Conduct and service

Using increased powersSome solicitors are still unaware that the maximum compensation that can be ordered by the Office for the Supervision of Solicitors (OSS) for inadequacy of service was increased last year from 1,000 to 5,000.

Perhaps even fewer appreciate that the OSS is exercising its increased power in appropriate cases.A recent case demonstrated the OSS's readiness to use the increased compensation limit, together with other powers.

It also highlighted various deficiencies of service commonly found in civil litigation cases.The firm was instructed in mid-1991 regarding matters arising from the complainant's employment, including a personal injury claim and a negligence claim against previous advisers.

It was the negligence claim that caused the problems.The claim eventually reached court in May 1999.

The court held that although negligent advice had been given, it did not cause the complainant's dismissal from her employment.

Her claim was dismissed with costs.

The client then complained of delay in the conduct of the case, that the firm failed to keep her properly informed and did not provide adequate costs advice.The firm admitted delay and also that it had taken five months to respond to the complaints when they had first been raised.

The OSS investigation revealed that the firm had failed to explain to the complainant the implications of various developments as the case progressed and had not explained why it could not provide a copy of the judgment, ignoring her request.

It also transpired that, not having been asked for any payments on account for eight years, the complainant was suddenly asked, two days before the hearing, for 2,000.

She had only been told that the costs would be substantial.

In addition, the firm failed to advise her fully when a payment into court was made, merely telling her that if the amount paid in was not beaten, she might have to pay her opponent's costs.

They failed to mention her liability to meet her own costs from the date of payment in, even if the case was won - a common failing in these circumstances.To make matters yet worse, 18 months after the case had been heard the solicitors had still not delivered their bill.

The best they could do was to estimate what their costs would be.The OSS, finding inadequacy of service on all these matters, limited the firm's costs to a figure 3,000 less than their estimate and also awarded the client 2,000 compensation.

An appeal by the solicitors was rejected and they were additionally ordered to render their bill for the reduced amount within 28 days.l Every case before the compliance and supervision committee is decided on its individual facts.

These case studies are for illustration only and should not be treated as precedents.