Abaddon's musings

Commoditisation -v- the old-fashioned "family solicitor"

2011-01-16T11:36:00.000Z

In The Private Patient, the author - P D James - several times includes an assumption that "people of means" will have a permanent solicitor - a family solicitor - who knows their background and previous dealings, and can give a broad range of advice and information.

While this used to be the case - and is a useful means for fictional detectives to find out all about the victim's business - it is becoming less and less true these days. More likely, people choose their lawyer on a task-by-task basis, selecting him or her for particularly relevant skills or specialisation. This is understandable: "horses for courses", as the saying goes

In these times, how is one to choose a good lawyer, accountant, surveyor, etc? I suggest, by personal recommendation - from a family member, friend or other professional adviser (eg: ask your conveyancer to recommend a surveyor; ask your accountant to recommend a commercial lawyer)

Indeed, if you have used one lawyer who specialises in a particular field, they are likely to be ideally placed to recommend you to a lawyer for another type of work. Instead of the lawyer in a large firm feeling obliged to recommend you to colleagues in the same firm, a sole practitioner who specialises in one field, will have no reason to do other than recommend you to the best lawyer available for another type of work, whether they are part of a larger firm or another sole practitioner - as long as the referrer is confident of his or her own value to you in their specialist field

A word of warning: one area where this does not work well is where the referrer is paid by the referree: then they do have a vested interest and their recommendation, while it may still be good, is inevitably slightly tainted. Indeed, some estate agents require their staff to refer buyers and sellers to conveyancers that pay referral fees, whether or not that referral is in the best interests of the buyer or the seller or the transaction as a whole

Unfair to pigeons!

2011-01-09T18:05:00.000Z

There was an item on TV over the weekend (a comedy quiz, I believe) that mocked pigeons for being "superstitious" - for doing again the things they had been doing before when they were rewarded with food, etc

Though they were compared to superstitious sportsmen, and the like, who insisted on wearing their "lucky jockstrap" for a match, or similar, in fact all the pigeons were doing was learning from experience, and doing again what they had previously done and been rewarded for.

Bearing in mind how many humans keep doing what they have always done but expect a different result, or the number who are religious or superstitious or believe in astrology, it ill behoves us to mock mere pigeons who have - they believe - learnt the path to true happiness and plenty of seeds

Lawyers are rubbish ...

2011-01-09T11:09:00.000Z

... well, too many of them are, anyway.

We often wonder why we get so many irrelevant or unnecessary additional enquiries from buyers' conveyancers (including solicitors).

In the last couple of weeks, the answer has dawned on us: not only have they not read the paperwork we already sent them - they don't care. They want us to answer their own standard questions; they then copy them and our replies to the buyer and say, "Sign here". They have no interest at all in investigating or advising; they are (sorry) crap: charging for acting as lawyers, but in fact only acting as a copier and mail forwarder with no input or added value - some new clients who instructed us last week confirmed this to us: the conveyancers who "acted" when they bought the property simply sent the search result, replies to enquiries, etc, to the clients, telling them to read it all through and sign the contract if they were happy. They did not even bother to check the replies to enquiries to ensure they were (a) complete and (b) not self-contradictory

This week, I received 14 pages of "additional enquiries": all except 3 were answered by the papers we had already sent. The three extras were:
• "Does the the seller own the telephone?" (WHAT?!)
• "Is the building structurally sound?" (Ask a surveyor)
• "When was the house built?" (1920s we think, based on what the agents' particulars said, but we cannot see why it is significant in this case).

OK, it is a relatively minor irritation, but it puts us and our clients to unnecessary work. The really galling thing is that I bet the buyer's solicitor will hardly look at the replies: he will either simply copy them to his own client to wade through (at lest then the buyer will see his solicitor is rubbish) or quietly file and forget them

Bah! Humbug!

Adding value

2011-01-05T16:48:00.000Z

I am told by those who know more about this sort of thing than I do - marketing people, mainly - that the "value dimensions" of a business depend on it displaying one or more of the following -

product leadership
operational excellence
customer intimacy

True or not, it provides food for thought

Product leadership

Hmm ... that's a difficult one for lawyers, dependent as they are on implementing, rather than making, law. However, we do our best - for instance, our advice regarding preventing property theft (ask for a copy in the comments section, if interested) and our guarantee of satisfaction

Operational excellence

Within the constraints of the current conveyancing process, we think we are as efficient and speedy as possible, without doing "make work" to appear busy. In addition, we constantly fine-tune our procedures to improve them - and welcome constructive suggestions for further improvements

Customer intimacy

This, I think, is where we are very different from other firms. Unlike "normal" solicitors, who try to minimise contact with clients, estate agents, etc, we actively encourage visits - without insisting on prior appointments - and telephone calls.

To be fair, without an appointment, a visitor is unlikely to see me (or my assistant solicitor), but they will be seen by Samantha Hayes (my conveyancing manager) or Anne Browne (office/conveyancing manager). In all likelihood, Sam or Anne will be able to deal with any procedural or incidental points; any legal issues would be relayed to a lawyer for attention. Similarly with telephone calls: Sam and Anne will know the up-to-date position on any of the residential conveyancing transactions and can update clients and agents as appropriate

We thinks this gives us an almost-unique approachability - until other firms adopt a similar idea, of course

Suggestions welcome

If you can suggest any other "value dimensions" or ways of improving them, please add as comments below

9 ways to choose a lawyer

2011-01-02T08:50:00.000Z

Some thoughts on how to choose who should handle your legal work for you - mainly focused on residential conveyancing, but of relevance to other fields as well:

1. Listen to personal recommendations: If you are moving home, speak to friends and family who have moved home recently. If you have a commercial transaction or need other business-related legal help, speak to your accountant. If you are seeking a divorce lawyer, speak to someone who has been though the ordeal. Who would they recommend you use - or recommend you avoid?

2. Don’t be bullied into a particular choice. In residential transactions, many corporate estate agents are incentivised to refer to particular firms in order to be paid referral fees - sometimes, their staff are disciplined if they do not make successful referrals. However, this is benefiting only the agent, not the buyer or the seller. Indeed, where a buyer is referred to an inefficient firm for a referral fee, the agent is not acting in his client's (the seller's) interests at all - the agent has allowed his own interests to prevent him fulfilling his duty to his own client. If an agent suggests using a particular firm, ask, "Why?" then "Do you get a referral fee if we use them?" Similarly, in other legal work, you have the right to choose your own lawyer on the basis of what suits you best.

3. Buy local, where you can. For a house move, it is probably sensible to use someone local to your destination: a genuinely local conveyancer will know so much more about your area than a so called “national” firm, simply as a result of being involved in their local community. For other legal work, choose a firm local to you - either at home or at work - so that it is convenient to meet when necessary - this is particularly important for family work, where face-to-face discussions minimise the stress and complexity of what is an already over-stressful time

4. Let's talk!   Linked to this is the question of communication: how and how often do you want to be contacted with progress or non-progress reports? Inevitably, some legal work takes longer than other work, and a daily report of "No response yet" in a court action or negotiation would be over the top, but you might well want a weekly email report. Or you might want instead to be copied in on correspondence, so that you can see what is happening. In a matter with clearly defined milestones - exchange of contracts and completion in a house move, for instance - you might want a phone call to confirm the position, or you may prefer a text, with more detailed information to follow, if needed. Make sure that the lawyer you plan to choose will (within reason) fit in with the way you want to communicate

5. Do online research. Searching for “Conveyancing Tenterden”, for instance, will throw up various conveyancers who are - or pretend to be - in the relevant area. Visit their websites; check that they are, indeed, where they claim to be, and get a feel for how they work and what they offer. The same applies to other fields of law. It is usually the case that lawyers who are genuinely good in their chosen field(s) will make a lot of relevant information available for free on their websites. Be wary of those who claim expertise but fail to demonstrate it

6. Back up that research by phoning - better still, visiting - the firm(s) you have in mind. You can find out a lot about how approachable and client-focussed a firm is by asking a few relevant questions over the phone - still more by how you are treated on an unannounced visit to their office. If they treat you as a nuisance (or worse), you have been warned!

7. Don't choose minimum cost, but maximum value. If you are not sure you can tell the difference, rely on item 1 above: those who have experienced the process can tell you whether they found the service they received good or bad value for money. As a poorer alternative, check to see if the firm you are considering publishes testimonials from satisfied clients - and, ideally, offers a guarantee of satisfaction

8. Talking of cost ...   The work you want done may be suitable for an agreed fixed fee, instead of being charged on the basis of the time spent by the lawyer - there is always the suspicion that this rewards inefficiency. In effect, most residential conveyancers charge a fixed fee, in that they should not exceed their original estimate without clearing it with you - but watch out for hidden extras: get confirmation that the estimated fee covers all the expected work, and that you will not be charged extra for (say) completing a transaction less than two weeks after exchange of contracts, as some conveyancers do

9 Choose a small firm. I am biased, but I feel that most larger firms treat individual clients as of relatively low value, on the basis that there are plenty of other fish in the sea: the loss of one or two clients will not seriously impact on them. A small firm - or sole practitioner - knows he or she must cherish every client; not only are those clients of relatively higher individual value, but they will talk about their experience: see item 1 above. Further, the staff in a small firm will be more of a family or group of friends than in a large firm, where they are "personnel" or "human resources"; a small firm is therefore likely to be friendlier - amongst themselves and towords outsiders (We keep a supply of biscuits for our postmen ...)   Finally, it is such a struggle for a small firm to fight its way through the regulatory and other processes designed by large organisations with large organisations in mind and no experience of being part of a small organisation, that the small guys must have a very good reason for not joining a big firm and letting it take the strain - that reason is enthusiasm: they tend to love what they do and constanty strive to excel at it.

Never sign without reading

2011-01-01T11:31:00.003Z

Everyone knows, I hope, how important it is to read - and understand - documents before signing them: once signed, they are legally binding on you, and consumer protection legislation will only come to the rescue of the foolhardy in very limited situations.

This applies to all sorts of documents: contracts, terms of business, even letters and, of course, Wills

It therefore surprises me to find clients turning up to sign their Wills (or other documents) without bringing their reading glasses with them. OK, they have normally seen Wills, etc, in draft form already and - presumably - have read them then; also, they can ask us to read the document over to them, which we will happily do.

Even so, I feel a little queasy at the thought of someone signing a Will without having read it through there and then, just before signing. We prefer to lend them a pair of glasses from a member of staff, if we have a suitable pair - mine won't do for reading as they are to correct my short-sightedness - and on one occasion I had to send a client home to get his reading glasses, as none was available for loan; he was not very happy!

To avoid this problem in future, we have bought a selection of cheap reading glasses to lend to forgetful clients, so the days of someone trying to insist on signing a document they cannot read ("It's all right: I trust you"!) should be over

Who are our competitors - and which worry us?

2010-12-30T12:48:00.003Z

As "High Street" solicitors, who tend to handle local work for local people, it might be thought that our main competitors are other, similar "High Street" solicitors - I think not

Although there is competition between us and other local firms, we do not see them as an existential threat (oooh! Big words!) On the whole, they tend to have the same philosophy of business as us: do a good job, at a reasonable price, resulting in a satisfied client and a good reputation and more referral business.

To date, a bigger threat has come from those firms, big and small, that indulge in cut-price conveyancing: always ready to undercut the competition - after all, it must be better to discount by (another) £50 and get the work than not, right? Wrong! Cut price conveyancing is bad for everyone involved - even those paying full price further up or down the chain of transactions - as it leads to a "stack it high and sell it cheap" approach, which quickly becomes de-personalised (commoditised) and inefficient. A similar problem results from conveyancers who pay referral fees to buy in work - but that's for another blogpost.

However, a bigger threat still is nearly upon us: "Alternative Business Structures" in the jargoin of the regulators and, especially, non-lawyers being allowed to do conveyancing work for profit. The real threat - to existing practices - is that some big organisations - insurers, "service commoditisers", mortgage lenders, etc, will offer conveyancing services. Not only will they be the ultimate in "pile it high and sell it cheap" but they will have the resources to put in place systems that will far outstrip even the "warehouse conveyancers" of today.

