What aisle are the lawyers on mate? – ‘Tesco law’ open for business…

October 7, 2011/0 Comments/in , , , /by

(Photo: Alamy)

 

Is it a good thing that banks and supermarkets are to be able to sell consumer legal services in England and Wales for the first time following a change in the law?

 

Is it a good thing that bailed out banks and greedy discount retailers can get their hands on law firms…or any new business for that matter?

 

Is it a good thing that large institutions with financial muscle and their own agendas will be able to exert influence on a previously independent and regulated sector?  

 

The man from the government (Mr. Djanogly) he say yes…

 

However, we are not so sure he has the first clue about what he is talking about and we are absolutely certain he is not thinking about protecting the legal rights of the ordinary citizen.  

 

The government says the new Legal Services Act will offer more choice and better value for the public and claims that law firms will benefit from investment and allow them to explore new markets.

 

Now, putting the old jokes aside for a minute, we think there are enough lawyers out there to provide consumers with a choice. It’s not as if people are struggling to find a solicitor, is it?.

 

With choice comes value for money. As anyone with an ‘ounce of nous’ knows, when there are a lot of service providers, consumers do well. When the number of providers falls, as it will do if ‘supermarket law’ consolidates legal services under the one brightly lit stainless steel roof, consumers get a worse deal, a much worse deal. 

 

The government says the change would encourage economic growth in the industry and raise the profile of the UK as a first-class legal services market. Hmmm…we thought the UK was already a first class legal services market.

 

Justice Minister Jonathan Djanogly said it was a “landmark day” for the legal industry.

 

(That’s true, if you define landmark as ‘charter for profiteering at the public’s expense.’ )

 

“Our legal services are already rated among the best in the world, used by millions of people around the globe as well as in the UK, and these changes will set them up to move to new heights. They will enable firms to set up multi-disciplinary practices and provide opportunities for growth,” he said.

 

Eh? What? How??

 

“Potential customers will find legal services become more accessible, more efficient and more competitive.” Ye gods. The asylum keys have indeed been handed to the inmates 

 

Under new trading bodies, known as Alternative Business Structures (ABS), lawyers will be able to work in mixed-practices offering financial, legal and other advice, or be based at different kinds of businesses. Well we simply just don’t see a surge of demand from the profession for this new ‘freedom.’ 

 

The government believes that legislation and regulation has restricted the management, ownership and financing of firms providing legal services for hundreds of years. Well, duh? The regulation of the legal profession is the single most effective guarantee that ensures professional standards and ethical conduct for all consumers.

 

Do you think that the burning access to justice issue for the consumer is the financing of legal services?  We don’t either.

 

We echo the comments of Clive Sutton, of the Solicitors Sole Practitioners Group, urged the government to reconsider the “untried and untested innovation” which he said had only previously been adopted by two states in Australia.

 

He said: “The government seem unconcerned that the introduction of Alternative Business Structures puts at risk the independence of legal advice, via the profit interests of commercial owners.”

 

Despite the title Tesco Law, the supermarket has said it has “no current plans to offer legal services”. But the Co-operative was among the first stores to say it was interested in offering a legal business.

 

Similar legislation was passed in Scotland in October 2010 when MSPs at Holyrood backed its Legal Services Bill.

 

You can comment below or record your opinion on our facebook page – http://facebook.com/bonnarandcompanysolicitors

Claiming compensation for personal injury. Myth v Reality -Take 2

October 5, 2011/0 Comments/in , , , /by

Another insurance industry ‘compensation culture’ myth.

 

 

Myth  

 

Most people who claim compensation for personal injury are just looking for a source of extra money in a recession – they should just ‘grin and bear it.’  For people read ‘the undeserving injured…’ 

 

 

Reality  

 

The key issue for the injured person and their family is whether they can afford not to seek damages, particularly if they are unable to continue working or have to change jobs as a result of their accident.

 

In any event, the amount of money awarded is far from being a ‘lottery’ win. In the UK damages in personal injury cases are based on very precise calculations, refined over many years, which reflect the extent of the injury and the earning capacity of the victim.

 

The process is designed with one aim in mind – to put the injured party back to where they were before the accident. Thus a twisted ankle claim will not attract a multi-million pound sum, whereas a brain-injured survivor of a road traffic accident might well receive a very large sum of money to pay for a lifetime of medical care.

 

Insurance companies know this very well and they are not about to sanction overly generous compensation claim payouts under any circumstances. The idea that hurt and injured people are scamming the system and receiving ‘over the odds’ payouts is absolutely ludicrous – but that doesn’t stop The Daily Mail reporting it as fact…

 

We welcome your thoughts on the ‘compensation culture’ and would like to know if you agree with us that the vast majority of accident compensation claims in the UK are made by trustworthy people seeking justice and fairness for themselves and their families.

Claiming compensation for personal injury – Myth v Reality

October 5, 2011/0 Comments/in , , , /by

There has been a lot of recent press coverage aimed at perpetuating the myth of a compensation culture. Much of this PR effort has been orchestrated by the insurance industry and swallowed ‘hook, link and sinker’ by the government .

