Ethics Notes
Unit 1: Introduction to SRA Principles and codes, obtaining instructions and
standard of service
Chapter 1: Ethics and Regulation
Introduction - ‘Professional conduct’- describes the rules and regulations with which a
solicitor must comply
Ethics - ‘The commitment to behaving ethically is at the heart of what it means to
be a solicitor’ – ‘Ethics in Law’, The Law Society
- Ethics- system which governs how people behave but not synonymous with
legal
- Breaking the law will often constitute unethical conduct
- Solicitors are subject to additional ethical obligations
- Law Society (Solicitors Regulation Authority) v Emeana and others [2013],
Lord justice Moses- ‘society expects something more from solicitors or that
solicitors are expected to adopt higher standards of ethical behavior
- Ethical principles may apply differently e.g not under duty to report
confidential info
- Clients must have total confidence in solicitor behaving ethically
- Focus is on consequences of behavior- ethical approach is the one that
produces the best outcome (least harm)- cores standards but also flexibility
and personal judgement
- Solicitors’ Regulation Authority- ‘As well as making sure solicitors are
competent, we want to promote a culture where ethical values and
behaviors are embedded’
The Solicitors - SRA regulates solicitors, the codes in which they operate and all those
Regulation working within those bodies
Authority - Produce and enforce rules governing how solicitors behave and conduct
their business- SRA Standards and Regulations
- Take action against those that don’t comply
- SRA principles- fundamental requirements of ethical behaviour and
underpin the Standards and Regulations
- The SRA Code of Conduct for Solicitors, RELs and RFLs (‘Code of Conduct
for Solicitors)- standard of professionalism from the individuals (solicitors,
registered European Lawyers and registered foreign lawyers) authorized by
the SRA to give legal services
- Personally accountable for compliance with the Code and should exercise
their own judgement and take role into consideration
- The SRA Code of Conduct for Firms- standards and business controls
expected of firms (including sole practices) authorized by the SRA to
provide legal services. Failure to meet standards may lead to regulatory
action against the body, managers, compliance officers or employees.
Many of the rules in the Code of Conduct for Solicitors are incorporated
into the Code of conduct for Firms (Both collectively known as the Code of
Conduct
- The SRA Accounts Rules- specific requirements placed on solicitors in
financial matters
,Ethics Notes
- The SRA Glossary- contains all the defined terms from the Codes, Rules and
Regulations
- Sometimes SRA will issue Guidance to supplement the SRA Standards and
Regulations
- Not every breach is investigated- focused on seriousness
- SRA Standards and Regulations are underpinned by the SRA enforcement
Strategy- explains how the SRA assesses the seriousness of the conduct and
the approach it takes towards the imposing of sanctions
- SRA is separate from The Law society
- Law Society- representative body for solicitors in England and Wales
Complaints - The code of Conduct for Solicitors- specific requirements for complaint
handling
- Paragraph 8.2- a solicitor must either establish and maintain, or participate
in, a procedure for handling complaints in relation to the legal services they
provide
- Paragraph 8.3- a solicitor must ensure that clients are informed in writing
at the time of engagement about:
- A) the right to complain about S’s services and charges
- B) how complaints may be made and to whom
- C) any right they have to make a complaint to the Legal Ombudsman and
when
- Under SRA transparency rules- certain info about complaint procedure
must be published on a firm’s website or available on request if no website
- Dissatisfied client should use firm’s own procedure before formal action
- If not resolved within 8 weeks, S must ensure (Paragraph 8.4) that C is
informed in writing:
- A) any right to complain to LeO, timefame and full details
- B) if a complaint has been brought and the complaints procedure
exhausted
- I) S cannot settle the complaint
- Ii) name and website of alternative dispute resolution (ADR) approved body
that would be competent to deal with the complaint
- Iii) whether S agrees to use the scheme operated by that body
- The Chartered Trading Standards- approved a number of ADR entities
- Paragraph 8.5- Client’s complaints must be dealt with promptly, fairly and
free of charge
The Legal - ‘LeO’ deals with complaints made against solicitors, barristers, legal execs,
Ombudsman licensed conveyancers, notaries and patent attorneys etc.