Worst of all, many of them - mortgage lenders are the obvious example - will be able in effect to offer the conveyancing for free: either bundling the cost in with the overall mortgage loan or treating it as a loss leader to get and retain the lending business - and the associated financial services, where lots of money can be made.

How to compete? Well, trying to beat them at their own game will not work, as I simply do not have the financial resources. In order to compete, I need to sell my services to clients on the basis of value for money - not cheapness; genuine efficiency - not artificial busy-ness; local, useful knowledge - not a tick-box approach; and genuine approachability - not slick advertising.

That is why I -

offer a money-back guarantee
constantly update my office procedures and support IT
am closely involved in my local community
encourage clients to drop in to my office, without appointments, to speak to my conveyancing managers about anything that concerns them: if it is a legal issue, it will be referred to a lawyer, but for procedural or incidental queries, my managers are well able to cope

Free e-books and audio books

2010-12-29T10:28:00.004Z

My sources for free e-books and audiobooks are -

Project Gutenberg:

Google E-bookstore

Internet Archive

Open Library

Many Books

LibriVox (audiobooks)

Can anyone suggest any more?

PS: I omitted one of my favourites: Memoware

New conveyancing protocol

2010-12-22T16:59:00.004Z

According to Clutton Cox, they were one of only 12 firms to respond to the consultation by the Law Society on its new conveyancing protocol: http://goo.gl/uhpYh

As I also responded, that means only 10 others throughout the country did - what a disappointment

What is also disappointing is that the Law Society has not included in the scheme a requirement for member firms to (for instance) adopt the Law Society's Code for Completion by Post - and a lot do not seem to know what the Code says, but decline to adopt it anyway - nor to update their repetitive raft of property information forms so as to produce a single, well-drafted form for clients to complete

Instead, they are duplicating some of the supervisory functions of the Solicitors Regulation Authority and concentrating on telling lenders, insurers and anyone that will listen that a good conveyancer should be part of the scheme - despite the fact that it is only open to solicitors, not licensed conveyancers. Presumably this is to get lenders and insurers to insist on firms joining if they are to be on lenders' panels and get insurance cover, thus ensuring jobs for those at the Law Society with no improvement in efficiency or protection for the benefit of clients

Ahhh! What it is to be so cynical!

Turmoil for the legal profession

2010-12-21T10:13:00.003Z

The legal profession is undergoing a period of change and review more far-reaching than anything it has experienced before. The following consultations (which will lead to change) and already decided changes are under way (thanks to Rob Hailstone of the Bold Group for drawing all this together) -

SRA Consultations: The new SRA Handbook: This consultation is the last opportunity for comments on the SRA's new Handbook which will underpin the regulation of solicitors and law firms from October 2011. This paper provides more detail on the regulatory framework for both traditional law firms and Alternative Business Structures. Ends - 13 January 2011

Future Client Financial Protection arrangements: Comments are invited on proposals for amendments to client financial protection arrangements from October 2011. These proposals follow on from the independent review of the current client financial protection arrangements undertaken for us by Charles River Associates. Ends - 28 February 2011

Sole Practice: Modernising Authorisation: The proposal is to bring the process for authorising sole practitioner law firms in line with the way in which all other firms will be authorised. Ends—8 March 2011

Legal Services Board Consultations: Referral fees, referral arrangements and fee sharing: Ends – 22nd December 2010

ABS (Alternative Business Structures for providing legal services) consultation - Further rules regarding licensed bodies: Ends - 21st February 2011

Ministry of Justice PII: Proposals for the Reform of Legal Aid in England and Wales: This consultation seeks views on proposals for reform of legal aid in England and Wales. One option is to use client account interest to help bolster the Legal Aid Fund. Ends – 14th February 2011

The Law Society PII Guide: The fourth edition of Insurance Matters, a free bulletin on solicitors' professional indemnity insurance (PII), can be downloaded: http://www.lawsociety.org.uk/new/documents/2010/insurancematters4.pdf - It includes articles on the outcome of the 2010 renewal process, conveyancing fraud, and risk management.

Changes to the CML Lenders' Handbook
The Council of Mortgage Lenders updated the Lenders' Handbook on 1 December: The changes affecting solicitors include:
• new requirements where the solicitor acting for the lender is not familiar with the seller's solicitors
• lenders can stipulate whether they require notification of the name and address of the sellers
http://www.cml.org.uk/cml/handbook/amendments

Lawyers need to be ready for this future. Whether it is an improvement remains to be seen

Deep and crisp and even

2010-12-02T08:48:00.003Z

I cannot let the snowfall pass without at least one blog

There was plenty of snow overnight, resulting in a good 5 or 6 inches on the ground this morning. Though the side roads have been ploughed overnight, I do not expect any of my staff who drive to work to get in. That leaves Anne (my wife and office manager) and me, who both walk to work, to staff the office today.

That's not a problem: with no post or Document Exchange deliveries (it's the snow, you know), we are only dealing with phone calls and emails - and catching up on "back office" stuff such as planning my new website - details soon - and revising my terms of business

However, I was a tad upset when Anne commented, "It's lucky we can walk to work" - It's not luck: we planned for this; it's why we moved office from Cranbrook to Tenterden: so we do not have to use the car daily and so we can walk to work!

I love it when a plan comes together - but I'm looking forward to things getting back to normal

A word of warning

2010-12-01T21:28:00.003Z

Negotiating on legal fees - a word of warning.

For the lawyer, the actual fees are only a small part of the relationship. More important, usually, is the lawyer's perception of the value the client places on his or her services. If the lawyer feels undervalued, they will be demotivated and therefore less efficient.

Don't negotiate resentment into the relationship!

Quality standards?

2010-11-21T12:10:00.004Z

Research by the Consumer Panel - which advises the Legal Services Board, the regulator of lawyers - finds that "consumers assume all lawyers are technically competent and are subject to more regulatory controls than is the case. This means that quality considerations do not strongly influence consumers' choice of lawyers and people erroneously consider that all legal services are of proven standard."

Apparently, despite a proliferation of quality badges for lawyers, consumers do not use or want quality marks in legal services.

The LSB's reaction to this seems to be to propose yet another layer of regulation for an already heavily regulated sector.

Seems to me it would be better to educate the public that all lawyers are *not* the same - some are better than others, and it is better to make a choice based on experience or a genuine informed recommendation - rather than taking up the referral from the estate agent who is paid by the lawyer to make that referral

Still, I know I am a voice crying in the wilderness. Why on earth should a regulatory body resist the urge to gather more work to itself? It makes one wonder, though ...

Another HomeMove forum query

2010-06-08T13:47:00.001+01:00

In case it is of general interest, here is another query, and my reply, on the homemove.co.uk legal forum

The query:

Please help! conversion of house to flats and existing mortgage lender rules

Hello,

I'm tied in for 2 years into existing 230k mortgage on a house valued at 500k. Repayment penalty of 5%. That I've come to terms with.

I am getting planning permission to make into two flats to sell flat 1 and live in flat 2. Flat 1 worth 280k on sale and flat 2 worth 350k.

Therefore I pay off my mortgage or keep or take out a small one. I have a loan from my parents for the conversion.

Problem is I've found out I should tell my mortgage company. It says any building work have to tell. When should I and Will they say no? Presumably on making a lease the mortgage company finds out anyway on release of title deeds. I won't have the capital to pay off existing loan till sale and also very wary of idea of bridging loan at high interest rates.

Worried if I go ahead and build then the mortgage company might cause me problems. Is there any negotiation I can do? When I speak to my conveyancing solicitor what should he do? He suggested writing to my company but I'm worried it'll write off my plans completely.

The whole idea is on sale of the flat I'll pay off mortgage anyway and already face a big redemption penalty anyway. They will make 10k from me on redemption penalty.

What do I do? Any advice???

Please help.

My reply:

There are two aspects here -

1: It is likely that, if the lender does agree to you carrying out the work, it will convert your loan to a commercial (higher) interest rate and may charge an arrangement fee and re-valuation fee; it really depends on the lender

2: The lender will be worried at the risk that, partway through the conversion, you run out of money and leave the job incomplete, devaluing the property as a whole - that is the usual reason for a blank refusal. The lender is more likely to agree to the project if you can demonstrate that you have planned and costed it professionally and that the work will be supervised properly. You will need inspections under the Building Regulations anyway. I suggest that, rather than get the local council to do these inspections, you employ an "approved inspector" to oversee the project as a whole as well as dealing with the Building Regs inspections.

Before you do anything, though, try to speak to someone sufficiently high up at your lender's to explain your plans and find out whether they might agree and, if they migght, what information, paperwork, etc, they want to be able to consider it properly

Online advice

2010-06-04T09:00:00.002+01:00

I contribute to an online advice forum at http://www.homemove.co.uk

A query that (to me, at least) was quite interesting cropped up today, regarding a breach of a restrictive covenant.

The query itself was:
"We purchased a converted barn 2 years ago and the developer (who also lived next door) suggested that we get a garden room extension when I said I wouldn't buy it as I wanted more room! We decided to do just that and got the necessary planning permission but have uncovered in the past few weeks that there is a restrictive covenant on the property for 5 years. Unfortunately, the developer has since moved away leaving no forwarding addresses (as we believe she is in debt) however she was the one to initally mention the extension PLUS she phoned to congratulate us on getting the permission AND she even wanted to quote for the business! Our solicitor made it out that it would be best to try to contact her which we have done via her solicitor. We know she has the letter but has not bothered to respond either way! She is reknowned for her lack of business acumen! We have just been told by our solicitor that we cannot even get an indemnity now because (we did what we were originally told was the "right thing") we have made contact with her. Is there anyway out of this mess? Surely, we must have recourse in some way that she cannot simply abstain from an answer? And given that we have verbal confirmation from her, can we rely on anything here? It would be greatly appreciated if anyone can help!! Thanks."

My reply was:
"I assume that it is the developer who has the benefit of the restrictive covenant, and the problem you have is that you are now trying to sell the property and the buyer is seeking evidence of compliance with the covenant in the form of a consent/release from the developer

"If so, I suggest you make a "statutory declaration", detailing exactly what happened, and detailiung the various ways in which the developer encouraged you to build the extension, knew of it and did not object and has failed to respond to correspondence.

"The point is that a court will not enforce a restrictive covenant if the person entitled to enforce it has connived in its breach, nor if they have simply sat back and done nothing in the knowledge that it is about to be or has been breached - the person with the benefit of the right musdt act reasonable promptly to enforce it - this is under the equitable doctrine of "laches" - the Wikipedia entery on this is very useful: Laches (equity) - Wikipedia, the free encyclopedia

"A sufficiently clear statutory declaration should be sufficient comfort to a buyer to enable them to proceed despite the apparent breach of covenant"

Whether my suggested solution will succeed or not, I cannot say, but at least it offers somed light at the end of the tunnel

Let us Tentertain you

2010-06-02T15:59:00.002+01:00

Tentertainment is back! On Friday (evening) 2 July plus (all day) Saturday 3 and Sunday 4 July at the recreation ground in Tenterden, Kent (TN30)

It's Tenterden's free festival weekend with (new this year) a jazz orchestra on the Friday evening

Full details at www.tentertainment.org

We was wrong!

2010-05-20T14:04:00.001+01:00

Despite earlier confident predictions, Home Information Packs have been suspended with immediate effect - see here

Home Information Packs - the latest

2010-05-15T10:22:00.005+01:00

Thanks to Rob Hailstone of the Bold Group for this:

What is the Current Position?

HIPs have not been scrapped by the Election result. The law still requires a HIP to be in place to market a property. The penalties for non-compliance still apply.

Grant Shapps (the new Housing Minister), has said he will not condone non-compliance by Estate Agents who fail to order HIPs

Grant Shapps has committed to a full industry consultation before scrapping HIPs

The Coalition Agreement refers to scrapping HIPs in the Environment section suggesting more consideration has been given to this topic

Unless a suspension order for the scrapping of HIPs is announced HIPs will remain in place for the foreseeable future. Legislation to adapt or replace them will take some time to pass in Parliament

What Happens Next?

