Legal Fees

[ReformedCharacter]

My mother appointed a firm of solicitors as executor of her estate. They were appallingly slow, unhelpful and of course very expensive. But what can be done? After all, the 'customer' is dead. The feeling of being over a barrel is not pleasant.

RC

[Clitheroekid]

My mother appointed a firm of solicitors as executor of her estate. They were appallingly slow, unhelpful and of course very expensive. But what can be done? After all, the 'customer' is dead. The feeling of being over a barrel is not pleasant.

It's by no means the case that nothing can be done. Increasingly these days the view is that if there are no compelling reasons for the firm to act against the wishes of the beneficiaries then they should renounce probate and retire gracefully.

This is an article explaining a solicitor's obligations in this situation in more detail - https://communities.lawsociety.org.uk/a ... 52.article

But a firm that insists on acting when there's really no justification for it is taking a high risk. One firm that did so ended up being removed as executor by the court and having to pay £25k in costs - https://www.birketts.co.uk/insights/leg ... -step-down

[brightncheerful]

As you (may) know i am a commercial property surveyor specialist. Depending upon the nature of the task, my fees/charges range from a fixed amount to a percentage to an incentive fee (subject to a fixed minimum) to time-based. The fee basis is agreed at the outset, I stick to it regardless.

Time-based fees or rather the total bill based on t/b fees i find the hardest to justify. I do not want to have to work faster /smarter just to.ensure that the client does not feel being overcharged. As i like to take my time, particularly where a matter involves a great deal of thought and research, I tend to estimate how long rather than keep a meter running. Talking with some colleagues recently they were flabbergasted at how low my fees are compared to what 'the market' charges. On the other hand, many clients have used my services regularly for more than 40 years.

Some time ago, liaising with a client's solicitor on the procedure for collecting rent payable quarterly it was necessary for a notice to be served in conjunction with each demand, The solicitor became indisposed so I took on the task of serving the notice. About 3 years later when the matter was completed i billed the client, as did the solicitor. Finding that the solicitor's costs were substantially higher than my fees even though I had done most of the work the client refused to pay the solicitor. the solicitor got annoyed with me for 'under-charging'.

Currently I am acting for a tenant on a lease renewal. The client didn't have a solicitor so asked me to recommend a firm which I've done. The procedure enables the end date in the landlord's notice to be extended by agreement. The first time the end date was extended the client's solicitor charged £750 plus VAT. At the second time the solicitor wanted to charge the same again but I told the client £750 was excessive and I would do the job for nothing. In this particular matter, extending has become a norm and each time I have not charged: so far the client has 'saved' more than £2000 plus VAT in legal costs.

It is not only legal costs that can mount up disproportionately; at rent review disputes to arbitration or independent expert (depending upon what is stipulated in the lease) the going rate for third party surveyor fees is at least £250 an hour and generally between £300 and £500 an hour plus VAT and disbursements, depending upon the seniority of the person appointed. The difficulty for many landlords and tenants is not only coming to terms with the fact that the third party is entitled to charge from the date of appointment regardless of whether the person has done anything but also that the same hourly rate is applicable to admin such as posting a letter, sending an email and time spent travelling. Fortunately many surveyors remember that professional integrity should not go out of the window when money is at stake.

A quote, credited to Jonathan Swift, (I have not been able to verify): "the law was invented by lawyers as a source of revenue. Seen in that light it begins to make sense."

[scrumpyjack]

Also there is generally a huge difference between the hourly rate of a London solicitor and a non London one (easily double in my experience). So if you have to employ a solicitor don't use a London firm if you can possibly avoid it.

[didds]

One lawyer told me that the minimum charge for their time was 15 minutes. So if they rang you and left a 15 second voice message, or sent you a text or email, then that was billed at 15 minutes. Which I can easily imagine is 50 quid or more, plus VAT of course..

40+ y4ears ago I worked in a local accountantcy foim dureing uni holidays. This is exactly how the partner was charged out.

We would start at 0900, and morning coffee was at 1030 and we'd all meet up over it. Many mornings over coffee the partner would say he had already billed out his full day's hours.


didds