Reed v Marriott (Solicitors Regulation Authority): Admn 13 May 2009

The appellant solicitor had entered into an arrangement with a company to receive referrals of personal injury cases. She said that the agreements were deliberately devised to hide the fact that unlawful referral fees were to be paid, by requiring the subcontracting of associated services to a subsidiary of the insurance company at inflated fees levels. Litigation as to these agreements became known to the SRA who brought disciplinary proceedings, against which fine the solicitor now appealed. She said it had not amounted to a fee sharing arrangement.
Held: The appeal failed. The appellant’s case had been presented on a basis that the question related to the lifting or otherwise of the corporate veil. It was not. The question was whether the arrangements properly construed infringed the rules against paying rewards to introducers and against fee-sharing. Here the true person being reqrded was the parent insurance company

Sir Anthony May, Blake J
[2009] EWHC 1183 (Admin)
Solicitors’ Introduction and Referral Code
England and Wales
CitedSmith, Stone and Knight Limited v Birmingham 1939
Implied Agency between Parent and Subsidiary
An application was made to set aside a preliminary determination by an arbitrator. The parties disputed the compensation payable by the respondent for the acquisition of land owned by Smith Stone and held by Birmingham Waste as its tenant on a . .

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Legal Professions

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Updated: 09 November 2021; Ref: scu.346858