* The new Parliament will be sworn in next week from 18th May. The first Queen’s Speech setting out the initial legislative programme is expected to be held on 25th May. An Emergency Budget will be presented to the House in the first 50 days of the new Parliament and debates on its contents will dominate the initial period before the Summer recess

* The first parliamentary session will run from the end of May to November 2011 (which is the date of the next Queen’s Speech). This means that the Coalition Government has a longer time than normal to get legislation through the Houses of Parliament. This will allow a larger volume of legislation to be passed, particularly as there is a Parliamentary convention that the Lords will not oppose legislation based on a Manifesto Commitment. Ministers are likely to exploit these two factors to pass the complicated and potentially controversial legislation they believe to be necessary.

* We are unlikely to get significantly more detail on how the pledge to scrap HIPs will be taken forward when the Queen’s Speech is published – if indeed it does form part of the initial legislative package. The Speech itself is often little more than a statement of intent and many of the Bills listed in it may not be published until after the summer recess.

* The Conservatives have pledged a consultation on transition and any successive legal framework. It is unlikely that this will be reversed, especially as David Cameron and Nick Clegg have pledged to restore the public’s faith in politicians.

* The pledge on HIPs is unsurprising – it was a commitment delivered in both Parties’ Election Manifestos. The Agreement provides no additional detail on how this will be achieved or delivered. The inclusion of it in the Environment section rather than under deregulation is perhaps significant. It suggests that there is an understanding that scrapping HIPs cannot be undertaken in isolation. It has also been decoupled from the Great Repeal Bill – which has already been flagged as being a very early Bill to be introduced to Parliament ahead of the summer recess.

* The Conservatives have pledged a consultation on transition and any successive legal framework. As David Cameron and Nick Clegg have pledged to restore the public’s trust in politicians it would be a breach of faith if this was reversed.

Rob Hailstone
The Bold Group
www.theboldgroup.co.uk

Home Information Packs - again

2010-05-07T14:34:00.002+01:00

With the Conservatives and Liberal Democrats "promising" to abolish HIPs, it may instead be worth considering whether they can be improved to make them good value for money.

The recurrent problem we are experiencing at present is the delay in getting searches. We get sent a lot of incomplete HIPs, then have to keep checking to see whether searches are added. This seems to be because of the same old problem: selling down to a price, rather than up to a standard, and getting personal searches (as cheaper) rather than official ones. To my mind, this makes no sense: on the one hand, people get what they pay for and a cheap personal search is likely to be full of errors and omissions; on the other hand, most official searches are (a) speedy - speedier than cheap personal ones, certainly - and usually not very expensive. On the rare occasions we get asked to prepare a HIP, we always recommend official searches, in an effort to make them as exchange-ready as possible

On a related aspect, many properties have more than one registered title, yet this seems to astonish amateurish HIP providers - I was having great difficulty explaining to one such earlier this week that my client's access and courtyard was in a different title to the house and, yes, both titles were essential

The single best thing that could be done to improve HIPs would be to require them to include a draft contract (omitting the price and buyer's details, of course) and a full property details questionnaire. This would make them virtually exchange-ready and would have the extra benefit of removing the need for the sale statement and the almost-useless property information questionnaire.

This will not happen yet, of course, as it would mean only solicitors and licensed conveyancers could prepare the contract part, though this should change next year, and there will never be agreement on what the PDQ should contain - unless the government actually thinks it worthwhile consulting the people who know: property professionals

Terms and conditions appy

2010-04-18T14:33:00.000+01:00

Sometimes, it can be very difficult to get clients to cooperate in their own interests. This dialogue from 'The Girl Who Kicked The Hornets' Nest' by Stieg Larsson sets out the very basics:

Lawyer: "Here are my conditions. I agree to represent you. When I need to get hold of you I want you to answer. When I need to know what you want me to do, I want clear answers. If I call you and tell you that you have to [do something], then I have already decided that it is necessary. You will have to [do it] and not make a fuss about it. Can you live with that?"
Client: "I can"
Lawyer: "And if you start playing up, I stop being your lawyer. Understood?"

It's basic stuff, but all too many clients just don't get it

- Justin (Nelson)

Another client testimonial

2010-04-18T12:49:00.002+01:00

From a genuine (and genuinely happy) client:
"Many thanks for all your excellent work and professionalism, we both are grateful, having the confidence in you at all times, knowing that we would always receive accurate,honest and thoughtful advice. I'm certain we will be using your services in the future in whatever circumstances may occur. I just wish that banks worked to your standards."

Even disappointed clients are happy!

2010-04-08T15:30:00.002+01:00

Even though their house sale fell through because their buyer's conveyancer insisted, wrongly, that the legal title was defective, our clients have been very complimentary about our service, saying -

"I just wanted to say a very special thank you to both you and Justin for the professional service and genuine support and understanding you have given us over the past months. Having not moved for 25 years, and no real need to instruct solicitors over that time, you made the process clear and provided outstanding service to us. Despite the outcome, which was clearly out of everyones hands, you never gave up and that was greatly appreciated. I would have no hesitation in recommending your services, you do a wonderful job and conduct a very professional business."

It is nice to be appreciated!

Test via Facebook

2010-03-29T21:03:00.001+01:00

something

Love thy neighbour?

2010-03-29T19:45:00.002+01:00

For all the legal and physical investigations a homebuyer can do, nothing beats checking on the neighbours - http://bit.ly/aPmuOG

Seriously: if your home is to be your sanctuary, you need good neighbours. Like family (unlike friends), you cannot choose them - existing neighbours may be replaced by new ones. However, before you buy a new home., check on the neighbours - and if you are buying a flat, the most important neighbours are those who live above you, not those on either side

Tenterden Pudding Club

2010-03-26T16:57:00.002Z

Once a month (on the last Friday in each month), various Tenterden-based professionals and business people (solicitors, accountants, estate agents, IFAs, telecom consultants, bank managers, insurance brokers, etc) get together for an informal, single-course lunch and a bit of networking

There is no need to commit to attending (nor to apologise if you cannot attend), but if you are in business in Tenterden and would like to be added to the email reminder list, let me know: send me an email at jn@justinnelson.co.uk

Rush Witt & Wilson return to Tenterden

2010-03-26T10:41:00.002Z

Rush Witt & Wilson are estate agents with offices in Battle, Rye, Hastings, Bexhill and St Leonards. They did also open an office in Tenterden, but closed it when the economy went down the tubes

In what may be a sign that the economy (or, at least, the local housing market) is improving, I hear they are re-opening their Tenterden office on Saturday 3 April - you can even enter a free draw for a balloon ride, dinner at Richard Phillips at Chapel Down, guided tour of Chapel Down vineyard or a ride on the Kent & East Sussex Railway

Just testing Twitter feed

2010-03-23T19:38:00.000Z

Always learning, always improving

2010-03-23T18:56:00.003Z

I spent all of today on a conveyancing CPD (continuous professional development) course in Tunbridge Wells.

While most of the content was not new, it provided a forum for some interesting discussions with other solicitors about practices, procedures and attitudes to risk - and about "clients from hell"!

It also left me with about a dozen possible improvements to make to paperwork and procedures - life is a constant process of improvement, which I currently welcome, but I wonder how soon I will become demotivated (as many lawyers I know) and cannot find the enthusiasm to change

The majority of those attending feel Home Information Packs to be a waste of time and money, but I still feel that, done well, they help the conveyancing process significantly

"Tragedy at Law" by Cyril Hare

2010-03-20T16:52:00.002Z

Just finished reading this - on the advice of P D James, no less - "Written with elegance and wit" - and thoroughly enjoyed it

Not a thriller, but a "whodunnit - and why?" it is truly elegant and quite captivating. A detailed account of a near closed room mystery with a legal background and well-described characters, the outcome is both surprising an satisfying.

I thoroughly recommend it to anyone who wants a slightly intellectually-demanding crime novel: light enough to be read for pure pleasure, but deep enough to be satisfying

A five star mystery, IMHO

Small town delights (number 99 in an infinite series)

2010-03-20T12:29:00.002Z

This morning, while shopping in Tenterden with my daughter, I was approached by a postman in Waitrose with a recorded delivery letter that he had tried to deliver to my home earlier.

He had left the usual card, so that I could collect the item from the sorting office. However, seeing me go into Waitrose, he followed, and I was able to take and sign for the item there.

That's what I call service!

Top tips for 2010

2010-03-18T21:37:00.002Z

In the Law Society Property Section magazine for this month, 11 members of the section's executive committee gave their top tips on how to prosper in the new decade

Almost all of them were very good, but almost all of them were steps, attitudes and procedures we at Nelsons Property Lawyers had adopted from Day 1 - we are looking for ways to imprive beyond these relatively basic client care ideas

If you have any suggestions as to how we can improve client care, we'd love to hear them!

Money laundering

2010-03-18T20:56:00.002Z

Though conveyancers have been at the sharp end of money laundering activity to date, it seems that litigators are now being targeted as well

Until now, it was thought that litigation was a less fertile area for laundering the proceeds of crime than conveyancing was: fraudsters had been setting up spurious property transactions in order to launder money, while litigation was considered a less risky area of law

Because conveyancers have become more and more strict over their anti-money laundering procedures, the criminals are apparently now setting up spurious debt collection and similar claims, in order to launder their money through lawyers' firms

As a result, litigation solicitors will need to be as alert as conveyancers have become, to spot signs of suspicious activities and report them where appropriate

How soon will this apply to probate and matrimonial lawyers, too?

April Fool giveaway

2010-03-18T20:21:00.002Z

It's my birthday in April, so I'm giving a 10% discount on all new legal work where I receive (and accept)instructions in April 2010 - you need to quote "promo code April Fool" when giving the instructions (on the authority form, in the case of new clients) in order to qualify, so don't forget

Another school governor monitoring visit

2010-03-18T12:26:00.002Z

I have carried out another monitoring visit, this time focusing on "Community Cohesion", which is a formal way of saying, "We all have to get along together, so play nicely" - I understate for effect, of course, but it does seem to require a lot of input for something that, in 90% of schools, must be taught and experienced automatically anyway. Ah, well, it ticks some boxes ...

School monitoring visit

2010-03-10T16:50:00.002Z

In my capacity as a governor of the Infant School in Tenterden, I today paid a monitoring visit to the school

It is always a delight visiting the school: all the children are well-behaved, happy and hard-working, and they really seem to thrive in the school's positive atmosphere; It makes me quite proud to be a small part of that success

My visit focused on the "drop-off club" in the mornings - which allows parents to drop off their children for supervised play before school normally starts, so that the parents can get off to work or whatever - and the role of the newly-appointed Family Liaison Officer. Both are aspects of the "Extended Schools" initiative, which tries to get schools more closely involved in their local communities.

On the basis of my visit today, both the drop-off club and the FLO are valued by parents, and (certainly in the case of the drop-off club) by the children who took part as well.

Yet more evidence, if needed, that the school is very successful

Tenterden accountants get it together

2010-03-02T13:59:00.002Z

Two firms of accoutants with offices in Tenterden are to merge with effect from April Fools' Day (1 April 2010)

Phipps & Co, who also have offices in Rye, will merge with Gibbons Mannington, who also have offices in Rye (and in Bexhill as well)

As Phipps & Co have only relatively recently returned to Tenterden, re-absorbing the Day Peto & Co practice that had previously spun off from them, this merger seems to indicate that they are actively managing their future - as one would expect from good accountants!

Good luck to them in their latest phase of development

Computer screens should be at eye level? - not necessarily

2010-02-20T15:35:00.000Z

One of the good results of my routine eye test today is a return to a comfortable working environment

About a year ago, a health and safety expert berated me for having my computer screen below eye level - bad for my posture, apparently

Trustingly, I put the screen on a stand and suffered the up-and-down head motion of non-touch typing and screen checking.

