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Professional – update

US firm Milbank now pays its first-year newly qualifieds £124,000 (a move that has been copied by several other US firms in London). Freshfields and Clifford Chance pay their newly qualifieds £85,000, while Linklaters pays £81,000). [2016] LSG 13 June 3. Needless to say at the other end of the spectrum, there are job ads for housing solicitors at £27,000pa.
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Solicitor’s file – who owns what?

If the client asks for ‘the file’, what do you have to hand over? The answer depends solely on the concept of ownership – you hand over documents that actually belong to the client, and retain those that belong to you.
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PII – aggregation

The CA has given relatively unhelpful guidance on the interpretation of aggregation clauses within PII minimum terms and conditions.
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Fee compromise – wide release clause

There has been a very interesting decision involving an agreement between a firm of solicitors and its former client over unpaid fees, with the terms of the compromise settlement then prohibiting the client (and associated company) from suing for negligence over the claim that was being handled. There are lessons in it for all solicitors.
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PII – disclosure obligations

The minimum terms and conditions of PII cover are being changed to bring them in line with Insurance Act 2015. The result will be a higher standard of disclosure imposed on solicitors.
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Moves – anti-poaching

The sudden loss of a profitable team can be a devastating blow to any practice. That is why most partnership agreements contain provisions designed to deter such movement. But, it can be difficult to find the right balance. Some suggestions are:
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SDT – Principle 1

There have been concerns raised about the way in which the Solicitors Disciplinary Tribunal has been interpreting Principle 1: ‘you must uphold the rule of law and the proper administration of justice’.
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Costs budgets – Precedent H

The new costs budgeting rules came into force on 6 April 2016. The most important change involves the times for filing the Precedent H form. If the claim is valued at less than £50,000, it now needs to be filed with the directions questionnaire. If the case is valued over £50,000, a Precedent H must be filed 21 days prior to the costs and case management conference (CCMC).
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Client advice – general risks

Specialist tax solicitors were sued by a client over a failed tax avoidance scheme. While their advice about the scheme was not negligent, they were negligent in failing to give a ‘general warning’ (eg that HMRC might challenge the scheme).

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Accounts rules – ‘risk’

The old list of prescribed work and test procedures to be carried out by accountants when reviewing law firm accounts has been replaced by r43.A.1, which requires accountants to exercise their ‘professional judgement’ in deciding how much work is needed.

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Page 5 of 31

Most-read articles

Court of Protection – trust deputies
Friday, 13 April 2018
How does the CoP approach an application to appoint a trust corporation as a deputy? HHJ Hilder has, in a recent CoP ruling involving 36 applicants and 11 trust corporations, analysed the law on the... Read more...
Professional – update
Friday, 13 April 2018
 A reminder that internal e-mails can result in SRA action; for a case involving sexist, racist and homophobic e-mails sent to a work colleague see [2018] LSG 12 February 2. Read more...
CFA – assignment
Friday, 13 April 2018
The introduction of LASPO in April 2013 caused problems for clients who already had CFAs, but then wanted to move to another firm. Read more...
Agent of change – new builds?
Friday, 13 April 2018
The ‘agent of change’ principle has been hotly debated in planning circles for some time. Indeed, the concept is likely to feature in the revised National Planning Policy Framework and the draft... Read more...
Withdrawing admissions – increase in value?
Friday, 13 April 2018
Suppose a defendant is faced with a low-value claim and decides to admit liability; later, it turns out that there is a significant increase in the value of the claim. At that stage, can the... Read more...
Service charges – estoppel?
Friday, 13 April 2018
Suppose service charges have been raised for many years in a way that does not properly accord with the wording of the lease; if T subsequently questions those service charges, can L argue that... Read more...
Service charges – code of practice
Friday, 13 April 2018
The RICS has published the proposed changes to its Code of Practice on service charges. The important change is that RICS members must act in accordance with eight core principles; the Code is no... Read more...
Japanese knotweed – nuisance
Friday, 13 April 2018
One of the (potentially) most important decisions last year was a humble county court case in which it was held Network Rail was liable after Japanese knotweed grew close to neighbouring terraced... Read more...
Adoption – new regulations
Friday, 13 April 2018
 A number of new provisions in relation to adoption are in force (as of 5 January 2018) under the Adoption and Care Planning (Miscellaneous Amendments) Regulations 2018. Read more...
Sickness – on holiday
Friday, 13 April 2018
 A worker who falls ill during annual leave is entitled to take that holiday leave at a later date. This is so whether the sickness commenced before, or during, the holiday. Read more...

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