Terms of Engagement

General

These terms set out the general terms on which we provide services to you. When you instruct us to advise on a new matter we will normally send you a retainer letter confirming your instructions. The terms of that letter and these Terms of Engagement will together form the contract between us for that matter.

Our Appointment

When you appoint us to act for you in relation to a particular piece of legal work, you will be authorising us to take all measures we believe appropriate to protect your interests unless you instruct us specifically to the contrary; and you will be authorising us to incur reasonable expenses on your behalf.

We will update you regularly with progress of your matter. If there is likely to be no action for a period of time we will try and let you know when matters are moving again. We will communicate with you via telephone, email, post and fax unless you inform us if a certain method is inappropriate.

Equality and Diversity

This Practice is committed to promoting equality and diversity; we operate an Equality & Diversity policy. The Practice intends to treat everyone equally and with the same attention, courtesy and respect regardless of their disability, gender, age, marriage or civil partner status, pregnancy and maternity, race, racial group, colour, ethnic or national origin, nationality, religion or belief or sexual orientation.

The Practice will treat seriously, and will take action where appropriate, all complaints of discrimination or harassment

Conflicts of Interest

Conflicts of interest are taken extremely seriously and must be considered at the earliest opportunity before accepting instructions and then throughout the matter as it progresses. If we feel that instructions should be declined you will be informed of this as soon as possible and offered such explanation and recommendation as in all the circumstances is professionally appropriate.

Receipt of Funds from You and for You

This firm cannot pay out money on your behalf until we are in possession of cleared funds. We must therefore receive any cheques at least ten clear days before the money is due to be paid out. If a longer clearance period is required, we shall advise you nearer the date. Bankers drafts have much shorter clearance times than personal cheques and CHAPS or BACS funds automated transfers from your bank to ours are preferable to cheques. Similarly, if we receive cheques for you, they have to be cleared through our bank before we pay you.

Money received on your behalf, such as debts, damages or costs recovered from your opponent, their solicitors or insurers will be paid into our client account. The signing of a copy of the contract will act as your authority for this firm to receive on your behalf all such monies, to pay to this firm any disbursements that have been paid on your behalf and any billed costs for work that we carried out for you.

Cash Transactions

Due to the constraints imposed upon us under Anti-Money Laundering Legislation, we are generally unable to accept cash at any time, except for payment of our fees in respect of work already carried out by us. If we do accept cash, it will be limited to £200 unless agreed by us for fees or disbursements. Please see anti-money laundering section below. We regret the inconvenience this causes to some clients, but this is beyond our control.

Financial Services

If during this transaction you need advice on investments, we may have to refer you to someone who is authorised by the Financial Conduct Authority, as we are not. However, as we are regulated by the Solicitors Regulatory Authority, we may be able to provide certain limited investment services where these are closely linked to the legal work we are doing for you.

When we are asked to recommend the services of a third party (such as an advisor authorised by the Financial Conduct Authority, a surveyor, a trade mark agent, accountant or foreign lawyer) we shall always do so in good faith. However, no warranty is given in respect of the standing, ability or the quality of the services of the third party. We do not accept liability for that third party’s services and you will have a contract with that third party, but not with us in respect of that third party’s goods or services. You will be responsible for the fees and expenses of that third party.

The Law Society of England and Wales is a designated professional body for the purposes of the Financial Services and Markets Act 2000. The Solicitors Regulation Authority is the independent regulatory arm of the Law Society. The Legal Ombudsman is the independent complaints handling body to the legal profession. If you are unhappy with any insurance advice you receive from us, you should raise your concerns with either the Solicitors Regulation Authority or the Legal Ombudsman.