On the basis of advice today, bearing in mind that I have specs with vari-focal lenses, I have removed the stand - and things are soooo much better

I can now type and read the screen without too much effort and hope that I will be less tired at the end of the working day

Moral: the H&S experts do not know everything

Referral fees - are they actively destructive?

2010-02-20T12:12:00.002Z

We are currently finding the firms that rely heavily on estate agent referrals are incredibly slow - it can take literally weeks to get a draft contract out of them, and on more than one occasion we have offered to draft the contract for them, based on the information in the Home Information Packs

Assuming they are not being lazy or incredibly incompentent (though ... - no, don't go there!) I can only think they are victims of their own successful marketing; in other words, that the referring agents are so keen to get a couple of hundred quid referral fee - guaranteed and, presumably, up front - that they would rather refer the case to someone who does not actually have the resources to handle the work, rather than lose the referral fee

How this can conceivably be in the best interests of their client, the seller, is beyond me. It is also not in the interests of the buyer or the housing market generally

If (and it is a big "If") my limited, recent experience is widespread, and if (another big "If") the reason is as I have surmised, this, surely, provides very strong support for those who wish to ban referral fees, at least where they are being used in such an unsophisticated way as to distort the whole market

Have any other conveyancers had similar experiences?

"Before you go, could you just ...?"

2010-02-19T18:16:00.002Z

I am away on holiday next week. Madeira, since you ask; yes, I hear it is quite pleasant, though I have not been before

Anyway, I made the mistake of telling my clients, and all day I have taken calls along the lines of, "Oh, you remember that draft Will/shareholders' agreement/ lease/whatever that you sent us six (or more weeks ago? Well, we haven't actually looked at it but we're sure its great. Could you just engross it and send it to us to sign with a fresh explanation of what it says before you go away?"

Stiving to remain polite, I agree to do what I can, with the result that

(a) I will spend most of this weekend at work

(b) I will not finish all the sudden influx of work

(c) I will go on holiday exhausted and collapse for most of it

(d) I will return to a pile of work

(e) Most of what I do send out will get left for another 6 weeks (or more)

Hey, ho: happy holidays! (Bah! Humbug!)

Chancel repairs liability

2010-02-18T16:17:00.002Z

Having had to carry out a little extra research than normal into this topic, I thought I'd share the results by gathering together various links on the subject

For background information, Wikipedia has an accurate, if brief entry.

Other authoritative information is available from the church, and a Times Online article

The report on the Wallbank court case that brought this "new" risk to conveyancers' attention is a useful read - though it should be noted that the original repairs costs were relatively small; the Wallbanks built up a huge legal bill by fighting the claim tooth and nail

More detailed information is available from commercial websites but bear in mind that they have a vested interest in promoting their insurance policies

Powers of attorney

2010-02-16T17:06:00.000Z

Ordinary powers of attorney

An ordinary power of attorney gives someone (the attorney) the power to act on behalf of someone else (the donor) subject to any restrictions or conditions contained in the power of attorney. A general power of attorney gives the attorney power over all of the donor’s affairs, except where the donor is a trustee and a trustee power of attorney is required.

The problem with any ordinary power of attorney (whether general, trustee, or otherwise) is that it is only effective for so long as the donor is both alive and mentally capable of managing their own affairs. If they die, then (as with all other types of powers of attorney) the authority granted to the attorney under the power ceases. Also, if the donor becomes mentally incapable of managing their own affairs, the authority granted to the attorney under an ordinary power of attorney ceases.

Enduring powers of attorney

Enduring powers of attorney can no longer be made, but could be made up to October 2007. If made before that date, then the distinction between them and an ordinary power of attorney is that, even if the donor became mentally incapable, the attorney could still continue to act under the power of attorney, provided the attorney registered the enduring power of attorney at the Public Guardian’s Office. Until that point, the power of attorney operated as an ordinary power of attorney, but provided it was in the correct form and granted before October 2007, its effectiveness could “endure” beyond the donor’s mental incapacity, subject to the power being registered.

Lasting powers of attorney

From October 2007 onwards, the replacement for an enduring power of attorney is a lasting power of attorney. This is a longer document that the enduring power of attorney was and therefore takes longer to complete, but is reasonably straightforward. The prescribed forms can be downloaded from the Public Guardian’s website at www.publicguardian.gov.uk

There are two types of lasting power of attorney, with separate forms for each – one for “property and financial affairs” and another for “health and welfare”. This is because one might want different people as attorneys for these different aspects, but it does mean doubling up on the form-filling and on the registration fees.

Once granted, a lasting power of attorney is not effective (even as an ordinary power of attorney) unless and until it is registered at the Public Guardian’s Office – the form to apply for registration can be downloaded from the same website.

I strongly recommend everyone to grant a lasting power of attorney, certainly to their spouse/civil partner and possibly (depending on age and family circumstances) to some or all of their children.

Whilst I am happy to help in preparing a lasting power of attorney, most people would be able to complete the prescribed form perfectly well themselves. I can, perhaps, be more useful in registering a lasting power of attorney but again the forms for this are fairly straightforward and do not require specialist legal advice.

Home Information Packs - yet again

2010-02-16T08:41:00.002Z

With a general election looming, the Conservatives are consulting various interested parties on what to do about HIPs - abolish then, improve them or leave them as they are?

My view is that, if done properly, a HIP can be a very good way of speeding up the house buying and selling process. The problem is that most sellers get a HIP because they must, and buy as cheaply as they can, instead of buying the best they can.

HIPs should be tightened up, not watered down

Property theft

2010-02-15T18:00:00.001Z

Properties can be stolen: if a fraudster is able to convince the Land Registry that they are the property owner, they can sell - or more likely - mortgage the property and disappear with the proceeds before you are aware anything is wrong. In the case of a mortgage, this might not be until the mortgage lender tries to take possession for non-payment of the mortgage instalments, at which point you would have to prove that you did not sign the mortgage deed that purports to be signed by you.

Properties that are subject to a genuine mortgage are far less vulnerable, as that mortgage would normally need to be cleared off, putting another hurdle in the way of any attempted fraud. However, properties that are free of mortgage are much more susceptible.

The Land Registry’s own identity checks are not very rigorous, relying on either one piece of photographic ID or two utility bills or bank statements, for instance. Though the conveyancer acting for the seller or mortgagee can be expected to check their client’s identity, it is not unheard of for conveyancers to be - deliberately or unwittingly - party to the fraud.

The Land Registry recommends proprietors give multiple addresses for themselves in the register (including an email address, if desired) to help protect against fraud. However, this does nothing at all to combat property theft, as the Land Registry does not check with the registered proprietor that the mortgage deed or transfer has, indeed, been signed by them.

The Land Registry also suggests registering a restriction in the register, requiring a conveyancer to certify that the person who signed the mortgage or transfer that is being registered is indeed the registered proprietor. However, this is really no more than the existing Land Registry requirement of confirmation that the parties to the transaction have all been identity-checked and, in any event, does not cover the situation where a conveyancer is involved in or deceived by the fraud.

The only protective measure we have been able to come up with is to register a restriction on the property’s Land Registry registers, requiring the consent of a third party who is not an owner of the property before the owner (or someone who purports to be the owner) can mortgage or sell it. This third party could be a trusted family member, solicitor or accountant, for instance. If you adopt this suggestion, we strongly suggest that there should be a document (which we can prepare) whereby the third party confirms they have no beneficial interest in the property but is merely acting as a guardian against property theft.

There is a risk of the third party dying, becoming mentally incapable or simply falling out with you. If the third party is a solicitor, chartered accountant or similar, their professional obligations mean that your position would be protected. However, this is not the case with a private individual, so you should think carefully before appointing a private individual to this role.

If you would like to take this idea forward, please speak to us about what arrangements would be appropriate for you.

Speedy service

2010-02-15T16:43:00.003Z

Even for ex-clients, we offer a speedy service

We acted when husband and wife bought a house together in 2006. They are splitting up, and he does not want to use us as we have acted for her on various transactions over the past few years. They have therefore gone to a "neutral" firm to handle the sale of the house.

This morning, we received an email from the wife, asking for a particular piece of information from our purchase file. We emailed this to her by about 10am, and have just heard back:

"Thanks so much for the speedy reply. I've just dropped it off at the solicitor's and they couldn't believe it!"

It's nice to be appreciated, even (especially) when we don't get paid

What does Google have to do with referral fees?

2010-02-08T07:34:00.002Z

"You don't buy it with ads [or referral fees]. You earn it, and you earn it customer by customer, search for search, answer by answer." - Eric Schmidt of Google on Fox Business News in 2009

Despite that comment, Google chose to advertise during the televising of the Super Bowl on 7 February, so perhaps people's views, or circumstances, or both, change

Until very recently, I was adamantly against paying (or receiving) referral fees for getting (or giving) work opportunities - the only effect seemed to be to increase costs to the consumer (or reduce profits to the service provider). This still seems to me to be the case in respect of residential conveyancing: some agents are keener to earn their £125 referral fee than to ensure that the conveyancing work is handled properly. In my view, this is very short-sighted, but there we are, at present.

However, I have just joined two organisations that are, in effect and in part, referral organisations: Quality Solicitors, to whom I pay an annual subscription for marketing and referrals, and Contact Law, to whom I pay a percentage of my fees on cases referred to me by them. In both cases, this means that I get referred to me transactions that are within my target market for commercial transactions and which I would very probably not get a chance to pitch for otherwise.

In addition, some of the larger local firms are actively courting - and offering to pay for - referrals from me in respect of work I would not handle myself. This is effective marketing for them and I would not refer unless I felt it appropriate for the client. However, while I would welcome an additional income stream, I still feel a residual reluctance to "taint" a referral in this way.

The difference is, perhaps, subtle: I make it clear to prospective clients who are referred that I have an arrangement with the referring organisation, that I pay them a fee (an annual subscription or a percentage of fees charged to the client) and that the client has a choice whether to instruct me or not. Equally, I would not refer a client to a firm I did not think was right for them. I do not think many estate agents do the same; indeed, I know of several who say or imply that the prospective client must use their "panel solicitors" if they are to sell or buy through them, even when they indicate that they already have solicitors they are happy with.

I do have some concerns over my existing arrangements. I discovered, for instance, that a prospective client was recommended to me by her accountant but, when she phoned directory enquiries to get my telephone number, they insisted on putting her through to Quality Solicitors (on a premium rate line) instead. I have raised this with Quality Solicitors, and they have assured me they will stop that practice - which they had not themselves instigated: that was the idea of the particular directory enquiries service.

The public interest argument in favour of referral fees is that it provides a service to the public who do not know what solicitors might cover their particular needs and can go to a service that, in theory, can identify an appropriate solicitor. Unfortunately, greed will inevitably taint the operation: the desire to earn the referral fee is likely to discourage referrers from mentioning that the consumer has any other option. This is where solicitors have to be whiter than white, but they do not have a particularly good track record in that respect.

There is also the argument from fear: if we don't pay referral fees, other organisations will, but that seems to me to be a particularly poor argument.

On the whole, I think solicitors should earn their reputations, including their reputation for independence and integrity, not try to buy them. However, I will give both Quality Solicitors and Contact Law a fair chance. In addition, I will continue to demonstrate to estate agents, accountants, IFAs and other introducers that they can safely recommend me on the basis of the quality of my service and not to get a referral fee; I think that is a better business and professional model - a genuine recommendation, not a bought one

Identity theft

2010-01-19T22:09:00.002Z

Boys & Maughan's tips to combat ID theft are a useful, if on the whole common sense, reminder of how to avoid ID theft. One point that I had not recognised before is that company directors' full names, home addresses (usually) and signatures (often) are available from Companies House. In addition, as it happens, so are their dates of birth - useful material for a fraudster.

Another example of the way in which the online, interlinked information society works against its own security

At Nelsons Property Lawyers, we are actively working on advice to protect against property theft - watch this space for developments

The price of justice

2010-01-18T20:40:00.002Z

In the Guardian today, Marcel Berlins is delighted with the Jackson Report, expecting it to drive down legal costs - of civil litigation, anyway. Maybe it will, but I think he is unfair on lawyers.

