header-logo header-logo

29 July 2011 / Dominic Regan
Issue: 7476 / Categories: Opinion , Costs
printer mail-detail

To ban or not to ban?

Dominic Regan wades into the debate over referral fees

“I recommend that the payment of referral fees for personal injury claims be banned” (The final Jackson report, p 206). The payment of referral fees is “anti-competitive, a violation of privacy and a cartel against the consumer” (The Times, 27 June 2011).

During the 18 months between publication of these two statements a great deal happened and it appeared that referral fees would survive. It ain’t necessarily so.

I was told by a very senior civil servant in July 2010 that the new administration, while bent on drastic costs reform, was relaxed about referral fees. If solicitors wanted to spend their cash on buying work to do then let them.

Disappointment

May 2011 saw the publication of the Legal Services Board’s decision document on referral fees, referral arrangements and fee sharing. I was not alone in finding the report a disappointment. One of the largest insurers in the country

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