Invoices and Charging Rates

• In our Client Care letter sent to all Clients we will provide a written estimate of costs. All work done by Kidwells Law is charged for on an hourly basis unless a capped rate, fixed fee, insurance funding or Conditional Fee Agreement has been agreed. You will have been advised at the time of your original instructions or shortly thereafter of the identity of the fee-earner responsible for your matter together with details of the applicable hourly rate or written estimate. Charges will be made for letters written and received, all telephone calls and emails relating to your matter. Charges may also be applied for photocopying and facsimile charges together with other incidental expenses.
• Our hourly rates have to be reviewed periodically to reflect increases in overhead costs and inflation. Normally rates are reviewed with effect from 1 January each year. If a review is carried out before this matter has been concluded, we will inform you of any variation in the rate before it takes effect.
• In addition to the time spent, we may take into account a number of factors including any need to carry out work outside our normal office hours, the complexity of the issues, the speed at which action has to be taken, any particular specialist expertise which the case may demand. An increase in the rates may be applied to such factors and we will notify you prior to undertaking the work should this occur.
• For copying documents, you will be charged £0.25 per copy for black and white and £1 per copy for colour and time taken for copying by an assistant; assistant rates being £95.00 per hour.
• Charges are made for copying because documents and bundles may need to be copied so as to be relied on at court and may have an effect on your matter if incorrectly done.
• Our fee estimates do not include any expenses or payments to third parties which we may have to incur on your behalf. These are known as “disbursements”. Examples of disbursements are travel expenses, telephone call charges, experts’ fees, Counsel’s fees, stamp duty and search fees.
• To help you budget, it is our normal policy to send interim invoice including itemised costing on a regular basis as and when appropriate and these are to be regarded as final bills for the work done to the date stated on the invoice and not as a request for payment on account.
• Payments to others will be invoiced as and when they are incurred, we reserve the right to require payment in advance (and will normally do so for any substantial payment to others).
• Our bills, whether interim or final, are payable within 14 days of receipt and we reserve the right to cease acting for you if we do not receive payment in accordance with these terms. Should any transaction or matter not proceed, we will make a charge for our time and any payments to others and fixed costs incurred.
• It is normal practice to ask clients to pay interim invoices and sums of money from time to time on account of the charges and expenses which are expected in the following weeks or months. We find that this helps clients in budgeting for costs as well as keeping them informed of the legal expenses which are being incurred. If such requests are not met with prompt payment, delay in the progress of a case may result. In the unlikely event of any bill or request for payment not being met, this firm must reserve the right to stop acting for you further.
• Should Court Action become necessary to recover any unpaid and due invoices you agree to refund the costs of such action plus interest, as above. If you have any query about your bill, you should contact the Fee Earner dealing with your matter straight away.
• Should your file be complex to cost, you may incur charges for the costing. Our accounts rates are £95 plus VAT per hour. Should this type of file costing be necessary, we will advise you.
• We accept all methods of payment for our Charges, Expenses and Disbursements and are happy to discuss this with you. Monies due to you from us will be paid by cheque or bank transfer but not in cash and will not be made payable to a third party.
• Where it is necessary for us to carry out an electronic search on an individual we charge up to £10 plus VAT for each search. Electronic searches on a business incur a charge up to £20 plus VAT for each search.
• All charges (including our costs and payments to others) are subject to VAT at the appropriate rate.
• In the event our invoice remains outstanding after 14 days we reserve the right to charge interest upon the outstanding invoice at the rate of 8% per annum.

We are entitled to settle your outstanding invoice(s) from monies received or held on your behalf. If we are not paid in accordance with our agreed terms, we shall also be entitled to:

• Recovery any costs, expenses or disbursements we incur in collecting the overdue amount
• Suspend the provision of our services pending payment
• Terminate our retainer and delete Kidwells from the record in any court or other proceedings

If you object to the amount of our invoice (other than disbursements) from money held on account you have the right to have the invoice assessed by the Court. Your objection needs to be in writing to us within one month of delivery of the invoice.

Expenses

Can include, but are not limited to:

• Rail and air travel is charged out at cost and travel by car is charged at a flat rate of 45p per mile.
• Car Parking.
• The full cost of overnight accommodation if required.

Commission

Where any commission we receive that exceeds £20 we will retain such commission unless we have agreed otherwise with you in writing in advance. If you terminate a policy or investment where commission has been allowed or paid to you, we will possibly ask you to repay the commission.

Interest

When we hold money on your behalf, we will generally account to you for interest in accordance with rules laid down by the Law Society. Interest will not normally be paid to you whilst any invoice remains outstanding.

The SRA Accounts Rules 2011 require us in certain circumstances to pay to you money in lieu of interest on funds which we have held in our client account of your behalf. The interest will run from the date upon which any funds you send to us clear in our client bank account until the date we issue any cheque from our client account. This interest will be paid to you gross (i.e. without any deduction or tax.) It will be your responsibility to account to the Inland Revenue for any tax due on this interest. No such payment will be made if the amount of such interest would be less than £20 as the administrative costs chargeable to you of sending out small sums below £20 would outweigh the amount in question.

We operate a Financial Management Policy dealing with client interest. A hard copy of this policy is available on request.

Occasionally we are left with money in our client account that needs to be returned to a client. If this is less than £500 we endeavour to contact the client to return the sum due. We will use all sources of contact that we have but once every effort has been made, if we do not have instructions from the client regarding the amount outstanding it will be given to our chosen charity – in this instance The Law Society Charity.