OK: legal costs are high; I don't dispute that. However, to say they are disproportionate is, often, unfair. However small the claim, the lawyer running (or defending) it is expected to be an expert in the court procedure and the relevant law - judges love criticising solicitors for getting anything wrong, and penalise them by disallowing their costs or, in extreme cases, making them paying the opponent's costs.

As you will understand, this makes litigation solicitors risk-averse: they cover all the bases, even in the smallest cases, resulting in high bills

So: if you want the costs of litigation to be proportionate, your expectations should be proportionate, too - don't expect a gold-standard service for a nickel-standard claim and you might get a nickel-standard bill.

I should mention that this opinion is relatively unbiased, as I do not handle court work myself

(Rant over!)

Three strikes and you're out - daft!

2010-01-17T16:13:00.000Z

How can the government think it is fair, proportionate, feasible or right to terminate a household's Internet connection because someone using it is accused of breach of copyright?

Quite apart from the weakness of the evidence and the risk that the transgressor is piggy-backing on someone else's insecure wireless network, terminating an entire household's connection is unfair on any members not unlawfully downloading.

It is a disproportionate sanction anyway - hardly reducing social exclusion, especially as it is the poorwr sections of society who are the most like

Do lawyers milk it?

2010-01-17T10:51:00.002Z

"An exact legal opinion on a claim could vary, depending on how expensive your lawyer is" - I read this recently (cannot now remember where) and thought, "How true!" Whatever the merits of a case, there will always be a lawyer willing to argue it - for a fee, of course.

In a number of cases, this seems to be just to make money or because the client insists. Two current examples:

1 Ms X's relationship with her partner broke down. She left the house he had bought and (as agreed at the outset) stopped contributing to the mortgage, etc. Despite the clear wording of the agreement they had both signed at the outset and despite the fact that my client has no money, her ex is trying to prove that she owes him for her perceived under-contribution to the household expenses, and his lawyers are writing unnecessarily complex and threatening letters to get her to pay what she does not owe and cannot afford. I have responded, pointing out that the best solution for both parties is to walk away from the collapsed relationship, but I suspect he will spend money on trying to prove he is right, even though it does him no good. Meanwhile, the lawyers are milking it

2 Mr Y had to liquidate his company two years ago when he realised he could not trade through a sudden difficult period. He is far and away the main creditor and has lost far more than all of the other creditors put together. Though the only money he took out of the company was reimbursement for proven expenses incurred on the company's behalf, he is being pursued by the liquidator, through solicitors, alleging fraudulent preference. Every few months, a letter arrives, claiming that some sequence of transactions or another is indicative of misuse of company funds. Each time, Mr Y and I go through the scant details supplied, he reaches deep into his memory and explains what he thinks the circumstances were, and I detail that to the liquidator's solicitors. It all then goes quiet but, just as I think I can archive the file, another set of accusations arrives. As far as I can see, the only purpose of this is to ensure that the liquidator's fees and his solicitors' swallow up all available funds and the creditors get nothing instead of 50% of what they are owed

A less cynical view, of course, is that lawyers are trained to consider every possibility, and as a result often make things more complicated than they need be - not deliberately or to make more money, but just because that's the way they are. Perhaps I should try to adopt this more charitable view

Home Information Packs (again!)

2009-11-25T13:25:00.002Z

I know I keep banging on about this, but it is my view that a combination of inadequate consultation by government, vested interests in the property industry trying to stifle change and competition on price rather than value resulted in a huge missed opportunity. Home Information Packs, properly prepared, can be of great benefit in streamlining conveyancing, to the benefit of all concerned: buyers, sellers, agents, solicitors.

However, the crucial term is "properly prepared" - HIPs that take no account of the individual property and its idiosyncracies are almost useless - basically a waste of paper. On the other hand, a properly prepared and comprehensive HIP enables the buyer's solicitor to report on a very large part of the transaction at a very early stage, highlighting potential problems and outlining the scope of further investigations that might be needed

With a good HIP, we are usually waiting only for the draft contract and full property information form (both of which could, in my view, be included in the HIP in the same way as for an auction) or the mortgage offer (or both!) before a buyer client can exchange contracts

HIPs have the potential to do almost everything the government claimed for them, but they need to be properly prepared, not prepared on the basis of the cheapest that complies with the regulations.

I have revisited this subject because Rob Hailstone of HIPAG (Home Information Pack Action Group) fame is forming The Bold Group to campaign for "proper HIPs", and so I have been stirred to post again

Will the Tories scrap HIPs?

2009-11-18T11:10:00.001Z

Comment from Rob Hailstone of HIPAG -

"Grant Shapps has recently reiterated his intention to "scrap" Hips. What he hasn't said publicly, is whether he will amend or replace them. However, the Conservatives have made it clear that they want to improve the home buying and selling process. It is therefore, highly unlikely that Mr Shapps will allow us to go back to the home buying and selling process, as it was, pre Hips.

"When the Conseravatives held their own home buying and selling review last year it was made clear to them, by Owen Inskip and Kirstie Allsopp, that whatever format the Hip eventually takes, providing 'information up front' will be essential. As an ex conveyancer I believe we should build on the developments made over the last few years so that creating a property legal pack, that is as 'exchange ready' as possible, should become standard practice.

"It has to be accepted that the political situation is not as clear as it was a while ago, the Conservatives winning with a safe majority is not a forgone conclusion. Mr Shapps might not even become Housing Minister and scrapping Hips will probably be way down the Conservatives 'to do' list, after Afghanistan, the economy, health, education etc. Some pundits now forecast a March election but it would appear that the safe money is still on an election in May.

"Whatever the outcome politically, I believe that Hips will either be with us for a while or any worthwhile replacement pack will still require the involvement of a good Hip provider and a local solicitor/conveyancer."

For what it is worth, I agree completely!

Choosing a lawyer

2009-10-02T10:35:00.002+01:00

When choosing a lawyer to act for you, don't just choose on price. Don't just choose on quality, either - most people can't afford that! Choose on value for money at the quality and service level you want and are prepared to pay for

What's in a Twitter name?

2009-09-19T10:59:00.002+01:00

When I started on Twitter, as I explained here, it was to keep in touch with my children while they were abroad. However, I had in mind that it would also be a useful way to promote this blog, so I chose a Twitter name that tied in with this blog’s name – as to the “rationale” behind the blog’s name, see here . “Abaddon” was already taken as a Twitter name so, as Abaddon was the angel of the bottomless pit, I chose "Abaddons Pit" - or, to avoid a space, “Abaddonspit” - as my Twitter name.

This was all fine and good, and provided an ice-breaking conversation topic at the first Tweetups at the Hoodeners Horse in Great Chart – wonderful food, beer and atmosphere, by the way. Two of the Twitterers I met there and followed decided to change their Twitter names to their real names: @romanythresher from @DirectAssist and @AngusWillson from @Pannage. This prompted me to do the same – after all, Twitter is a conversation, and using a false name in a conversation is a bit creepy. Also, it is well known that anonymity in Internet discussion forums breed bad behaviour. Further, more and more commentators are recommending use of real names by Twitterers – eg: Scott Williams.

So, I decided to change my Twitter name. I found out how to do it – a slightly unnecessarily complicated way, but it worked; this is an easier way - but found that @JustinNelson and @Justin_Nelson had already been taken, but @_JustinNelson had not, so I changed the name from @Abaddonspit to @_JustinNelson (after a brief trial with @JustinPHNelson, which was less memorable, I feel, than @_JustinNelson.

All seemed fine on Twitter itself and using TweetDeck – “Job done!” I thought. I then found that I was unable to get photos sent via Twitpic to appear in my timeline. Suspecting that the leading underscore was the problem (no idea why, just a hunch), I changed my name back to @JustinPHNelson – and found myself locked out of the account. Too many name changes? Twitter hated the “PH” bit, too? I have no idea – Twitter have treated my help requests as feature requests (ie: binned them) or as instantly resolved and closed (ie: binned them), so I guess I will never know.

This happened last Sunday (less than a week ago as I type this), and the aghast, sinking feeling I had when I realised that I was Twitless is fresh in my memory. Knowing that Twitter would be at least 36 hours away from returning to work, I gave up my futile attempts to re-access my account and resigned myself to a period of Twitlessness.

Horrifyingly, by the Wednesday (after only four days’ inability to Tweet or – worse – follow Twitterers) I decided to give up on the hope of re-accessing my original Twitter account. After checking that @JustinNelson_ could successfully send Twitpics, and launched that account on an unsuspecting world, and started re-building my follows and followers. I started with the local Twitterers – helped by the very useful Twitvite list for the extremely well-attended Tweetup at the Hoodeners Horse yesterday. Today, my aim is to re-connect to the follows I had further afield.

One mistake I will not repeat from my very first foray into Twitter: I will not automatically DM a standard “welcome” message to each new follower I get, but will send a custom message instead. The minimal extra effort involved has to be worth it if I am to build a network of friends, rather than mere connections in the ether.

The only remaining problem that I have is that my mobile phone number is still associated with my old Twitter account, so until that account is unlocked or deleted I cannot use SMS messages for Twitter - a relatively small difficulty that I hope will eventually be overcome - Can you hear me, Twitter?

Do banks seek revenge?

2009-09-13T16:32:00.001+01:00

last year, Barclays would not increase my overdraft racility to £60,000 - to get me through the credit crunch - pending the maturing of a life policy for that amount. HSBC were happy to offer that arrangemejt, so I switched. It was a matter of commercial life or death, as Barclays well knew.

Anyway, nine months after the switch and I am ready finally to close the Barclays accounts - any unpresented cheques have been replaced with cheques drawn on the new accounts.

Because it is forbidden to mix clients' money with my own, I asked Barclays to send me two cheques: one for the balance on my clients account with them to pay into my new clients account, and one for the balance on my office account ...

Instead, Barclays transferred the clients' money into my office account and sent me a single cheque. It ia as though they are trying to get me struct off!

Anyway: my annual audit starts tomorrow, so I will make a clean breast of it to the auditor and take what comes. Wish me luck!

What's in a (Twitter) name?

2009-09-13T13:52:00.001+01:00

I was going to blog about why I have changed my Twitter name recently, but as I seem to have broken Twitter by changing too much, I had better wait until it is fixed!

I will re-visit this subject soon, I hope!

Meanwhile, I seem to have locked myself out of receiving Tweets, so I will see if I can at least send one to explain my lack of conversation

Why use Twitter?

2009-09-06T11:07:00.002+01:00

Speaking only for myself: I started using Twitter as an easy way for my children to keep me reassured as to their safety while they were abroad - Emily in Colorado at university and Alex in Australia and Thailand on a gap break

It grew from that to an easy way to make contact with local Twitts and to stay in touch with them (especially through the Tweet-ups) - also as a way of picking up snippets from journalists, comedians, etc, that I wanted to follow.

The beauty of Twitter is its -

freedom: each user chooses who to follow: they are not restricted to following Twitts who follow them, and are not forced to follow their own followers, either
flexibility: you can use Twitter on the Web, by SMS, through email, etc
simplicity: the 140-character limit could hardly be easier!
fun: try it and see!

Engineers or insurers?

2009-09-06T10:41:00.003+01:00

One way of comparing lawyers is to classify them as "engineers" or as "insurers": engineers try to set up a contract, transaction, etc, that suits the agreed requirements of the client; insurers tend to use an established precedent that is designed to cover all possible circumstances, avoiding the risk of omitting something not currently foreseen but possibly required in future.

I tend to be an "engineer": I try to look after my clients as if they are close friends or family members:
• I give punchy, practical, jargon-free and actionable help
• I aim to keep clients' legal difficulties and expenses to a minimum
• I use my knowledge to benefit my clients

The "insurer" type instead (in my view) tells the client "not to worry about the law", and uses a "blockbuster" precedent intended to smother the problem rather than engineer a solution.

