While the statistics support the Law Society's argument that the rise in a 'compensation culture' is a 'myth', the fact is that the general public's perception is that there is such a culture - a perception which the media and insurers are happy to exploit.


Janet Paraskeva's article (see [2004] Gazette, 18 November, 18) clearly and articulately sets out the arguments and echoes the Lord Chancellor's recent conclusions. Frustratingly, however, Ms Paraskeva sidesteps what has for many years been the root of the problem. This is that solicitors have been willing to pay claims farmers for cases, thus generating the ugly edifice of a subsidiary industry.



The Law Society has, of course, colluded in this by failing to police its own code of practice in relation to payment for referrals.


How can the public be expected to have any respect for personal injury lawyers and to believe that there is not actually a compensation culture, if on a daily basis they are being bombarded by claims farmers trying to drum up work?


The existence of claims farmers may serve the short- term interests of a few of the large personal injury practices; but in the long term they are seriously undermining public confidence in personal injury lawyers, and it is they who have created and are perpetuating the myth of a compensation culture.


I propose a solution. No referral fees. No claims farmers.


The Law Society should now act in accordance with the democratic will of its members and reimpose a ban on referral fees. This time it should be fully enforced.


Claims farmers would not need to be regulated, as they would not exist. Public confidence would be restored and personal injury lawyers would regain some self-respect.



Hugh Joseph, Hugh Joseph Solicitors, Stockport