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Jamie-Law, Solicitor
Category: Law
Satisfied Customers: 6397
Experience:  Solicitor
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My daughter started a small business which became

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My daughter started a small business which became unprofitable and she had to winds up the business. Debts were incurred and because her solicitor had not advised (even though all correspondence stated the company name) and did not register the company name, but place everything in my daughters name , she was therefore liable and lost her flat and everything else and is still responsible for the leasing arrangements for another decade.
How can you help with legal action against the solicitor in question and what could be the costs?
Dr Sheila Owen-Jones

Hi, Thank you for your question and welcome. My name is ***** ***** I will assist you. Did your daughter ask the solicitor to register the company? How much loss has she suffered as a result? Kind regards AJ

Customer: replied 1 year ago.

Hi, Thank you. Did she instruct the solicitor to register the company? Did you get a retainer or engagement letter from the solicitor? Kind regards AJ

Customer: replied 1 year ago.
Allegation that the solicitors fail in its duty of care to advise her about the potential risks of entering into the lease in her own name rather than in the name of the business. Although all the correspondence was in the company name.
Customer: replied 1 year ago.
The fiduciary duty was owned to my daughter because the solicitors was acting in fiduciary capacity and my daughter relied on the solicitors advise.

Hi Thank you. I am afraid I will have to opt out of this question. I will see if I can find a solicitor that specializes in disputes with other solicitors. Kind regards AJ

This sounds like a potential question of professional negligence.

You claim will ultimately depend upon your daughter's instructions and the advice given.

When did this happen?

Do you have the correspondence file?

Have you raised the issue with the firm? If so what has materialised from such correspondence?

Customer: replied 1 year ago.
Can I forward you via email the letter that was sent to the solicitor and the response from their solicitor?
Customer: replied 1 year ago.
If that is not possible I will do a synopsis of the case and their response. soj
Customer: replied 1 year ago.
Awaiting response on email address for file. Problem arose in 2014.

You can forward the email via the paperclip icon

Customer: replied 1 year ago.
No, but can through an email address. Not a vast file just two letters for which I would like your opinion.
Customer: replied 1 year ago.
I have responded, soj.

Sorry but I am not permitted to liaise via private email. The only way is either to attach via paperclip or cut and paste each email into a separate message.

Customer: replied 1 year ago.
Lei E. JustAnswer Customer Care,
Has sent you my email attachments.
Good wishes, soj.

Hello, I have read the correspondence and am unable to assist. I will opt out s another expert may be able to assist you.

Hello my name is ***** ***** I will help you.

Can you attach the letters here and I will see if I can help?

Customer: replied 1 year ago.
Please ask property lawyer above to forward. soj

sadly I cant see them

Customer: replied 1 year ago.
How can I re-send the two letters to you? soj
Customer: replied 1 year ago.
Dianne, from JustAnswer has resent the papers, soj.

Yes I have these. If you have instructed Solicitors already what do you need to know?
You have already retained a firm for advice?

Customer: replied 1 year ago.
Solicitor refused to read letter without a further payment. Already paid her £4K . Thought she would have been interest in the outcome of her letter... So have sort further help, and answer what can be done! soj

Litigation is a risk, it always is. You can hVe the best case in the world and still lose.

What the insurers are saying has some merit, as with what your own solicitors have sent.

The cost of getting this to trial based on a £55k loss would be around £40,000 in legal fees and you won't get legal aid. These costs are added to the claim if you win.

But also if you lose you are liable for these and the costs of the other side.

It seems to be that it all comes down to what the instructions were. If it was just to complete the lease then this is a problem.

If it was also business advice then there is a potential claim.

Can I clairfy anything for you about this today please?

Customer: replied 1 year ago.
My daughters first communication with Judith Burton was to ask if she dealt with commercial property ie B2B. The answer was yes and my daughter chose this firm of solicitors because they had previously completed a residential conveyancing for her. My daughter explained it was a commercial property and it was stated clearly in an email to Judith Burton. At no point was my daughter asked if she was engaging Judith Burton's services for private or commercial. My daughter thought this was clear and the company was already registered at Company House on 20 th June 2012 reference 08112527. The company had not traded at this point. The correspondence trail shows that my daughter was communicating to Burton in the name of the company Scooby's Boutique. It is felt that Burton should have explain to my daughter ( this was her first business venture) the risk if she was personal guarantor. Judith Burton set out her 'Heads of Terms' which stated: 'My work in this transaction will comprise a detailed consideration and amendment of the draft lease and draft rent deposit deed for the property and consideration of the Landlord's title to it at the Land Registry' . No reference to being engaged by my daughter personally or in a business capacity. Burton over many months of communication understood that this was a commercial venture and if she had done her duty of care to her client should have pointed out the risks if she was registering the lease in my daughters name. There is a complete raft of questions and queries, but at no time was risk explained. Burton is a lazy solicitor and has not done her duty of care in the successful completion of this transaction. All of my daughter's correspondence has the company name included - yet Buton left it off in drawing up the lease. soj

Thank you. Yes I understand that. However my response remains the same.

There is a litigation risk. Even if someone says you have a 60% chance of winning (no lawyer will tell you its more) that means 4:10 people in exactly the same position will lose

I am not saying you cant bring a claim, but your legal costs will be significant.

You bring the claim, you have to prove it. The Defendant would not have to prove anything

Can I clarify anything else for you?

Jamie-Law, Solicitor
Category: Law
Satisfied Customers: 6397
Experience: Solicitor
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