Is there any legal work your unregulated business can’t do for me?
Operating as an unregulated legal practice is a great fit for our clients. It means we can deliver the expertise that you need within a boutique practice without all of the costs of operating a regulated practice. However we do want to be open about the differences between our unregulated business and our regulated law firm, so there are some details on this below.
Working with our unregulated business is a great option for the type of work we carry out under our Flamingo subscription and most of the ad hoc work we do. However, occasionally our clients need us to do something that requires us to be regulated, such as representing an individual in an employment tribunal claim.
There may be occasions where we feel that you might be better off working with our regulated body and, if so, we won’t hesitate to tell you. A regulated law firm can offer additional services and protections which can sometimes be particularly important, such as:
· the handling of client money: our unregulated business cannot hold client money for you in the same way that our regulated firm does. Ordinarily, this is not a problem for our type of work. Client money held by regulated firms also benefits from possible access to the SRA compensation fund should a solicitor ever steal money from the client account (an extremely rare occurrence);
· SRA ‘minimum terms’ professional indemnity insurance cover: this significantly limits the circumstances in which an insurer can escape liability for funding claims in the event of a mistake being made and requires a minimum amount of cover of £2 million to £3 million;
· the SRA has questioned whether ‘legal professional privilege’ would apply outside of a regulated law firm. All solicitor work is confidential, including everything we do. Solicitor work could also benefit from ‘privilege’ which may not otherwise be available, which means that in some additional circumstances the client can refuse to disclose information to others. While we would argue privilege applies in these new models and believe there are good grounds for doing so, however the position is not as clear under this model as it is for regulated firms.For the type of legal work which we do, we find that our clients benefit greatly from working with our unregulated business. We can offer clients the reassurance of working with a qualified and experienced professional without incurring the full cost of a traditional law firm service.If you have any questions please contact us here.