File Retention, Termination and Right to Lien

1) You may terminate your instructions in writing at any time but we will be entitled to retain all your papers and documents while there is money owing for any charges and expenses.

2) We may terminate this agreement, at any time, by giving you reasonable notice. Reasonable notice will be determined with regard to all of the circumstances that exist at the time notice is given.

3) We will store our file of papers (except any of your papers which you ask to be returned to you) on the understanding that we have the right to destroy it 6 years after the date of the final invoice we send to you for the matter in question. We do not destroy documents which you ask us to deposit in safe custody.

Termination Consumer Contracts (Information, Cancellation & Additional Contracts) Regulations 2013

Subject to the previous point, you may terminate your instructions to us in writing at any time. In some circumstances, we may consider that we ought to stop acting for you, for example, if you cannot give clear or proper

instructions on how we are to proceed, or it is clear that you have lost confidence in how we are carrying out your work; or if you have not paid any interim or final invoice when requested to do so. We may decide to cease acting for you only with good reason. We must give you reasonable notice that we will cease acting for you. If you or we decide that we are no longer to act for you, you will be liable to pay our charges up to the date we cease acting (as set out earlier).

If you are a private individual, your instructions do not relate to your business, we did not meet you when we took your initial instructions or we met you away from our premises then the Consumer Contracts (Information, Cancellation & Additional Contracts) Regulations 2013 will apply. This gives you the right to cancel your instructions without giving any reason and without cost within 14 calendar days of the original instruction. You can cancel your instructions by informing us in writing by post, email or fax.

Be aware you may be charged if you cancel your instructions after the 14 calendar day period.

Anti-Corruption and Bribery Policy

It is our policy to conduct all of our business in an honest and ethical manner. We have a zero-tolerance approach to bribery and corruption.

Complaints

As a professional Practice we are committed to attempting to resolve problems that may arise with our services. It is therefore important that you immediately raise any concerns you may have.

What is a complaint?
The Practice regards a complaint as an oral or written expression of dissatisfaction which alleges that the complainant has suffered (or may suffer) financial loss, distress, inconvenience or other detriment.

Am I entitled to complain?
Yes. If you are unhappy about any aspect of the service you have received or costs relating to your matter then we want to hear about it.

How do I complain?
Complaints can be raised in a number of ways. The Practice will allow and respond to complaints made by any reasonable means giving due consideration to the individual needs of that client. Your first contact regarding a complaint should be to the fee earner working on your matter. However, if you choose not to speak to that person then you can go directly to our designated Complaints Handler the Managing Director, Michael Horne. You can do this by:

Email: michael.horne@kidwellssolicitors.co.uk
Letter: Kidwells Law Solicitors Ltd.
Kidwells House
4 Coldnose Road
Rotherwas Industrial Estate
Hereford
HR2 6JL
Phone: 01432 278179

If a complaint is made against Michael Horne then the role will be assumed by another Director.

How will my complaint be handled and how long will it take?
When a complaint is first received, the fee-earner (or, if the complainant does not wish to deal with the fee-earner, the Managing Director) must respond by letter within 3 working days of the day upon which we received the complaint.

The Managing Director will send a copy of our Complaints Procedure and will advise of the complainant’s right to complain to the Legal Ombudsman

The Managing Director will deal with the complaint as a separate matter to the instructed matter. Records of all complaints and associated documents and correspondence will be kept by the Managing Director and recorded on our complaints log.

The Practice will aim to resolve disputes within 8 weeks of receipt of the complaint.

The Managing Director will investigate the complaint fully. This will include reviewing the file and speaking to the fee earner who dealt with the matter.

After the matter has been investigated, the Managing Director will if appropriate invite the complainant to a meeting to discuss and hopefully resolve their complaint. The invitation will be sent within 14 days of acknowledging the complaint.

Within 3 days of the meeting the Managing Director will write to the complainant confirming the meeting and any solutions that were agreed at it.

If the complainant does not wish to attend a meeting, the Practice Director will send a detailed written response to the complaint with suggestions for resolving the complaint within 21 days of sending the letter acknowledging the complaint.

If the complainant remains unsatisfied a Director will review the decision and may arrange to meet with them to discuss why they remain unsatisfied.

Within 14 days of the review or meeting, a Director will summarise the outcome of the complaint reminding them of their right to complain to the Legal Ombudsman. This will conclude the internal complaints procedure.

