Complying with Law Society Practice Rule 15

The need to provide clients with continuing costs information was illustrated in a complaint to the OSS reported in the Law Society Gazette of 6 April at page 52. The solicitors had properly and sensibly advised their client in writing that provided his divorce petition was undefended and the financial issues were negotiated and resolved without becoming protracted their fees (excluding VAT and disbursements) would not exceed £500. Four months later they submitted an interim bill for £450 profit costs; three months later they submitted a further interim bill for £400 profit costs and when four months later the client received another account showing further profit costs of £300 he transferred his instructions to another firm and complained to the OSS. Although the solicitors pointed out the proviso to their original estimate and the fact they had sent the client regular interim bills, they had failed to advise him as soon as it became clear to them that their estimate was going to be exceeded or to give the reasons why this should be and to give a revised estimate. There had been an inadequacy of service and the OSS made an order that effectively reduced the solicitors’ profit costs by £100.