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Litigation Letter

CFA Regulations revoked

In an attempt to simplify and clarify conditional fee agreements, make them more transparent and to discourage satellite litigation arising out of alleged breaches of the Regulations the government has resorted to the draconian solution of abolishing them and focusing solicitors’ client care and contractual responsibilities in the Law Society’s Professional Conduct Rules and client care and costs information code. The Conditional Fee Agreements Regulations 2000 (SI 2000 No 692) and the Collective Conditional Fee Agreements Regulations 2000 (SI 2000 No 2988) will be revoked on 1 November and contemporaneously replaced by a new Law Society Code of Conduct for client relations which has been published only in draft. The Access to Justice (Membership Organisation) Regulations 2000 (SI 2000 No 693) will be revoked and replaced by the simpler Access to Justice (Membership Organisation) Regulations 2005 (SI 2005 No 2306). The primary powers permitting and governing CFAs will continue to be in s27 of the Access to Justice Act 1999. The consequential changes to the CPR have not yet been made.

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