Risk managementResponsibility all roundIt is not just fee-earners whose mistakes can lead to claims against your firm.

Terry was in charge of the post room of a20-partner firm.

He thought he could do the job in his sleep.

One Friday afternoon Terry was keen to leave as early as possible to get ready for what promised to be a fun weekend.

He collected all the outgoing correspondence from the firm's various departments.

Unnoticed in his rush to leave the office, Terry put all the DX correspondence into the post office bag and all the post into the DX bag.

Later the following week the partners realised that a considerable amount of DX correspondence had been returned marked 'no DX number'.

This was not surprising - all the letters bore postal addresses.

Days later letters bearing DX addresses were returned marked 'insufficient address'.

It can take quite some time for the Post Office to identify such letters and return them.

There were several claims as a result of the post clerk's error:l A cheque redeeming a mortgage was received two weeks late.

Additional interest was payable.l A notice exercising an option was not served in time.l A contract and deposit cheque, posted pursuant to an undertaking that it would be placed in the DX that evening, was not.

The cheque arrived late.Some of these claims were small, but the overall impact could have been far worse.

In addition a lot of time was spent trying to resolve the problems caused, placating clients and solicitors and launching a damage limitation exercise.

Of course, most of this had to be done by a partner, who would have preferred to spend this time earning fees.Take another example.

A client rang his solicitor to tell him that he wished to withdraw from a house purchase because his employers had just made him redundant.

Exchange was due that day.

The solicitor was busy, so a message was left with the receptionist in the following terms: 'tell him not to exchange, I've been made redundant, get him to ring me back'.'I'll pass the message to him immediately', the receptionist replied.

But she didn't.

The solicitor exchanged and rang to tell the client the good news.

A rather difficult conversation ensued.All staff have a part to play in reducing the risk of a claim and it is essential that they are involved in the risk management process.

The risks attaching to the work they do should be identified, and they should be made aware of them and of the potential consequences of failing to avoid them.

Do not assume that they will automatically appreciate the problems.

A post clerk may have no idea of the possible consequences of putting the post into the DX box.

Reception staff must understand the importance of confidentiality, of not making promises - 'I'll pass the message to him immediately' - that are not kept, and of not mistakenly describing an unadmitted member of staff as a solicitor.l This column was prepared by the St.

Paul risk management team