 

We would like to redress the balance and provide a reasoned argument in support of the right of hurt and injured people to seek fair compensation.

 

    

Myth 

 

We live in a compensation culture where people sue at the drop of a hat for even the most trivial injuries.

 

Reality

  

In order to make a successful claim for personal injury compensation an accident victim has to prove that they have been hurt or injured. Unless the evidence supports the claim the case has no chance of success, ever, period. Spurious damages claims may grab the headlines but they will never see the light of day in court. Anyone can claim compensation but it’s the follow-through that counts and the papers never report on the half-baked claims that never succeed.

 

We are only concerned here about real people who have suffered real injuries.

 

The fact is that many people still don’t realise that they have a right to claim compensation if they have been hurt or injured in an accident that wasn’t their fault.

 

We know from research carried out by the Citizens Advice Bureau that over 60% of people entitled to make a claim for compensation fail to do so. From our own experience, we find that many people who go on to become clients of the firm are unsure about making a claim for a variety of reasons. It’s our job to help accident victims and their families understand their rights and guide them through the legal process.

 

We understand that some people are affected by the myth of a ‘compensation culture’ and may be concerned about what family, friends and even collagues at work will think if they make a claim.

 

For instance, passengers injured in a car driven by a family member or a friend can become distressed by the very thought of seeking damages and workers can be unwilling to claim against their employers for fear of reprisals or victimisation.

 

The reality is that hurt and injured people have a hard enough challenge coming to terms with the effects of their accident without having to deal with the added and unnecessary stress of worrying about paying their bills and coping with their rehabilitation. 

 

We would like to know what you think about the ‘compensaton culture’. We believe that accident victims are coming under increased pressure not to claim compensation and that many are being bullied into accepting low-value, unfair offers from insurance companies. Do you agree?

Hidden scandal of UK businesses who fail to pay for Employers’ Liability Insurance

October 3, 2011/0 Comments/in , , , , /by

The former landlords of a Lancashire pub were finally convicted last week after they failed to buy insurance to protect their employees. Stephen and Karen Martin were prosecuted by the Health and Safety Executive (HSE) after they employed staff at the Hinds Head pub in Charnock Richard without purchasing the legally required Employers’ Liability Compulsory Insurance.

 

As the pair did not buy any insurance, they had no means of paying their employees any compensation they could be awarded in the event of them falling ill or suffering an injury at work. Despite being warned by HSE inspectors on several occasions between September 2010 and February 2011, the couple failed to address the issue.

 

Speaking after the hearing, HSE investigating inspector Shellie Bee said:

 

‘Employers’ Liability Compulsory Insurance is a legal requirement and not an optional extra. Because Stephen and Karen Martin cut corners to save money, they were putting their employees in a position where they could have potentially suffered a life changing illness or injury at work and had no recourse to any kind of compensation. Despite being given ample opportunity to correct this problem over a period of months, they chose to ignore the advice they were given by HSE so we had no choice but to prosecute.’

 

In the current economic climate the temptation for businesses to save money by cutting back on worker safety is a worrying trend and one which we feel must be strongly guarded against.

 

Instead of berating hurt and injured people for having the temerity to claim compensation for accidents at work, the government should focus on the hidden scandal of rogue businesses, large and small, that fail in their legal duty to pay for Employers’ Liability Compulsory Insurance – the clue, after all is in the title.

 

The UK media is quick to highlight fraudlent accident compensation claims and the mythical ‘compensation culture’  but rather less enthusisatic to turn the spotlight on law-breaking companies…

 

Bonnar & Company is preparing a dossier on this issue and we would welcome your thoughts.

Marks & Spencer fined £1 million over asbestos risk

September 29, 2011/0 Comments/in , , , , /by

High Street giants Marks & Spencer suffered a spectacular fall from grace on Tuesday when the company was fined £1 million for putting customers and staff at risk of exposure to asbestos in its Reading store.

The company was also ordered to pay costs of £600,000 at the sentencing hearing at Bournemouth Crown Court. Contractors working on the refurbishment of the Broad Street store were also handed fines of £100,000 and £50,000 for breaches of Health & Safety Regulations.  

Despite government pronouncements that retail environments are inherently safe and that industry needs only a ‘light touch’ approach when assessing risks to health and safety, these serious shortcomings on the part of a highly respected UK business suggest that the opposite is true.

If a household name like Marks & Spencer can fall foul of health & safety legislation we should be very concerned about lapses in standards across the country, especially in the current economic climate when the temptation exists to save money by cutting corners on worker and public safety.

Construction workers continue to be at high risk of serious injury or death and we echo the comments made by Richard Boland, the Health & Safety Executive’s (HSE) Southern head of operations for construction who said:

“This outcome should act as a wake up call that any refurbishment programmes involving asbestos-containing materials must be properly resourced, both in terms of time and money – no matter what.”

Bonnar & Company Solicitors specialises in accident and work and industrial disease compensation claims. Call us free on 0800 163 978 for impartial expert legal advice.