At least 3,800 unregulated legal services providers operate in England and Wales, according to the CMA.
Its draft guidance, published last week, is designed to promote compliance with existing legal requirements rather than reform the law. It aims to guard against misleading or aggressive sales tactics, ensure consumers can make informed decisions, promote the use of fair terms and conditions, and ensure services are performed with reasonable care and skill.
The draft guidance includes checklists for providers and case-studies illustrating what can go wrong. Its publication follows a CMA investigation last summer into pressure-selling of pre-paid probate plans on the elderly, misleading claims regarding online divorce services and will writing. Other concerns included the loss of valuable documents if the firm ceased trading.
The CMA aims to conclude the consultation and publish a final version of the draft guidance by the end of the year.
Sarah Manuel, head of professional standards at STEP (Society of Trust and Estate Practitioners) said: ‘STEP and its members have long been concerned over the poor practices of a small number of unregulated practitioners.’
Law Society president Nick Emmerson said: ‘We share the concerns raised by the CMA about possible breaches of consumer protection law such as misleading advertising, pressure selling and coercion of vulnerable customers.’
‘Although will-writing itself is not a regulated service, consumers face potential risks when using unregulated will writers or services. This may result in writing a will that is not legally valid. When writing a will, we encourage consumers to use a solicitor.’
Respond to the ‘Draft consumer protection law compliance guidance for unregulated providers of will writing and other legal services’ by 13 June.
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