Terms of Business

1.   Advice and action

Further to our recent discussion about your claim, I confirm that, given the circumstances in which the injuries were sustained, I consider that compensation should be sought from [enter opponent name]  (whom I shall describe as ‘the Opponent’).

I should also confirm, at the outset, that any court action seeking compensation should normally be commenced before the third anniversary of the breach of contract (although in a claim arising out of injuries suffered, the court may, in certain circumstances, extend this time limit).

I shall keep you advised as to the best course of action as your claim progresses. In the meantime, I need to provide some further details.

2.   People responsible for your work

(1)      I have principal responsibility for dealing with this matter for you, on a day-to-day basis. My name is Mark Gough, I am the Senior Partner.

(2)      Once the matter is under way I will keep in touch with you, usually by letter, as it progresses.

(3)      The address for any letters you wish to send me is Jones Gough LLP, Unit 5, The National Trading Estate, Bramhall Moor Lane, Hazel Grove, Stockport, Cheshire, SK7 5AA and the reference is [enter reference]. It is helpful if you can quote this reference when writing or calling.

(4)      The telephone number is 0845 373 2585. Because of my commitments, both in and out of the office during the day, it may not be possible for me to take your call immediately, however, if you leave a message, I will return your call as soon as I am able.

(5)      My e-mail address is [enter fee earner reference]. However, I would not propose to use e-mail for routine correspondence, unless you tell me you would prefer this, and any e-mails that are sent will not be encrypted.

We try to avoid changing the people dealing with your claim, but if it should seem appropriate at any stage for the matter to be referred, to another member of the team, I will explain why that is suggested and arrange for an introduction.

To help us keep in touch, please let me know as soon as possible if you change your address or telephone number so that we can keep our records up to date. We would welcome hearing from you, with any change of address, even when the matter is finished, as that will ensure we can continue to send you information about the firm in the future which we hope will continue to be of interest.

I hope this is all the information you need to ensure we are able to keep in touch with each other during this matter and in the future.

3.   Further help

During the case it may be helpful to get some assistance from outside the firm. In particular:

(1)      it is usually helpful to involve experts who can advise on, and help deal with, certain aspects of the case; and

(2)      it may become appropriate to instruct Counsel (a barrister) to advise or to represent you.

I will let you know if it seems appropriate to seek this further assistance and let you have details of who is involved. Usually, any advice from these sources will be given in writing, though a meeting may be arranged if appropriate.

4.   Charges, expenses and funding

It is important to let you have details, at the outset, of how costs are incurred; how those costs may be funded; any liability that might arise to pay the costs of the Opponent; and any measures that can be taken to offer protection against liability to pay the costs of the Opponent.

Please note that we are not authorised by the Financial Services Authority. However, we are included on the register maintained by the Financial Services Authority, so that, we can carry on insurance mediation activity, which is broadly the advising on, selling and administration of insurance contracts. This part of our business, including arrangements for complaints or redress if something goes wrong, is regulated by the Law Society. The register can be accessed via the Financial Services Website at www.fsa.gov.uk/register.

Charging rates

The firm’s charges are based on the time spent dealing with the case.

That charge will depend upon the experience and qualifications of the handler. The hourly rate is dependant on qualifications and experience:

(a)  Partners and all fee earners with more than 8 years experience £213.00

(b) Qualified Solicitors and Legal Executives with four years or more post qualification experience £163.00

(c)  Newly qualified Solicitors £121.00

(d)  Trainee Solicitors £100.00

As a [enter fee earner description] my charge out rate will be £[enter fee earner rate] per hour for all time, calculated in units of 1/10 of an hour that we are engaged on the case. The hourly rate will be reviewed on the first of January each year. You will be advised, in writing, of any increased rate from the review date.

VAT will be added to the charge at the rate that applies when the work is done. At present VAT is 20%.

The firm will also be entitled to claim for the cost of payments made to other people involved in the case, such as experts and Counsel, as well as any court fees paid.

We aim to give the best possible value for money, although we will always spend the time necessary to deal properly with your case. Your co-operation in helping, wherever possible, to save time spent on the matter and so keep costs to a minimum will always be appreciated. In particular, if you can let us have any information requested as soon as possible, that will help both to speed up the case and save costs.

Estimate

It is estimated, based on the time likely to be spent dealing with the first stage of work in this matter, that charges and expenses would be between £3,500.00 and £8,000.00. (This estimate is not intended to be fixed.) You would be informed if it appears the estimate will be exceeded.

5.   Documents

It is important that you keep safe all documents, which in any way relate to this claim.

For present purposes, the term ‘documents’ includes anything recorded, whether in permanent or semi-permanent form, such as letters, contracts, receipts, diaries, computer records, photographs, videos, and anything else of that kind.

Whilst I do not need to see all of those documents at this stage, such documents may have to be produced in court proceedings, and a duty is owed to the court to ensure the documents are preserved in case they should be required. Similarly, any documents you subsequently obtain which relate to the matter should also be kept.

Also, if you have any other property connected with the matter in any way, you should preserve that property until the case is concluded.

After completing the work, the firm is entitled to keep all papers and documents while there is money owing for charges and expenses. The firm keeps papers (except for any papers you ask to be returned to you) for no more than 6 years and keeps the file on the understanding that the firm has authority to destroy it after 6 years from the date of the final bill, although documents you ask to deposit in safe custody will not, of course, be destroyed.

If it becomes necessary to retrieve papers or documents from storage in relation to continuing or new instructions to act on your behalf the firm would not normally charge for such retrieval. However, the firm will make a charge, based on time spent producing stored papers or documents to you or to another person at your request, in other circumstances. The firm may also charge for reading correspondence or other work necessary to comply with instructions given by you or on your behalf in this connection.

6.   Termination

You will see that the conditions applicable to a conditional fee agreement provide for termination and its consequences.

I can end the agreement if I no longer think it likely that you will win the case or if you do not keep to your responsibilities as set out in the conditions.

You can end the agreement at any time.

It is particularly important to note that if you end the agreement, or I end the agreement because you have not kept to your responsibilities, you would then be responsible to pay costs, under that agreement, whether or not the matter had then reached a successful conclusion.

7.   Communication and suggestions

We are confident of providing a high quality service.

We do, of course, welcome any suggestions you might wish to make which you think could help to improve our service.

If, at any time, you are not happy with the service you are receiving from the firm, please let us know. You are valued by us and I should like the opportunity to put matters right if any problems do arise. In the first instance, please contact me and I will do what I can to resolve the problem promptly. If, however, I am not able to resolve the problem to your satisfaction you should then contact Mark Gough, Senior Partner, who is responsible for the firm’s complaints procedure.

Please note that an agreement has been reached between ourselves and the company who introduced you to us, whereby an introducers fee will be paid by ourselves to them on conclusion of the claim. Please note that this fee will not be deducted from any compensation that you receive.

8.   What happens next?

Having already received the signed conditional fee agreements, I note that you wish me to act on your behalf and as previously explained, I have taken the necessary steps.

Please could you return the authority forwarded with this letter, ensuring the appropriate box is ticked. I shall be further grateful if you would sign and date, in the space provided. I can then be sure you understand, and are happy with, the basis on which the firm will act for you.

As this letter is an important document, please keep it in a safe place for future reference.

I do hope that this letter usefully confirms the advice given and action agreed upon, as well as dealing with any immediate queries about the day-to-day handling of the matter and the firm’s terms of business.