Continuing concern over the potential for mis-selling damages-based agreements has led the Legal Services Board to order the Legal Ombudsman to monitor the complaints it receives in relation to them.
It is “easy” to imagine a world where legal expenses insurance becomes mandatory in the same way that car insurance is, the Chief Legal Ombudsman claimed today. Adam Sampson said they would also be keeping a close eye on how DBAs develop.
The government yesterday pressed ahead with plans to allow consumers and businesses to bring opt-out collective actions for breaches of competition law – but indicated that they are not yet a done deal.
The Legal Services Board has decided against introducing guidance on how regulators should mitigate the risk of damages-based agreements being mis-sold after the regulators said they will tackle it through their regulatory frameworks.
The £2m limit above which commercial cases are not subject to automatic costs management is being reviewed, the judge in charge of Jackson implementation has revealed, while also hinting that pre-issue costs may come within costs management in future.
The government is already planning changes to the rules governing damages-based agreements (DBAs), it has emerged. The news comes as a leading litigation funder argues that concerns over whether the existing rules permit hybrid DBAs are misplaced.
Solicitors need to be careful to ward against professional negligence claims for mis-selling damages-based agreements (DBAs) or under-settling cases run under them, a QC has warned. Solicitors need to ensure that a full explanation of the reasons for the funding is given.
Damages-based agreements (DBAs) will change the face of commercial litigation and generate new funding problems for law firms, it was predicted today as the Jackson era properly began.