Agents buy law firm

LICENSED CONVEYANCERS: cheaper insurance woos solicitors

A former leading legal aid practice has become a firm of licensed conveyancers after it was bought by a chain of estate agents, it emerged last week.

East Sussex-based Morris Smith - which once claimed to be the largest welfare benefits firm in south-east England - ceased taking on publicly funded work 18 months ago to concentrate on its separate conveyancing outfit, Conveyancing Direct, and has now been bought by estate agents Connells.

Conveyancing Direct managing director Richard Smith said he was pleased with the change of direction as Connells' investment would enable the firm to double its staff and take over new premises.

'This is more specific to the way we were going, and it enables us to practise as a limited company,' he said.

'We would not be able to expand as quickly as a law firm.'

Under current practice rules, solicitors employed by Connells could not act for third parties.

Connells director Michael Day said the company would still outsource work to law firms, as it did before the buy-out, but hoped 'having an egg in its own basket' would allow it to branch out into other areas of work, such as remortgaging.

Enid Watson, director of education and licensing at the Council of Licensed Conveyancers, said there had been a 'steady dribble' of solicitors moving into the licensed conveyancing camp over recent years, partly because they thought the professional indemnity insurance was cheaper.

Paula Rohan