>That "Guarantee Fund" sounds like a con too.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-39745597402137576932008-10-28T22:35:00.000+00:002008-10-28T22:35:00.000+00:00More dynamite from P. Cherbi Esq. Of course those ...More dynamite from P. Cherbi Esq. Of course those who might lose hundreds of thousands will doubtless be offered 'an accomdation' from the powers that be, while smaller fry will no doubt be given the Law Society/SLCC runaround.<BR/><BR/>What on earth is the SLCC doing postponing what needs to be done today until who knows how many years hence?<BR/><BR/>A result perhaps of more 'advice'from long established sources?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-33849315652641674892008-10-28T21:30:00.000+00:002008-10-28T21:30:00.000+00:00The wise choice would be for everyone to go to the...The wise choice would be for everyone to go to their lawyers office and take charge of their own money rather than let some jumped up shit of a lawyer use it for whatever.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-23264417716683668002008-10-28T21:15:00.000+00:002008-10-28T21:15:00.000+00:00I feel sorry for the people you mentioned being ri...I feel sorry for the people you mentioned being ripped off by their lawyers.<BR/>Maybe instead of saving this fund if thats what they are asking we should just throw these lawyers to the sharks and take all their ill gotten gains and spread it around back to their clients!Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-68834199922146653662008-10-28T20:14:00.000+00:002008-10-28T20:14:00.000+00:00I know a sole practitioner in Aberdeen who has los...I know a sole practitioner in Aberdeen who has lost clients close to £500,000 and the guarantee fund paid them nothing.<BR/>If it is in a state of collapse now it must be down to maladministration because the damn thing never pays out despite claims to the contrary.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-28296330740892940452008-10-28T19:19:00.000+00:002008-10-28T19:19:00.000+00:00The guarantee fund is managed with the help of ban...The guarantee fund is managed with the help of banks so I am not surprised it has got into difficulties but as you point out there are so many conditions for someone to be able to claim from the fund there is little prospect of anyone actually getting anything if their solicitor loses their money in one way or anotherAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-39033020336010319342008-10-28T18:54:00.000+00:002008-10-28T18:54:00.000+00:00• The solicitor must have acted dishonestly in the...• The solicitor must have acted dishonestly in the course of their legal practice.<BR/>• The claimant must have suffered monetary loss.<BR/>• There must be no other means of recovering the money; for example, by suing the solicitor directly or making a negligence claim.<BR/><BR/>so in conclusion this guarantee fund guarantees nothingAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-9014403110173988252008-10-28T18:34:00.000+00:002008-10-28T18:34:00.000+00:00This is troubling to me Mr Cherbi as my late fathe...This is troubling to me Mr Cherbi as my late father's lawyer has about 50k in his accounts which should have been returned to us last year.I'm guessing now its gone and if so I will call in the Police the newspapers and youAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-52045813878235940282008-10-28T18:24:00.000+00:002008-10-28T18:24:00.000+00:00Now that would be just sick if the taxpayers have ...Now that would be just sick if the taxpayers have to bail out fucking lawyers too<BR/><BR/>LET THE LEECHES TWIST IN THE WIND OF THIER OWN MAKINGAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-49863734874684484262008-10-28T17:57:00.000+00:002008-10-28T17:57:00.000+00:00Hi Peter Cherbi.My dad asked me to get in touch wi...Hi Peter Cherbi.<BR/>My dad asked me to get in touch with you about a bill he got from his greedy bastard lawyer which was supposed to be about £2000 and is now £12000 <BR/><BR/><BR/>Can I email it to you for a comment or help?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-76238566767573118672008-10-28T17:38:00.000+00:002008-10-28T17:38:00.000+00:00Good point Peter.After what happened with the bank...Good point Peter.After what happened with the banks there should be better oversight and regulation of client funds for sureAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-20722989.post-54481504319892893812008-10-28T17:28:00.000+00:002008-10-28T17:28:00.000+00:00Shouldn't it be the FSA who regulate funds held on...Shouldn't it be the FSA who regulate funds held on behalf of clients rather than this Law Society cloned commission ?Anonymousnoreply@blogger.com