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Alex J.
Alex J., Solicitor
Category: Law
Satisfied Customers: 3932
Experience:  Solicitors 2 years plus PQE
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I am a Director of a small Claims Management company. in

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Good afternoonI am a Director of a small Claims Management company.
in Rotherham .. I have a dispute with solicitor whom I have recently ended an agreement with our company was not happy with how they did their business.. The said solicitor has billed us for an amunt of 'failed cases' We do not agree with the amount or the reasons for this. However we are willing to pay an amount which we deem fair. is there anyone i can speak with please?Thank you *****

Thank you for your question and welcome. My name is ***** ***** I will assist you. Were these costs explained to you in an engagement letter? Kind regards AJ

Customer: replied 6 months ago.
I We were aware of claw backs as we had simillar agreements before with other sols. Only a small percentage ever got unwound. With this solicitor we found them to be closing cases down at high percentage hence we eneded the agreement. We had an agreement which i gave one month notice to terminate on the 8th of February. After the months notice period had finished we owed a total of £7800 .. We did not agree with the reasons goven however we had decided we would accept it and close it down .. Since the agreement ending date passed we have recieved furtherbills for other cases. The new total is £11400.. Our agruement is that our agreement has now ceased on the 8th of March ..We are also aware that many clients had complained about the level of service recieved and a good few had cancelled for thoses reason ..not sure weather that helps us in any wayThanksNigel

Thank you. Is there any contractual basis for them to make these charges? Are the charges detailed as an hourly rate or win percentage in your agreement with the solicitors?

Customer: replied 6 months ago.
While we were in contract for several months we would be paid cases by the solicitor when due but would also have to replace failed cases for example one month we may be owed 10 cases but they would say 3 to 5 would be clawed back. It does say in agreement we would replace a case if the failed or they ( Solicitors ) cancelled if they so decided.
We did this for so long and decided it was not viable for us hence us giving one month notice back in February.
Also the agreement should that be signed by both parties at the time the agreement commences?

Thank you. It is not necessary that an agreement is signed per say, if you accept that the unsigned document is the basis of the contract. When you served notice the solicitors charged you for the cancelled cases. Do the charges relate to any time costs? Kind regards AJ

Customer: replied 6 months ago.
No not as such . It is basically saying
‘Failed cases’ I will double check
Customer: replied 6 months ago.
It just lists the failed clients namesAs we served notice which was for one month from 8 th Feb This year . Why do the said Solicitors continue to add to the list after the agreement has ended?
The worst case scenario is we will still owe the total amount . What happens if we cannot pay the full amount as the solicitor has cost us quite a lot of business and we are slowly getting going again.
The solicitor is threatening with letters etc not sure how we respond .
Thank you. If they are charging you for work they haven’t done this could be a conduct issue. As a starting point have you asked them to justify these time costs or the work done in relation to them? If they are going to insist on charging them you could complain to the SRA and Legal Ombudsman.
Customer: replied 6 months ago.
They are charging for what hey deem as failed cases for any reason. 70% of the failed cases are Solicitors error. They are adamant that we must re imburse and are threatening county court if we don’t pay by end of month. Our business has not got the cash flow to be able to pay this everygrowing unreasonable amount. That is our main worry now.

Thank you. I would write to them and make clear that the failed cases and the incurred costs are the result of their negligence. Say if they do not stop pursuing you for the money you will have no choice but to complain to the Legal Ombudsman and the SRA. Did they give you a retainer letter? Kind regards AJ

Alex J. and 2 other Law Specialists are ready to help you
Customer: replied 6 months ago.
Excellent clear advise, would highly recommend!!