The engineering style is, in my view, better for the client and more enjoyable (though also more testing and, perhaps, risky) for the lawyer - I suppose its a case of quality -v- safety

This distinction is particularly clear in the context of -

(a) leases: in my view, as long as it covers the client's requirements, less is more: a 10-page lease that the parties can understand is (in my view) better than a 50 page lease (covering everything including lift maintenance in a ground floor lock-up shop) that the clients treat as an un-readable brick

(b) enquiries before contract on leases and property purchases: using wide-ranging standard enquiries before contract sometimes means more salient points are overlooked

(As an aside, the distinction between engineer lawyers and insurer lawyers brings to mind Kingsley Amis's classification of two distinct groups in debates over the use of language: berks and wankers. "Berks are careless, coarse, crass, gross and of what anybody would agree is a lower social class than one's own; wankers are prissy, fussy, priggish, prim and of what they would probably misrepresent as a higher social class than one's own" - Not one to hold back, old Kingsley!)

Making a rod for your own back

2009-09-05T15:36:00.000+01:00

Pursuing a service standard of "Excellent" is definitely a case of making a rod for your own back

In my business, I strive for a truly excellent standard of service and, inevitably, I do not always achieve it. When I fail, I feel mortified, but (illogically) I also slightly resent it when clients point out how I have failed to achieve the standard I try to set - I feel unfairly treated, in that I know that even my slightly-less-than-excellent standard is better than most solicitors ever achieve, so why am I being criticised for being "better-than-most"?

The answer is that I am not: I am, quite properly, being criticised for not achieving the "best", as that is the standard I have chosen to set: I am not average - I aim to be the best; if I miss that target, I have failed, even if I am still better-than-most.

I today had a glimpse into how it feels from the other side: from the viewpoint of the customer/client. I took my family (this time, with mother-in-law as well) again to the Hoodeners Horse at Great Chart, Ashford, Kent. On the basis of my earlier visits, I promised m-in-law "the best chips ever", etc. For completely understandable reasons relating to seasonal potato varieties, different cooking requirements, etc, the chips today were perfectly good but just not quite truly excellent. As a result, I was disappointed, but it would not be fair to criticise: dealing with the real world (eg: proper potatoes) can never be a uniform experience - and, if it could be, it would not be such a thrill to discover true excellence.

I will keep going back, and keep trying the chips, but will not expect always to have excellent chips - I will be very happy on the occasions when I do.

In a service industry like mine, it should be different: we do not depend so heavily on the quality or type of a raw ingredient that is laregely outside our control; we depend instead on rigorous processes and motivated and well-trained staff. On that basis, we should be able to produce "an excellent chip" every time. In the catering industry, they can do their best, but cannot guarantee results

Andy: Sorry if I appeared to be complaining. I was so impressed by the "world-famous Hoodeners Horse chips" on the first few occasions, that it blinded me to the practical impossibility of always repeating that experience. I will instead be grateful for 99% success rate, and tolerant of the 1% "nearly-but-not-quite-excellent" times - but in my own business, I am still aiming for 100% excellence, as everything should be within my control!!

As always, the beer - St Austell Tribute, for me - and service - thank you, Sally - at the Hoodeners Horse were excellent: everyone came away happy and well-fed and watered

Right to (car) Repair Choice campaign

2009-09-02T09:49:00.005+01:00

Keith Robles, a member of Wealden Business Group gave a presentation today at the group's breakfast networking meeting. Keith buys and sells used cars, but also is involved with a local independent garage on the servicing and repairs side (as well as sales). His presentation was about the "Right to Repair Choice" campaign

Very briefly, at present the European Union obliges motor manufacturers to provide technical and other information about their cars, so that independent garages can access that information to enable them to service and repair those cars.

The manufacturers have lobbied the EU to remove that obligation to disclose information, on the basis that cars are becoming too sophisticated to be capable of proper servicing and repair except at the manufacturers' main dealerships, which can afford the progressively more expensive diagnostic equipment that is required.

That lobbying is on the brink of being successful, so the independent garages are fighting back, through this campaign, pointing out that, if the manufacturers can withhold technical information, car owners will indeed be forced to use the main dealers, resulting in -

increased charges for services and repairs
longer distances to travel to get a car serviced
the destruction of the independent sector
car owners delaying services to save money and travel, resulting in poorly serviced cars being more common

There are arguments on both sides, but what is especially noticeable is that governmental dogma that "competition is always good in all circumstances" is again being brushed aside when it suits big business

Tenterden 'Pudding Club'

2009-08-28T14:56:00.000+01:00

Just finished catching up on calls etc after an enjoyable meeting of the Tenterden Pudding Club

This is an informal monthly lunchtime networking meeting for Tenterden business people

If you are in business in the Tenterden area and would like to join us, send me an email at jn@justinnelson.co.uk

The Hoodeners Horse, Great Chart, Ashford, Kent UK

2009-08-22T15:19:00.003+01:00

I have to post my thoughts on this truly excellent pub

I have visited it twice for Tweetups, and took my family today for lunch. On every occasion, I have been impressed by the warm welcome (especially from Andy Setterfield, the owner, but also from all his staff), the real ale (and cider), the efficiency and the FOOOOOD!

Today, I mainly drank the St Austell Tribute; after a few pints of that, I notice the London Pride pump - London Pride is one of my favourite real ales, but it paled by comparison to the Tribute: it took most of a pint to dissipate the lovely Tribute taste but, when I had, the LP was brilliant - Black Cat was also available, but one can have too much of a good thing!

The four of us had lunch. The pub has a Mexican food theme (though that is not the only food it serves). My wife had chicken tacos, my daughter chose chicken fajitas (each with a side order of chips) while my son and I both had Mexican burgers (which came with chips). I cannot speak too highly of the Mexican burgers - really, really nice. It is easy to beat my small appetite, but even my son could not finish completely. However, quantity is not the issue here - it is the quality that really counts, and that is top notch. The tacos and the fajitas were as good - all of us ended up stuffed and very satisfied indeed.

It is the chips that are the real story, however: I don't think I have ever tasted better - and I mean that sincerely, folks. All four of us agreed that they are the best chips going - if you only have the real ale and chips, it will make your visit worthwhile

The barmaid was lovely - not a robot or surly as in so many other venues, but a real human being who was a peasure to deal with. All-in-all, a very happy Saturday lunchtime and well worth repeating - if only there was a similar pub in Tenterden ... !

Government trickery

2009-08-11T11:22:00.002+01:00

Typical, isn't it? My daughter is at university. In applying for grants and loans last year, my relevant income was for the financial year 2007-08, so no grant for her.

This year, after the credit crunch and while enduring its consequences (ie: a reasonable profit becomes a small loss), my relevant income is still for for the financial year 2007-08, so still no grant for her.

What's the betting (assuming the economy recovers) that the relevant financial year next year will be the year ending in 2010, which should be vastly improved from the year just ended?

Talk about making up the rules as you go along!

(Whinge over!)

Plenty of stick - no carrot

2009-08-03T17:09:00.002+01:00

Apparently, "The Legal Services Board could punish non-compliant regulators with multi-million-pound fines " - see http://tinyurl.com/nwsa6a

And how will the regulators pay those fines? By charging them out to those they regulate

The net result will be (a) over-cautious regulation resulting in a massive increase in red tape for lawyers to comply with (b) an over-cautious approach by lawyers, resulting in even slower and more expensive legal services and (c) the risk of swingeing increases in practicising certificate fees, to pay for the regulators' own mistakes and the desire for the LSB to show it has "teeth"

None of this will help the user of legal services one jot, but if it results in complete meltdown perhaps we can start again - a post-Apocalyptic future

Mea culpa

2009-07-28T18:06:00.002+01:00

Over a month since my last blog post - I've been too busy Tweeting instead. Must exercise more discipline and start thinking of things to say in more than 140 characters!

Suits

2009-06-21T11:47:00.002+01:00

I try to avoid wearing a business suit for work - I am more comfortable in sports jacket and trousers, and I think clients and potential clients are more comfortable not dealing with "a suit"

Last week, however, I had to wear a suit on three of the five weeekdays - once for a funeral, once for a meeting at another solicitor's office and once to attend an auction on behalf of a client.

On each occasion, there was no doubt that a suit was appropriate, but it set me to wondering why: where is the distinction between the occasions when it is appropriate to dress down and when it is not? I don't think it is a case of wearing a suit on outside appointments and dressing down when on home territory - though that is a part of the reasoning, I think

The funeral, I think, is obvious - it is a mark of respect and, to an extent, evidence of solemnity

The other occasions are similar - demonstrating, to the client as much as to anyone, that I was treating his business with respect and seriously. As I was representing the client on each occasion, respect and seriousness were both appropriate

This is not to say that, when I am in my own office, dressing down is an indication of a lack of respect or seriousness, but I suppose it is true that, on my own territory, I can set the rules more (I would not dream of trying to do so on "foreign" territory), and I choose to have a deliberately less formal or stuffy attitude - I think it helps remove some of the barriers between solicitor and client and enables the client to accept that we are on the same team.

Otherwise, I feel there is a real danger of a client treating his or her own solicitor as part of the problem - another "suit" - rather than as a friendly expert who is on their side

"Approachability" is an important quality for most professionals, and one I try to display

"Risk" by Dan Gardner

2009-06-21T11:24:00.003+01:00

A good analysis of how we, as a society, perceive risk, and how we should perceive it and deal with it. We worry amount relatively small risks, but become blase about much bigger ones, due to various biases - the Von Rorkoff effect, optimism bias, hindsight bias, etc - and errors of logic.

Our initial reaction to a given situation is based on gut instinct - our hard-wiring; if (and it is a big "if") our logical mind then kicks in to modify our reaction, it is normally only partially successful, with the result that most reactions are gut-based rather than logic-based

A genuinely absorbing read - I read it at one sitting - and full of ideas to mull over

Is Twitter useless?

2009-06-20T13:41:00.004+01:00

According to Larry Bodine, who should know whereof he speaks, Twitter is "not effective for law firm marketing" and in fact can do positive harm

While his analysis seems sound, I don't use Twitter for marketing, but for fun and, as I read his article, it emphasised how I do not use Twitter as is apparently expected:

1: I do not seek to follow a large number of people - I started using Twitter as a way of keeping in touch with my children while they were abroad, and have added people that I find interesting for one reason or another. I see no point in following people who do not have similar interests, etc, unless they are inherently interesting

2: I do not seek a large number of followers: I'm not trying to change the world or people's opinions - that said, I do use Twitter to "announce" new blog posts, such as this one, so maybe I'm not being entirely honest with myself!

3: I tend to follow local people, rather than far-flung Tweeters - I enjoy collecting (and distributing) local information - or people I know of in another context. It seems that many of those who follow me (for a while) have no particular reason to, but perhaps they are just trying me out (and finding me wanting, no doubt!)

It seems that Twitter has a "miserable" retention rate of 40% - for a networking tool that is tightly limited by its very nature, I'd say that's a pretty good retention rate. And, as Bodine himself admits, Twitter "is just a blip on the radar right now" - it may have staying power or it may not, but if it does I hope it will be as a social tool, not as a marketing one

Giving up on the property dream

2009-06-14T17:12:00.000+01:00

According to the Observer's Business swction, 'Young people [are] giving up on the property dream': only a third of 18-24-year-olds think owning a home is right for them'

Good! Home owning has become such a no-brainer that it has encouraged the sharks and the ahysters to predate on the house buying process, while treating the house renting service as unworthy of attention. Perhaps bothe will get their proper share of attention now, with better results for society as a whole

The Apprentice - spoofed

2009-06-02T15:10:00.002+01:00

#Apprentice: See the video (sound needed - 6 minutes long) at http://preview.tinyurl.com/ob364k - it's brilliant!

Blacksmiths Inn, Ninfield

2009-05-22T20:56:00.000+01:00

Just back from the Blacksmiths Inn, Ninfield, for its re-opening, following the extensive refurbishment carried out by Peter and Denise Slinger.

They have a good range of real ale: Timothy Taylor, Adnams Broadside, the truly ecellent Northiam IPA and the ubiquitous (but always good) Harveys Best Bitter.

Food is a strong point, too: good quality pub grub, locally sourced.

