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Solicitors lose £36k plus costs in client dispute

London law firm Richard Slade & Co (RS) has lost its appeal against a decision of Master Haworth who had held that it had terminated its retainer with its client without good cause or reasonable notice.



James Murray v Richard Slade & Co [2021] EWHC 3383 (QB) concerned a solicitor client dispute where RS were instructed by Mr Murray in a professional negligence claim. The outstanding fees in dispute amounted to £16,200. Additionally, RS also sought counsel's fees of £20,000.03, relating to a separate but substantial declaratory relief claim where RS had acted for Mr Murray's parents. A claim of £6,000 was made for costs.

RS relied upon a letter of complaint from Mr Murray, which was treated by them as terminating a CFA and, in their view, amounting to repudiatory breach. The Master had found that, contrary to what was asserted by RS, the CFA retainer had not been terminated and disallowed the £16,200 fees. He also awarded £21,000 costs of the preliminary issues hearing to Mr Murray.

On the second bill for counsel's fees, Master Haworth held that counsel had been instructed without the client's authority and the fee was unusual. Firstly, the fee did not include a refresher fee and secondly it exceeded the budget for the trial. This was not explained to the client.

Dismissing the appeal, Sir Andrew Nichol stated that:

'In modern times, solicitors have to accept that complaints (whether of poor service or as to fees) go with the territory of professional practice'

Afqar Dean is an expert in solicitor client disputes and legal costs. He can be contacted on 020 3633 6827

Details

Solicitors lose £36k plus costs in client dispute

London law firm Richard Slade & Co (RS) has lost its appeal against a decision of Master Haworth who had held that it had terminated its retainer with its client without good cause or reasonable notice.



James Murray v Richard Slade & Co [2021] EWHC 3383 (QB) concerned a solicitor client dispute where RS were instructed by Mr Murray in a professional negligence claim. The outstanding fees in dispute amounted to £16,200. Additionally, RS also sought counsel's fees of £20,000.03, relating to a separate but substantial declaratory relief claim where RS had acted for Mr Murray's parents. A claim of £6,000 was made for costs.

RS relied upon a letter of complaint from Mr Murray, which was treated by them as terminating a CFA and, in their view, amounting to repudiatory breach. The Master had found that, contrary to what was asserted by RS, the CFA retainer had not been terminated and disallowed the £16,200 fees. He also awarded £21,000 costs of the preliminary issues hearing to Mr Murray.

On the second bill for counsel's fees, Master Haworth held that counsel had been instructed without the client's authority and the fee was unusual. Firstly, the fee did not include a refresher fee and secondly it exceeded the budget for the trial. This was not explained to the client.

Dismissing the appeal, Sir Andrew Nichol stated that:

'In modern times, solicitors have to accept that complaints (whether of poor service or as to fees) go with the territory of professional practice'

Afqar Dean is an expert in solicitor client disputes and legal costs. He can be contacted on 020 3633 6827