Darya Belsner v Cam Legal Services Limited

Darya Belsner v Cam Legal Services Limited

Section 74(3) of the Solicitors Act 1974 and CPR 46.9(2) do not apply to claims brought through the RTA portal without county court proceedings being issued; solicitors are not required to obtain informed consent to CFA terms in this context; the retainer term allowing solicitors to charge more than recoverable costs is not unfair under the Consumer Rights Act 2015; the proper basis for assessment is whether the costs are fair and reasonable under the Solicitors' (Non-Contentious Business) Remuneration Order 2009, and the costs charged were fair and reasonable.

Parties
Claimant/respondent: Darya Belsner; Defendant/appellant: CAM Legal Services Limited; Intervener: The Law Society
Jurisdiction
England and Wales
Judgment Date
27 October 2022
Procedural Posture
Civil Appeal / Court of Appeal Judgment on Appeal From High Court
Outcome
Appeal allowed
Legal Topics
Solicitors' Remuneration, Conditional Fee Agreements, Fixed Recoverable Costs, Fiduciary Duties, Consumer Rights Act 2015, Non Contentious Vs Contentious Business, Assessment of Costs
Costs Law Consumer Law Legal Profession Regulation Solicitors' Remuneration Conditional Fee Agreements Fixed Recoverable Costs Fiduciary Duties Consumer Rights Act 2015 +2 more

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Parties

Darya Belsner

Claimant/respondent

CAM Legal Services Limited

Defendant/appellant

The Law Society

Intervener

Procedural Posture

Civil Appeal / Court of Appeal Judgment on Appeal From High Court

Legal Issues

  1. 1 Do section 74(3) of the Solicitors Act 1974 and CPR 46.9(2) apply to claims brought through the RTA portal without county court proceedings?
  2. 2 Are solicitors required to obtain informed consent from clients in the negotiation and agreement of a CFA due to fiduciary duties or CPR 46.9(2)?
  3. 3 Did the client give informed consent to the CFA terms?

Ratio Decidendi

Section 74(3) of the Solicitors Act 1974 and CPR 46.9(2) do not apply to claims brought through the RTA portal without county court proceedings being issued; solicitors are not required to obtain informed consent to CFA terms in this context; the retainer term allowing solicitors to charge more than recoverable costs is not unfair under the Consumer Rights Act 2015; the proper basis for assessment is whether the costs are fair and reasonable under the Solicitors' (Non-Contentious Business) Remuneration Order 2009, and the costs charged were fair and reasonable.

Court Disposition

Appeal allowed

Orders

  • Base costs and success fee payable by the client assessed at £821.25 plus VAT.
  • The sum of £295.50 must be repaid by the client to the solicitors.