header-logo header-logo

10 August 2012 / Michael Cook
Issue: 7526 / Categories: Features , Costs
printer mail-detail

Arcane pricing & practices

Michael Cook confronts the ghost of hourly billing

Adam Sampson, the Legal Ombudsman, wrote in The Guardian that for too long lawyers have got away with “arcane pricing and billing practices” (“Lawyers beware: your clients are rebelling”, 6 March 2012). He continued: “Protected by their social status, political power and deliberately obfuscatory language, lawyers have hitherto been able to ignore the notion of customer service…Nowhere is the battle between the traditional view of client and customer more marked than in the notion of pricing…Law firms who seem incapable of working on a fixed costs model for individual clients appear far more willing to do so for insurers and the Legal Services Commission.”

According to the Master of the Rolls, Lord Neuberger, addressing the Association of Costs Lawyers on 11 May: “Hourly billing at best leads to inefficient practices, at worst it rewards and incentivises inefficiency. Moreover, it undermines effective competition in the provision of legal services, as it ‘penalises...well run legal business whose systems

If you are not a subscriber, subscribe now to read this content
If you are already a subscriber sign in
...or Register for two weeks' free access to subscriber content

MOVERS & SHAKERS

NLJ Career Profile: Hugo Plowman, Mishcon de Reya

NLJ Career Profile: Hugo Plowman, Mishcon de Reya

From global fraud cases to fishing off-grid, Mishcon de Reya’s chair of dispute resolution Hugo Plowman discusses mentors, management switching off

Maguire Family Law—Jennifer Hudec, Ciara Florey, Alice Ferguson & Ruth Wynn

Maguire Family Law—Jennifer Hudec, Ciara Florey, Alice Ferguson & Ruth Wynn

Maguire Family Law announces partner promotion and new hires amid a record year for enquiries

Switalskis—Rebecca Parry & Hannah Gamble

Switalskis—Rebecca Parry & Hannah Gamble

Switalskis wills and probate team extends reach with two appointments

NEWS
Restrictions on workplace non-disclosure agreements could make settlements slower, more complex and more expensive when reforms expected in 2027 take effect
Private prosecutors face closer scrutiny under Crown Prosecution Service guidance designed to strengthen accountability and consistency when intervention is requested
Foreign states cannot necessarily claim immunity for cyber operations launched abroad against computers in Britain, following a divided Supreme Court ruling
Defendants who make unsupported complaints about their lawyers risk losing legal aid while confiscation proceedings continue without representation
Lawyers advising Russian clients face different sanctions restrictions across the UK, EU and US, despite their shared objective of increasing pressure on Russia
back-to-top-scroll