Conservative and Liberal Democrat peers last week pledged to press for amendments to the Legal Services Bill so that the 'polluter pays' principle only applies to lawyers against whom complaints are upheld by the proposed office for legal complaints (OLC).
As currently drafted, any lawyer against whom a complaint is lodged at the OLC will be liable to pay the cost of investigation, even if it is not upheld, although there is power to reduce or waive the charge depending on the circumstances, such as a vexatious complainant.
Speaking during the latest day of committee debate over the Bill, Conservative Shadow Lord Chancellor Lord Kingsland described this as 'manifestly unfair' and contrary to the recommendations of Sir David Clementi.
Several peers supported him, including former family judge Baroness Butler-Sloss and former Tory Attorney-General Lord Lyell.
Liberal Democrat spokesman Lord Maclennan called for the presumption on making a charge to be reversed in favour of the lawyer.
Department for Constitutional Affairs minister Baroness Ashton said she would look at the provisions again - observing that she did not want to lose a vote at the report stage - but argued that they would encourage lawyers to ensure that complaints are dealt with in-house.
'One expects that most of the complaints that get as far as the OLC will have some merit; otherwise they should have been provided for in-house and resolved,' she said, adding that she did not want the OLC to be open to the criticism that it has a financial interest in upholding complaints. She insisted that the arrangements to fund the OLC - including a levy on all lawyers - were fair when taken as
a whole.
Lord Kingsland maintained that the principle was so important that it would be better for the general levy to be higher than charge innocent lawyers in individual cases.
The next committee day is on 6 March.
Neil Rose
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