Articles
LeO Revise Scheme RulesFebruary 16, 2023The Legal Ombudsman (LeO) has announced updates to its Scheme Rules, to take effect from 1 April 2023. The changes reduce the time limits in which a complainant can bring a complaint to the LeO, make changes to the Ombudsman's discretion to dismiss and discontinue complaints and various other minor changes. This article looks at what those changes are and at how they will impact upon solicitors in terms of revised complaint policies and terms of business.Read More
SRA Imposes Higher AML FinesJanuary 24, 2023The New Year has seen a growth in the number of investigations into AML processes within solicitors' firms and has produced some significant reports in the legal press regarding fines imposed by the SRA on firms failing to implement AML provisions adequately. In this article we look at some of those headline fines and discuss what firms should be doing in order to help ensure that they are AML compliant.Read More
The Problems with Beneficial OwnershipJanuary 23, 2023Confusion often arises as to who might qualify as being a beneficial owner and the degree of checking that is then required of them under anti-money laundering controls if they are identified as being such. This has become much more so since the amendments made to the Legal Sector Affinity Group AML Guidance Note (LSAG) in July 2022. In this article we look at the issues surrounding beneficial ownership and in particular how to identify beneficial owners and ultimate beneficial owners.Read More
Revised SRA Guidance on Sanctions ControlsDecember 14, 2022As many will testify, finding a client is listed on HM Treasury consolidated sanctions controls list will be one of the most frustrating compliance concerns they are likely to encounter. The SRA has recently published two revised guidance notes on this topic, "Impacts of Russia Sanctions" and "Sanctions Regime Guidance Helps Firms Stay Compliant". In this article we look at the sanctions regime and in particular at the revised guidance from the SRA and the new test for strict liability.Read More
To DBS or not to DBS? – that is the questionNovember 21, 2022An issue that often arises during AML checks where the firm has already been the subject of a monitoring inspection by the SRA is a failure to have maintained ongoing criminal records checks on relevant personnel as first became a requirement when the 2017 regulations took effect. This article looks at the need for DBS checks.Read More
Know your client – or elseNovember 18, 2022There is always the risk that the client onboarding process can be seen as being little more than a regulatory requirement of the SRA. However, the implications for firms in not checking carefully on who the client is and whether there are any issues such as lack of capacity go far wider than this.Read More
Client Interest PaymentsNovember 16, 2022The recent rise in interest rates means that many firms need to look again at the amount of interest that they are paying to clients on money held in the general client account. This article reviews the need to make a payment, what is a "fair sum" for which to account to clients and how and when clients should be advised of this.Read More
Statute Bills and the Extent of Solicitors’ DutiesOctober 24, 2022It is important for solicitors to bear in mind the key differences between statute and interim bills when billing clients and addressing issues of enforceability. This article looks at both types of bills and discusses some of the issues of which solicitors need to be aware.Read More
Transparency rules checks and client surveysSeptember 22, 2022The SRA have announced that they will, over the next few months, again be rolling out a programme of checks on firm's websites to make sure that they are complying with all aspects of the SRA's price Transparency Rules. Here we look at those plans and what they mean for firms.Read More
Revised SRA Guidance on Sexual Misconduct and Other Criminal OffencesSeptember 21, 2022In the light of an increase in the number of complaints about sexual misconduct at law firms made to it, the SRA has produced new guidance on sexual misconduct within law firms that sets out what it expects from firms and individuals and illustrates the types of behaviours that are unacceptable and may potentially lead to regulatory action. Here we look at some of the issues that arise.Read More