The Slingers deserve to do well

The Chicago Way by Michael Harvey

2009-05-21T22:05:00.000+01:00

Thoroughly enjoyable and highly recommended, this is Harvey's debut and is (IMHO) excellent

Written in a Raymond Chandler style, it is fast-paced with a good plot and a non-cheating twist towards the end

I am looking forward to more from Harvey, and thoroughly recommend him as a writer of detective/mystery books

What do YOU think?

"Broken Skin" by Stuart Macbride

2009-05-18T20:40:00.001+01:00

Slightly slowly, I have now finished this. Though I felt I was getting into it at ab out the halfway/two-thirds point, it seemed to go slightly off the boil

I enjoyed the way the main character (a DS) was drawn - very believable, but "supportable". was less happy withe the rater cartoon-like DIs who were his bosses

I guess the characters are being built up into a set of players that is TV-marketable, but it's a shame that the individual book suffers as a result

"Mustn't Grumble" by Joe Bennett

2009-05-16T12:04:00.001+01:00

Invited to travel round England and write about it (and the English), Bennett decided to use H V Morton's "In Search of England" as a sort of route map [note to self: must find a copy of Morton's book]

Bennett has tried (though not very hard) to identify "Englishness". In the end, he thinks it is encapsulated in the BBC's "Antiques Roadshow" - everyone knws the part they are expected to play and true emotions are masked by politeness and "appropriate" behaviour.

I'm not sure that's entirely true or sufficient, but the book is an enjoable, easy read, taking the reader to different parts of the country and sampling a few pubs at each stopping-off point - more for the conversation than for the beer

Jack Smithies

2009-05-16T11:07:00.000+01:00

Just finished reading 'Mustn't grumble' by Joe Bennett. Towards the end (page 251 to be exact), a name from my past jumps out at me when the author refers to "Jack Smithies, the best English teacher of all time".

"Mad" Jack Smithies taught at Brighton Hove and Sussex Grammer School, where I spent my Sixth Form years. He was, indeed, a brilliant and inspiring English teacher - he could bring Shakespeare to life in a quite wonderful way

Joe Bennett, a few pages later in the book, also refers to the characteristic clock at the school: there was a sort of 'master clock' in the main hall, and each classroom had a 'subsidiary clock', connected to the master one by a series of rods and links. All the clocks were therefore in sync, and their minute hands clicked round, minute-by-minute, in unison; really quite spooky, when you think about it!

A breathing space

2009-05-14T21:40:00.001+01:00

The property crash is (to put it mildly) not nice for those linked to the property market|; those who need to sell, estate agents, solicitors and other conveyancers, removal firms, carpet suppliers, etc

However, it has stopped big business hijacking the process: a lot of would-be big players in the HIP provision market have been put off (or gone bust) as a result of the recession

THIS IS AN OPPORTUNITY: an opportunity for those who want to provide a good house-moving experience to establish themselves as the people to use, rather than allowing the rip-off merchants to move in as soon as the market picks up and hoover up the market for their own purely mercenary reasons

At Nelsons Property Lawyers, we plan to host a seminar of local, independent and good providers of house moving services (solicitors/conveyancers, estate agents, HIP providers, domestic energy assessors, etc) to formulate an attractive offering for buyers and sellers and create a user-friendly moving environment

(Sorry - it's late and I',m getting into anorak mode, but I do believe we can do this well and that this will benefit the clients - consumers)

Comments, please - and watch this space!

Networking

2009-05-10T15:45:00.002+01:00

As secretary of the Wealden Business Group (http://wbg.me) I have been finalising and uploading the minutes of our committee meeting last week. As part of the discussion was on the subject of other local networking groups and how WBG differs, I thought I'd try to find out a little abvout the competition.

Not as easy as it should be! Some seem to have almost impenetrable websites that send you round in circles. Others seem more keen to get you to join and pay a subscription than to yield up details of their members. However, my perseverance has been rewarded.

It seems that WBG is somewhere in the middle in terms of membership: 22 current members, compared with other groups with 9 and 13, and others with 22 also and 25. There is one with 44 that seems to be doing very well - and is the No 1 "chapter" in its organisation worldwide!

Where WBG "wins", however, is not in the numbers game but in its possibly unique combination of prtofessionalism and friendliness - attributes that we intend to build on into the future!

Yesterday's Tweets

2009-05-09T12:36:00.001+01:00

For those confused by yesterday's Tweets, this is what happened:

1. Originally, Anne and I were to sail from Rye to Eastbourne with another couple to attend the Round Table and Ladies Circle National Conferences there - Jane being a former National Chairman of Ladies Circle

2. The plan was that we would sail to Eastbourne on Friday, have a meal and sleep on the boat, then go to the conferences (and the pubs!). We would have an evening meal and sleep on the boat on Saturday, then sail back on Sunday

3. The worsening weather destroyed that plan - sailing a 30-foot boat along the Channel in force 7 or 8 winds was not going to be joyful, so we cancelled the sailing trip.

4. Having made arrangements at work (and cancelled a game of golf), Anne and I were at a loose end. Rather than waste the day, we decided to go for lunch at the Coastguard at St Margaret's Bay

5. This is where the Tweets went wrong, as the venue was out of my mobile phone coverage, so Tweets by SMS were not going in the order I sent them. As a result, a series of Tweets got out of series, and became garbled. But the beer was good, especially the Gadds' No 5 ;-)

Anyway, it's a lovely day today, so Anne and I are off in search of another pub lunch!

Why don't HIPs include contracts?

2009-04-25T11:35:00.003+01:00

If HIPs (Home Information Packs) were really meant to provide a comprehensive package of pre-contract documents to speed up the conveyancing process, why do they not include a draft contract?

It is not because of any technical difficulty: the draft contract can be prepared at the same time as a property information form (see my earlier post). The details of the buyer and the price would need to be left blank until a buyer made an acceptable offer, but the buyer's details are normally provided by his or her conveyancer anyway, not included in the draft contract from the outset.

It could be argued that having a draft contract in the HIP, availablke to any interested party, means that multiple draft contracts have been issued, in which case all interested parties have to be informed. However, that is easily dealt with by amending the relevant practice rule, so that it does not apply where the draft contract is included in a HIP

The only reason that I can think of not to require a draft contract in a HIP is that even this government recognises that a contract is a legal document, which most sellers will want prepared by a lawyer, rather than by a HIP-provider, and the government would rather avoid involving lawyers for as long as possible.

With the new requirement for a HIP to include a Property Information Questionnaire (coupled with the selling agent's liability under the Property Misdescription act if the agent helps complete a PIQ that turns out to be inaccurate), it is likely that seller's lawyers will be involved in the preparation of the HIP more than they have been.

If so, I think this is a good thing: ideally, the seller's lawyer will review (or, indeed, prepare) the whole HIP, ensuring that it is accurate and comprehensive. Bedtter still if they can also ensure that a full property information form is completed, and best of all if they also include a draft contract.

That would make HIPs genuinely comprehensive and useful. OK, it means a lot of up-front work, but many lawyers will do that on a contingency basis - and it is no different to having to follow a pre-action protocol in issuing court proceedings, where the work is heavily front-loaded in the interests of a more efficient overall process

Heretical thought - HIPs do help (sometimes)

2009-04-25T11:24:00.004+01:00

Despite the many faults of Home Information Packs and the way they were implemented, they do (on the whole) help to speed up the conveyancing process. Usually, the legal pre-contract work is now completed well before the buyer's mortgage offer is issued - it used often not to be so.

The slowest item in the legal aspects is now the provision of up-to-date property information by the seller. This is presumably why the curent rules now require a "Property Information Questionnaire" to be included in the HIP. However, as the PIQ is no substitute (in either scope or effect) for full property information, its inclusion hinders rather than helps the process.

If the government could bear to swallow its pride for a bit, it should invite the Law Society to convene a panel of experienced conveyancers to come up with a comprehensive but well-designed property information form - as was done for the Law Society's National Conveyancing Protocol, its Formulae for exchange of contracts by telephone, its Code for completion by post, etc. The Law Society has a good track record for this sort of thing, and it is crazy for civil servants to design forms and procedures they know relatively little about.

Any standard form is, of course, going to need supplementing in some cases, but a well-designed form can be used to cover all appropriate information for the vast majority of cases - the Property Details Questionnaire produced by HIPAG - the Home Information Pack Action Group - is a very good example of a comprehensive form; it could be improved, but it is very close to ideal.

If such a property information form were completed by a seller with his or her conveyancer's help, and in a genuine attempt to provide all relevant information in an accessible way, it could be included in a HIP at the outset (or, better, added during the marketing of the property), to make the HIP genuinely comprehensive - apart from a contract (see next post)

"The anonymous uniform of the professionally uninterested"

2009-04-19T15:11:00.002+01:00

That phrase caught my eye when I read it during the past week. I think it was in reference to (for example) bank employees in uniform who don't really care about customers, only about achieving their targets

Yet I think it applies more to professionals who assume that a suit is required uniform - without necessarily looking at it from their clients' point of view

For myself, I rarely wear a suit if I am staying in the office - clients tell me they prefer to see me in a sports jacket and trousers, even in shirtsleeves, and that they find dealing with suited professionals very daunting - it is another barrier to overcome

I do wear a suit (normally) if going out on appointments - something to do with being a visitor and on my best behaviour, as opposed to being "at home" and welcoming - though I have not tried to work out the psychology

Does it matter?

Police over-reaction

2009-04-14T21:09:00.000+01:00

At last! Someone is writing about the Nottighamshire protest arrests: http://www.guardian.co.uk/commentisfree/henryporter/2009/apr/14/protest-power-station-arrest

If you are buying - get a survey

2009-04-12T12:39:00.003+01:00

If you are buying a property, PLEASE get a survey. For a few hundred pounds, you can save yourself tens of thousands of pounds.

First, if the survey reveals defects, you can re-negotiate the price to reflect these

Second, if the survey does not reveal defects as such, it will include useful information, and at the very least will reassure you that there are no major problems

I used to think that the only cases where I would not strongly advise a buyer to get a survey was in the case of a newly-built house with a new home warranty - even then, getting a surveyor to prpare a properly-detailed snagging list is, in my view, well worth while. That was until the time that a client decided that, despite the new homes warranty, she would also have a survey. The surveyor spotted that the external wall on one side of the property was not tied in properly - the brick outer skin was not tied to the frame - and could collapse at any time. Though this would (presumably) have been covered by the NHBC Buildmark cover, it was far better to get the problem remedied before committing to the purchase and having to get the problem remedied afterwards.

So, I now recommend surveys in all cases

In addition, buyer should get electrical wiring, gas appliances, central heating systems, etc, all checked by appropriate specialists - remedying problems or renegotiating the price to reflect problems, is soooo much easier before exchanging contracts!

You know it makes sense - get a survey

HIPs "upgraded" from 6 April

2009-04-12T12:35:00.003+01:00

Now that HIPs must include a PIQ, there is another hurdle to leap before marketing a property, but we at Nelsons Property Lawyers think we can help

There are different versions of the PIQ for existing homes and for new homes - a new home for these purposes is a home that is being designed or constructed or which has never been occupied. – and different versions for freehold and for leasehold properties.

The forms produced by the government do not have to be used; so long as the same information is collected. This gives those who want to prepare a more comprehensive HIP an opportunity to make the PIQ more useful than the minimal form would be, but the current trend with HIPs is to do as little as possible to comply with the legal requirements, rather than as much as possible to expedite the sale process, so I will not expect anyone to try very hard to improve on the “basic” PIQ.

It should take most sellers less than ten minutes to complete the basic PIQ for freehold properties, but completing even the basic PIQ for leasehold property will be a longer, more daunting process.

The PIQ says, “The Property Misdescriptions Act 1991 (PMA) does not apply where the form has been completed solely by the seller.” There is, therefore, a clear implication that an agent who helps a seller complete the PIQ could be liable for property misdescription if the PIQ contains errors. Accordingly, it would be best for the estate agent to get the seller to complete the PIQ alone, or to get the HIP provider to deal with it or to enlist the assistance of a local solicitor or conveyancer.