- First point of contact when client has complaint about solicitor, client does
not have to suffer any loss
- The Scheme Rules- only particular clients can complain to LeO e.g.
individuals, micro-enterprises, charities, clubs and associations with an
annual income net of tax of less than 1 million, PR’s and B’s of a person’s
estate
- Complaint must relate to an act/omission of S and service they provided
- Can use the LeO if complaint not resolved to satisfaction within 8 weeks,
exceptional reasons to complain sooner or breakdown in relationship
,Ethics Notes
between S and C
- Complaint should be brought no later than one year from act/omission or
when C should have known there was cause for complaint (Leo has
discretion to extend time limits)
- If investigation is necessary- both parties given opportunity to make
representations, hearing is only held when complaint cannot be made fairly
without one. Determination is then made, C accepts, rejects or failed to
respond and S and SRA notified
- LeO’s determination may direct S to:
o A) Apologise
o B) Pay compensation (w/ interest) for loss
suffered/inconvenience/distress
o C) Ensure and pay for the putting right of any error or omission
o (d) take (and pay for) any specified action in the interests of the
complainant;
o (e) pay a specified amount for the costs of the complainant in
pursuing the complaint;
o (f) limit the solicitor’s fees (including requiring that all or part of any
amount paid is refunded, with or without interest, or that all or part
of the fees are remitted).
- If C accepts determination- binding on the parties and final and no legal
proceedings allowed after. May be enforced through the High court or
country court by the C and the report may also be published
- LeO may refer legal question to court if necessary to resolve dispute
- If LeO receives complaint of professional misconduct they will inform the
sra
Breach of - Mainly breaches of SRA’s Principles and/or the codes of conduct
professional - Paragraph 1.3- obligation to perform undertakings
misconduct Role of the SRA
- Professional conduct complaints dealt with by the SRA- decide whether to
carry out an investigation- three step Assessment Threshold Test:
- 1) potential breach of SRA Standards and Regulations?
- 2) serious enough for regulatory action?
- 3) is the breach capable of proof?
- Notice will be given to individual/firm and employer (where relevant) and
invite them to respond with written recommendations within a specified
time period
- Have the power under s 44B Solicitors Act 1974 to serve a notice on a
solicitor requiring delivery of file’s in S’s possession to the SRA
- Paragraph 7.4- obligation to respond promptly to the SRA and provide info
and docs in response to any such request
- The more serious the misconduct, the more severe the sanction
- Approach set out in SRA Enforcement strategy- may impose sanctions
(discipline the individual) or controls (protect the public)
- Examples of actions which may be taken:
1) Take no further action with or without issuing advice or a warning
about future conduct (minor regulatory breach
, Ethics Notes
2) Impose a financial penalty or written rebuke (max penalty is
$25,0000, $750 for a first breach and $1,500 for a continuation)
3) Control how the solicitor practices (impose conditions on or
suspend S’s practicing certificate, revoke or suspend terms and
conditions of authorisation of a firm)
4) Refer the matter to the Solicitors Disciplinary Tribunal- when own
powers are not sufficient to deal with the matter (SRA’s fining
powers increased to $25,000, referrals usually reserved for sexual
misconduct and misappropriation of client money)
- Decisions can be made in agreement with SRA and individual
- SRA make their regulatory decisions public
The Solicitors - Hears and determines applications about bad conduct and breaches
Disciplinary - Most applications made on behalf of the SRA
Tribunal - Except where the Solicitor’s Act 1974 provides otherwise – any person can
make a complaint without going through SRA first
- Independent of Law Society and SRA
- Members appointed by the Mater of the Rolls
Procedure
- Power to make rules governing its procedure and practice made with
concurrence of the master of the Rolls
- SRA has panel of solicitors in private practice who execute applications
before the SDT on its behalf, SRA’s advocates will usually present the case
before the STD
- The STD does not investigate or collect evidence. Applications must be
submitted In the prescribed form with supporting evidence
- If the SDT finds a case to answer, it sets a hearing date. Both parties may be
represented by solicitors or counsel, and evidence is given under oath.
- SDT decisions are issued as "Judgments" and "Orders." The Order is made
available at the hearing's conclusion and takes effect once filed with the
Law Society. A full written Judgment is published within seven weeks and
made available to the parties, the Law Society and on the SDT website.
- Rare direct applications to the SDT may be referred to the SRA for
investigation. If substantiated, the SRA can take over the case or deal with
it using its powers.
Powers of the SDT
- Under Section 47 Solicitors act 1947- SDT can:
a) Strike off or restore a solicitor on the roll
b) Suspend a solicitor or impose practice restrictions
c) Can impose unlimited fines, payable to HM Treasury
d) Issue reprimands to solicitors
e) Can order payment of costs or contributions towards costs
- Appeals from SDT decisions go to Administrative Court
Powers of the - A solicitor, as an officer of the court, can be disciplined by the court
court regarding costs in matters before it.
