The Supreme Court today begins a two-day hearing in Haven v Gavin Edmondson Solicitors Limited which could go a long way to finish the discussion after they have been notified by solicitors with a claim over insurers who get injured parties.
From the Court of Appeal, meanwhile, City firm Mishcon de Reya is planning to challenge a judgment which left it accountable for1m losses suffered by means of a customer who bought a property from a fraudster posing as the owner.
The Haven case will be intervened at by the Law Society and has sought permission to intervene at the Mishcons case. These two are set to have insurance consequences and expenses for firms.
In Haven, solicitors who had been successful in the Court of Appeal will urge insurers settling claims directly with claimants with terms that do not provide for their agents to be compensated under the strategy that is portal to be stopped by judges.
The Law Society said: ‘We are currently asking the Supreme Court to affirm that the lien can be applied to guard solicitors’ rights in litigation that was contemporary; particularly at regimes in which the principle does not apply.’
Since the High Court ruled the solicitors were best positioned to take the burden of fraud, even where they had been neither negligent nor unethical the Dreamvar v Mishcon de Reya judgment last year set off alarms throughout the legal profession.
Joe Egan, Law Society president, said: ‘we do not think they should bear the reduction Where an attorney has completed his or her duties in compliance with those requirements.’ The case is set to be heard later this month.