Most sellers will, after some initial grumblings, complete the freehold part of the PIQ without too much resistance. However, the leasehold part is another matter completely and I anticipate that many sellers may feel the need to speak to a solicitor or conveyancer - ideally, the solicitor or conveyancer who acted when they bought the property.

Where they cannot (or will not) do that, we will be happy to help. We will spend up to half an hour at our office free of charge, helping a local seller complete the PIQ and guiding them on where they can find any information they are lacking. If more than half an hour is involved, we reserve the right to make a charge (probably £50), but would normally waive this - our aim is to build relationships with local agents and prospective clients, and to help streamline the conveyancing process, rather than to make a profit out of this quasi-legal work.

If you want help in completing the PIQ, please contact Sam (Samantha Robb) or Anne (Anne Browne) at Nelsons Property Lawyers in Tenterden: telephone 01580 767100

Special offer for local first-time buyers

2009-04-08T13:03:00.002+01:00

To help local people stay local, we have introduced a very special, not-to-be-missed, fixed fee offer for local first-time buyers of property - see our leaflet for details

Bankers suffer - but (litigation) lawyers will thrive

2009-04-07T17:54:00.001+01:00

http://www.euromoney.com/Article/2175805/Category/204/ChannelPage/0/Abigail-Hofman-No-win-situation.html

What I try to do

2009-04-06T21:51:00.000+01:00

I try to look after my clients as close friends or family members: giving punchy, practical, jargon-free and actionable help; keeping their legal difficulties and expenses to a minimum; using my knowledge to benefit them.

from The Moonstone ...

2009-04-05T11:17:00.002+01:00

"it [is] always desirable for the sake of peace and quietness to be on the lawyer's side"
Hee! Hee!

Wealden Business Group

2009-04-04T13:36:00.004+01:00

I am a member of the Wealden Business Group (WBG): a breakfast networking meeting for business people in the Weald of Kent and Sussex. We meet on Wednesdays at the Little Silver Country Hotel, Ashford Road, St Michaels, Tenterden - further information at http://www.wgb.me

Having previously been chairman and secretary and filled other committee posts, I felt I had done my bit for the group; indeed, when I gave up being secretary a couple of years ago, I promised my wife not to take on another job - at that AGM at least

So I was rather surprised to find myself volunteering to become secretary again at the AGM on 1 April (last Wednesday) - I almost felt I was playing an April Fool's joke on myself!

I didn't tell my wife until Thursday evening, 36 hours later - I tell myself that this was because we had both been busy during the days and she had been away overnight, but I suspect it was also because I thought she'd thump me!

However, it is quite good to be fully involved again - I bet I won't feel the same this time next year!

Donating blood

2009-04-04T13:28:00.005+01:00

I have been donating blood for 25 years now - two or three times a year, as they normally only take a donation at least 16 weeks after the previous one.

The National Blood Service has, it seems, decided to reward "frequent flyers", as I have received a letter, congratulating me on giving blood 3 times in 12 months (not the first time, but the first time it has been commented on), and offering me a "a special cemmemorative slate coaster ... as a small token of our appreciation"

I feel quite touched! ;-)
(and I am NOT being cynical)

Home Information Packs - again

2009-04-04T11:28:00.005+01:00

On Monday, the new, tighter rules for HIPs come into play -

the HIP must be complete (well, nearly ...) before the property is marketed, rather than being in the course of preparation
the HIP must include the Property Information Questionnaire: a very watered-down and pointless version of the full Property Information Form that buyers' conveyancerswill expect to see; either the HIP should include a full information form or no such form should be required: adding an extra, largely pointless form is ... pointless
the HIP must include "full" searches - see below

Largely in order to produce HIPs as cheaply as possible - because everything is sold on price, not quality, these days, it seems - most HIP providers use agents to carry out "personal" searches, rather than getting "official" searches direct from the relevant councils. There is also, sometimes, an argument that personal searches can be quicker, but most councils, certainly in Kent, have an impressively speedy turnaround time now

Anyway, many personal searches did not contain answers to all the required questions, believe it or not. Usually, this was because some councils, apparently in an attempt to protect their income streams by encouraging the use of official searches, would refuse to allow access to relevant information unless obliged by law to do so. For instance, though the planning register must be open for inspection, the information relating to possible breaches of planning control need not

(BTW: some councils, including Ashford, offer "value added" searches, by including with the result copies of any conditional planning permissions, plans from Tree reservation Orders, etc - saving the need to apply separately for these once they were revealed by the local search result)

As a result, personal searches tended to paint a partial picture, while official searches painted the full (or, at least, a fuller) picture. Though personal search agents would offer insurance cover in respect of any "nasties" not revealed by the partial nature of the search, that is poor compensation (assuming the insurers in fact pay out) if your dream home is blighted by something that you would have known about in advance had an official search been available.

In addition, a significant number of lenders will not accept personal searches (or only if the buyer's conveyancer (as opposed to the person who carried out the search) guarantees their accuracy. As a result, if a HIP included a personal search (and most do) the buyer might need (or want) to get an official one too, increasing the cost despite the government's stated aim of reducing cost.

From 6 April, personal search will not be allowed to say "Don't know, but if there is a problem you are insured against it" - they will have to include answers to all the questions.

Unless the government is also obliging councils to answer all the questions (I simply do not know what is happening on this score), this will result in official searches being included in HIPs - something that I, as a conveyancer, will heartily welcome

Dumped by the Abbey - an update

2009-03-28T10:33:00.003Z

Following representations made by the Law Society to the Abbey, it appears that the preremptory letter issued to 6,000+ firms last wek is part of an exercise to invite firms to apply to joing a combined panel for the Abbey and Alliance + Leicester. If this is true, the original letter was extraordinarily cack-handed, as it gave no hint of this. It may be that the Abbey is finding a way to climb down with grace. We shall see ...

Dumped by the Abbey - yet more

2009-03-27T17:39:00.001Z

The Abbey's draconian step of removing some 6,000 solicitors from its conveyancing panel for mortgage work - without warning or any specified reason except low volume of transactions - is getting some media publicity

Proof of identity

2009-03-27T15:21:00.003Z

When acting for clients on transactions (eg: house purchases or sales), solicitors are obliged to check their clients' identities. It is not an integral part of the legal work we set out to do, but an obligation imposed on us under anti-money laundering legislation. It is an extra cost that we must absorb, and an extra risk we must accept, but we are not given any option. Failing to comply will result in us being sent to prison, it is treated that seriously.

The Land Registry has recently tightened up its own requirements. When applying to register a land transaction, we must either confirm that we are satisfied as to the identities of all the various parties (whether they are our clients or not) unless represented by another conveyancer, or we must tell the Land Registry we have not checked the identity of (say) an unrepresented seller; the Land Registry will then require that person to provide proof of identity before registering the transaction. As that is no good at all if our client has already paid for the land, this effectively means that we need to check the identity of non-represented parties as well, in order to protect our clients' interests.

Today, we had a call from someone who did not want us to act in his particular transaction (buying a piece of farmland to extend his garden - which raises planning issues of its own), but wanted us to verify his identity, to satisfy the Land Registry requirements. We said, "No" - we are not in the business of verifying people's identities; we are not trained to spot a fake passport; the fee we would want to charge to cover the time and opportunity cost involved, let alone the risk, would be unacceptably high; it would be a high-risk, lose-lose situation.

We suggested he went to the local Land Registry to verify his identity, but apparently not all Land Registries are set up to carry out the verification that they themselves require - yet they had glibly told the enquirer to "go to any solicitor with your passport - it is only a case of filling in a form" - bloody cheek!

Libraries - it's about the books

2009-03-26T18:23:00.001Z

Why are councils closing libraries or ignoring the books?

Let's start with suggesting some principles - challenge them, if you want

1 Reading is a Good Thing and therefore to be encouraged

2 Reading books (as well as other things, such as newspapers, blogs, instructions from above and ASBOs) is a Good Thing and therefore to be encouraged

3 Reading books is, perhaps, an area where quantity matters almost as much as quality - range matters

4 That said, quality matters, too, and people should be encouraged to try tough books as well as reading what they know they like - again, range matters

5 An educated or well-read population can create a better democracy and society than an ignorant one

6 All the qbove are assisted by the continued existence of well-funded and well-staffed local libraries that focus on books

7 'A library is supposed to be about the things you can't find in a ... station bookshop as well as the things you can. You don't always know what you want until you see it' -Christopher Hawtree

What point am I missing? Why are libraries in peril, when they should be cherished?

Dumped by the Abbey - further thoughts

2009-03-25T13:20:00.003Z

I have today heard from another (fairly local) solicitor who has been dumped by the Abbey from its conveyancing panel

This is particularly harsh for him and his clients, as he has 4 cases going through at present, and suddenly the Abbey is disrupting everything and causing chaos and extra expense. This does not surprise me - the Abbey just does not seem to care - but it has firmed up my decision to protest: I don't think the Abbey will change its mind, but at least I can give them a piece of my mind!

They do have impeccable timing: just when the country is totally disgusted at big financial institutions behaving selfishly, so the Abbey (part of the Santander group) is throwing its weight around, causing inconvenience and extra cost to its customers and doing its best to damage local businesses. It seems to be yet another example of a big organisation concentrating on process for its own benefit, rather then on consumer benefit - and that is putting the best interpretation on things

No doubt more to follow ...

Another test

2009-03-24T18:02:00.000Z

Third time lucky, I hope!

Beards and beer

2009-03-23T18:14:00.001Z

Articles extolling the eco-credentials of beards and local beer - I must be doing something right!

Chamber of Commerce Spring Hop

2009-03-23T11:23:00.002Z

Received from David Caulfield:
================================================================

Spring is here (nearly) and there’s no better time to get everybody dancing at a live music event. The ‘Spring Hop’ in St Michaels, Tenterden is to raise money for the Kent Air Ambulance and the Motor Neurone Disease Association – to be split equally between the two charities. There will be ten musicians and singers performing who are giving their services free of charge (not even expenses). The music is 50s, 60s and 70s. Some of the people taking part were in the hit pop group ‘The Dooleys’.

We are aiming for 200+ local people to attend and we will produce a program clearly listing all businesses that have contributed to the event. We will also mention everybody’s name on the night.

Here are some answers to some of the questions that will have immediately occurred to you (I can read your mind);

Q: Have we done this before?

A: Yes, last year we raised £660 for the Kent Air Ambulance and Demelza House.

Q: What are you aiming for this year?

A: We are determined to raise over £1000.

Q: Have you registered with both charities for this year’s event?

A: Yes.

Q: You haven’t told me the date.

A: Oh, it’s the 2^nd May. Here’s the rest of the details.

Spring Hop featuring Group 66 and members of The Dooleys.

2^nd May 2009.

Venue: St Michaels Village Hall, Grange Road, St Michaels, Tenterden.

Doors open 7.00pm for 7.30pm start – until late.

All proceeds to be split evenly between the Kent Air Ambulance and The Motor Neurone Disease Association.

All are welcome. If you would like tickets, please do not hesitate to get in touch. Many thanks.

David Caulfield: Mobile tel: +44 7770 483183
================================================================

So, if you want tickets, phone David

Dumped!

2009-03-22T17:06:00.002Z

On Friday (in common, apparently, with a lot of other sole practitioner lawyers and low-volume conveyancers) I received a "Dear John" letter from Abbey National (or "the Abbey", as they like to be called but have not bothered to change their name to).

They have unceremoniously and without warning "dumped" me - I am, with immediate effect, no longer on their conveyancing panel for mortgage work.

No real explanation - I just don't rock their boat, apparently

I will try to engage in a dialogue with them, but don't hold out much hope

I have some theories as to what is going on, and will publish them here over time

Don't get HIP-ripped

2009-03-15T13:48:00.002Z

We provide high-quality HIPs (from HIPAG) at less than £275 - including the PIQ with help from us - so why spend £400+ getting one from another source? Phone Sam(antha) or Anne on 01580 767100 for details and a chat