Legal News - September 2011
Thousands 'ripped off' by unregulated will-writers
Date: 07/10/2011
Thousands of people are being ripped off by companies providing unregulated services such as will writing, claims the first Legal Ombudsman.
Chief Ombudsman for England and Wales Adam Sampson called for action to be taken to ensure consumers were not left vulnerable by unregulated services.
Only a tiny fraction of legal services must be provided by a qualified lawyer. Many others including will writing, divorce and employment can be done by unqualified and unregulated individuals and organisations.
"One service which crops up a lot is will writing. It's a service carried out often by will-writing firms who aren't regulated," said Mr Sampson.
"Because of this, customers are left with little means of redress when things go wrong.
"We've seen similar confusion about claims management companies, with lots of consumers believing they're getting a legal service even though most of the work is carried out by a non-authorised person. Again, we can't help."
The legal ombudsman was appointed in October 2010 and can only act on complaints from those using the services of qualified lawyers.
Des Hudson, chief executive of the Law Society for England and Wales, said: "The gap in regulation which allows unregulated cowboys to operate in areas like will writing does not just cause unfair competition to solicitors, who provide a regulated, professional service.
"It is also damaging to consumers because the unregulated providers are not insured, do not provide a compensation fund and are not covered by the Legal Ombudsman's scheme for consumer redress."
A spokeswoman for the Ministry of Justice said will writing was an important issue and that it welcomed the report.
She added the department will await the outcome of the Legal Service Board's ongoing work.
If you require a Will or an amendment to your existing Will contact Vivien Bradley-Shaw for professional, regulated advice.
Santander makes Conveyancing Quality Scheme mandatory
Date: 07/10/2011
Santander has become the first lender to make membership of the Law Society’s Conveyancing Quality Scheme mandatory for firms applying to be on its conveyancing panel.
A Santander spokesman confirmed that CQS would be a requirement for new firms applying to join the panel, but said the accreditation mark alone will not guarantee a place.
Law Society chief executive Des Hudson said: ‘The Society is pleased that Santander is using CQS in this way. It is a sensible step and we applaud Santander’s decision to take the first steps in this regard.’
He said the move was a ‘solid acknowledgement’ that the scheme recognises high standards in conveyancing.
Andrew Baddeley-Chappell, head of mortgage strategy and policy at Nationwide, said it is ‘fully supportive’ of CQS and encourages all firms who support the highest standards in conveyancing to sign up to it.
While CQS membership is not yet a prerequisite of Nationwide panel membership, Baddeley-Chappell said he could see it becoming so in future.
Large & Gibson are extremely proud to say that we are one of the first firms in Hampshire to become CQS members offering a high level of personal service together with competitive pricing – Please complete the ‘Conveyancing Quote'
Stamp Duty Land Tax on Residential Property
Date: 07/10/2011
There are many additional costs to consider when purchasing a property such as survey fees and removal costs, but one of the biggest costs is Stamp Duty Land Tax which is payable on Conveyancing transactions.
If you are purchasing a residential property at a price of £125,000 or below no Stamp Duty Land Tax is payable. If you are a first- time buyer buying for over £125,000 up to and including £250,000, then no Stamp Duty Land Tax is payable provided you can comply with the conditions of the First-Time Buyer Relief and the transaction completes before the 25th March 2012. The Relief does not, however, apply if you or your joint purchaser have owned a property at any time anywhere in the world.
There are several thresholds for Stamp Duty Land Tax with different amounts of tax payable on residential conveyancing transactions at each level. Stamp Duty Land Tax is payable at 1% for transactions over £125,000 up to and including £250,000. Purchases from £250,001 up to and including £500,000 are subject to tax at 3% and over £500,000 up to and including £1 Million, the tax is 4%. If you are buying a property for over £1Million, since April this year, Stamp Duty Land Tax will be charged at 5% of the purchase price.
You may not have to pay Stamp Duty Land Tax if you are purchasing in an area which the Government considers to be ‘Disadvantaged’.
For further help and guidance regarding a proposed house purchase please contact Richard Wootton, Head of our Residential Conveyancing department.