- The court may order the solicitor to pay costs to their own client or to a
third party (Civil Procedure Rules, rr 44 and 45)
Unit 1: Introduction to SRA Principles and codes, obtaining instructions and
standard of service
Chapter 1: Ethics and Regulation
Introduction - ‘Professional conduct’- describes the rules and regulations with which a
solicitor must comply
Ethics - ‘The commitment to behaving ethically is at the heart of what it means to
be a solicitor’ – ‘Ethics in Law’, The Law Society
- Ethics- system which governs how people behave but not synonymous with
legal
- Breaking the law will often constitute unethical conduct
- Solicitors are subject to additional ethical obligations
- Law Society (Solicitors Regulation Authority) v Emeana and others [2013],
Lord justice Moses- ‘society expects something more from solicitors or that
solicitors are expected to adopt higher standards of ethical behavior
- Ethical principles may apply differently e.g not under duty to report
confidential info
- Clients must have total confidence in solicitor behaving ethically
- Focus is on consequences of behavior- ethical approach is the one that
produces the best outcome (least harm)- cores standards but also flexibility
and personal judgement
- Solicitors’ Regulation Authority- ‘As well as making sure solicitors are
competent, we want to promote a culture where ethical values and
behaviors are embedded’
The Solicitors - SRA regulates solicitors, the codes in which they operate and all those
Regulation working within those bodies
Authority - Produce and enforce rules governing how solicitors behave and conduct
their business- SRA Standards and Regulations
- Take action against those that don’t comply
- SRA principles- fundamental requirements of ethical behaviour and
underpin the Standards and Regulations
- The SRA Code of Conduct for Solicitors, RELs and RFLs (‘Code of Conduct
for Solicitors)- standard of professionalism from the individuals (solicitors,
registered European Lawyers and registered foreign lawyers) authorized by
the SRA to give legal services
- Personally accountable for compliance with the Code and should exercise
their own judgement and take role into consideration
- The SRA Code of Conduct for Firms- standards and business controls
expected of firms (including sole practices) authorized by the SRA to
provide legal services. Failure to meet standards may lead to regulatory
action against the body, managers, compliance officers or employees.
Many of the rules in the Code of Conduct for Solicitors are incorporated
into the Code of conduct for Firms (Both collectively known as the Code of
Conduct
- The SRA Accounts Rules- specific requirements placed on solicitors in
financial matters
,Ethics Notes
- The SRA Glossary- contains all the defined terms from the Codes, Rules and
Regulations
- Sometimes SRA will issue Guidance to supplement the SRA Standards and
Regulations
- Not every breach is investigated- focused on seriousness
- SRA Standards and Regulations are underpinned by the SRA enforcement
Strategy- explains how the SRA assesses the seriousness of the conduct and
the approach it takes towards the imposing of sanctions
- SRA is separate from The Law society
- Law Society- representative body for solicitors in England and Wales
Complaints - The code of Conduct for Solicitors- specific requirements for complaint
handling
- Paragraph 8.2- a solicitor must either establish and maintain, or participate
in, a procedure for handling complaints in relation to the legal services they
provide
- Paragraph 8.3- a solicitor must ensure that clients are informed in writing
at the time of engagement about:
- A) the right to complain about S’s services and charges
- B) how complaints may be made and to whom
- C) any right they have to make a complaint to the Legal Ombudsman and
when
- Under SRA transparency rules- certain info about complaint procedure
must be published on a firm’s website or available on request if no website
- Dissatisfied client should use firm’s own procedure before formal action
- If not resolved within 8 weeks, S must ensure (Paragraph 8.4) that C is
informed in writing:
- A) any right to complain to LeO, timefame and full details
- B) if a complaint has been brought and the complaints procedure
exhausted
- I) S cannot settle the complaint
- Ii) name and website of alternative dispute resolution (ADR) approved body
that would be competent to deal with the complaint
- Iii) whether S agrees to use the scheme operated by that body
- The Chartered Trading Standards- approved a number of ADR entities
- Paragraph 8.5- Client’s complaints must be dealt with promptly, fairly and
free of charge
The Legal - ‘LeO’ deals with complaints made against solicitors, barristers, legal execs,
Ombudsman licensed conveyancers, notaries and patent attorneys etc.
- First point of contact when client has complaint about solicitor, client does
not have to suffer any loss
- The Scheme Rules- only particular clients can complain to LeO e.g.
individuals, micro-enterprises, charities, clubs and associations with an
annual income net of tax of less than 1 million, PR’s and B’s of a person’s
estate
- Complaint must relate to an act/omission of S and service they provided
- Can use the LeO if complaint not resolved to satisfaction within 8 weeks,
exceptional reasons to complain sooner or breakdown in relationship
,Ethics Notes
between S and C
- Complaint should be brought no later than one year from act/omission or
when C should have known there was cause for complaint (Leo has
discretion to extend time limits)
- If investigation is necessary- both parties given opportunity to make
representations, hearing is only held when complaint cannot be made fairly
without one. Determination is then made, C accepts, rejects or failed to
respond and S and SRA notified
- LeO’s determination may direct S to:
o A) Apologise
o B) Pay compensation (w/ interest) for loss
suffered/inconvenience/distress
o C) Ensure and pay for the putting right of any error or omission
o (d) take (and pay for) any specified action in the interests of the
complainant;
o (e) pay a specified amount for the costs of the complainant in
pursuing the complaint;
o (f) limit the solicitor’s fees (including requiring that all or part of any
amount paid is refunded, with or without interest, or that all or part
of the fees are remitted).
- If C accepts determination- binding on the parties and final and no legal
proceedings allowed after. May be enforced through the High court or
country court by the C and the report may also be published
- LeO may refer legal question to court if necessary to resolve dispute
- If LeO receives complaint of professional misconduct they will inform the
sra
Breach of - Mainly breaches of SRA’s Principles and/or the codes of conduct
professional - Paragraph 1.3- obligation to perform undertakings
misconduct Role of the SRA
- Professional conduct complaints dealt with by the SRA- decide whether to
carry out an investigation- three step Assessment Threshold Test:
- 1) potential breach of SRA Standards and Regulations?
- 2) serious enough for regulatory action?
- 3) is the breach capable of proof?
- Notice will be given to individual/firm and employer (where relevant) and
invite them to respond with written recommendations within a specified
time period
- Have the power under s 44B Solicitors Act 1974 to serve a notice on a
solicitor requiring delivery of file’s in S’s possession to the SRA
- Paragraph 7.4- obligation to respond promptly to the SRA and provide info
and docs in response to any such request
- The more serious the misconduct, the more severe the sanction
- Approach set out in SRA Enforcement strategy- may impose sanctions
(discipline the individual) or controls (protect the public)
- Examples of actions which may be taken:
1) Take no further action with or without issuing advice or a warning
about future conduct (minor regulatory breach
, Ethics Notes
2) Impose a financial penalty or written rebuke (max penalty is
$25,0000, $750 for a first breach and $1,500 for a continuation)
3) Control how the solicitor practices (impose conditions on or
suspend S’s practicing certificate, revoke or suspend terms and
conditions of authorisation of a firm)
4) Refer the matter to the Solicitors Disciplinary Tribunal- when own
powers are not sufficient to deal with the matter (SRA’s fining
powers increased to $25,000, referrals usually reserved for sexual
misconduct and misappropriation of client money)
- Decisions can be made in agreement with SRA and individual
- SRA make their regulatory decisions public
The Solicitors - Hears and determines applications about bad conduct and breaches
Disciplinary - Most applications made on behalf of the SRA
Tribunal - Except where the Solicitor’s Act 1974 provides otherwise – any person can
make a complaint without going through SRA first
- Independent of Law Society and SRA
- Members appointed by the Mater of the Rolls
Procedure
- Power to make rules governing its procedure and practice made with
concurrence of the master of the Rolls
- SRA has panel of solicitors in private practice who execute applications
before the SDT on its behalf, SRA’s advocates will usually present the case
before the STD
- The STD does not investigate or collect evidence. Applications must be
submitted In the prescribed form with supporting evidence
- If the SDT finds a case to answer, it sets a hearing date. Both parties may be
represented by solicitors or counsel, and evidence is given under oath.
- SDT decisions are issued as "Judgments" and "Orders." The Order is made
available at the hearing's conclusion and takes effect once filed with the
Law Society. A full written Judgment is published within seven weeks and
made available to the parties, the Law Society and on the SDT website.
- Rare direct applications to the SDT may be referred to the SRA for
investigation. If substantiated, the SRA can take over the case or deal with
it using its powers.
Powers of the SDT
- Under Section 47 Solicitors act 1947- SDT can:
a) Strike off or restore a solicitor on the roll
b) Suspend a solicitor or impose practice restrictions
c) Can impose unlimited fines, payable to HM Treasury
d) Issue reprimands to solicitors
e) Can order payment of costs or contributions towards costs
- Appeals from SDT decisions go to Administrative Court
Powers of the - A solicitor, as an officer of the court, can be disciplined by the court
court regarding costs in matters before it.
- The court may order the solicitor to pay costs to their own client or to a
third party (Civil Procedure Rules, rr 44 and 45)