What happens if I am not happy with how my complaint has been handled?
If you are not satisfied with our handling of your complaint you can ask the Legal Ombudsman to look at your complaint. You can do this by:

Email: enquiries@legalombudsman.org.uk
Letter: Legal Ombudsman
PO Box 6806
Wolverhampton
WV1 9WJ
Phone: 0300 555 0333

We would welcome the opportunity of resolving any issues with you prior to this. You must allow us eight weeks to provide a full response to your complaint. Any complaint to the Legal Ombudsman must be either:

• Six years of the problem happening; or
• Three years from when you found out about it (if it took place more than six years ago

For further information, you should contact the Legal Ombudsman on 0300 555 0333 or at www.legalombudsman.org.uk

Money Laundering Regulations & Proof of Identity

We are obliged under Anti-Money Laundering and Anti-Terrorism Legislation to verify the identity of all clients, even those who are known to us from the past. Any delay in obtaining verification will prevent progress on your matter. If
you are abroad then ID would need to be certified by a recognised individual or body such as an independent legal professional, tax advisor or accountant for that country and a copy sent as proof of identity.

Being asked for identification does not mean you are under suspicion. The identification requirements apply to all clients when they are asking their Solicitor to conduct certain types of cases.

In person you will have to show us original personal documentation including:-

• Current signed Passport or a photo-card Driving Licence and
• A recent gas, electricity or other household utility or council tax bill (not mobile phone bills) dated within 3 months and addressed to you at your home address.

Remote clients who we don’t meet face-to-face will have to show us original personal documentation including:-

• A photocopy or clear photo of their current signed Passport or a photo-card Driving Licence
• A clear, legible, unedited, and unfiltered photo of themselves holding the same document
• Other information as required to prove that the client is who they say they are

We have to inspect these documents and retain copies of them on our file. Remote clients who we don’t meet faceto-face will be subject to identity verification checks. This means using a reference agency (typically the Experian or
Equifax databases). To do this, we supply your identity information (such as name, address, and passport number) and they will verify the information and supply fraud prevention information. This has no impact on your credit score but
may show on your credit history as a “soft check” on identity. These checks are to prevent criminal activity, fraud and money laundering.

If you do not have all these documents, you will have to ask your Solicitor to advise you on how best to prove who you are.

Where it is necessary for us to carry out an electronic search on an individual we charge up to £10 plus VAT for each search. Electronic searches on a business incur a charge up to £20 plus VAT for each search.

In certain circumstances we may be compelled by law to reveal information to the appropriate statutory authorities in relation to any suspicion of money laundering. The Money Laundering Regulations 2017 and the Proceeds of Crime Act 2002 set out rules and regulations for us to comply with as a Firm.

When we are paying funds into Kidwells client account for a financial transaction, we may ask you for proof of the source of funds. This could be a copy bank statement, building society passbook or other details as required.

We are legally obliged to keep your affairs confidential but if we suspect that a transaction may involve money laundering, including the proceeds of crime, we are required by statute to make a disclosure to the National Crime Agency.

We cannot be held liable for any loss or damage suffered by you as a result of our duty to comply with any statutory or regulatory requirement that arises out of legislation.

We do not accept cash payments totalling more than £200. Cash deposited directly into our bank to avoid our anti-money laundering policy may incur extra charges if we are required to carry out checks to prove the source of the funds.

Should any monies be returned to the client at the end of the matter or during the instruction for whatever reason, then there may be a delay of several weeks in order to complete all anti-money laundering checks.

Litigation: Your Costs and Those of the Other Party

If we act for you on a contentious matter you will be responsible to us for all the legal fees and expenses that you incur although you may be able to recover some of them from your opponent. In some cases, particularly where your opponent is legally aided and in cases before the Employment Tribunal, your opponent is unlikely to be ordered to pay any or all of your fees and expenses, even if you are wholly successful in your action.

Even where a Court orders your opponent to pay your costs and expenses you may encounter an insolvent opponent who cannot pay. In these circumstances you are still liable to pay us for all the legal fees and expenses that you incur. You will also be responsible for paying the charges and expenses of seeking to recover any charges and expenses that the Court orders your opponent to pay. If the court does order your opponent to pay some or all of your charges and expenses, in that case, interest can be claimed from your opponent from the date of the court Order.

You agree to be liable for our charges and expenses on the basis agreed between us in the retainer letter and these terms (and subject to any changes notified to you), notwithstanding that this amount may exceed the amount of costs which you would be permitted to recover from any other party.

If you are unsuccessful the Court may order you to pay all or a significant proportion of your opponent’s fees and expenses (together with interest). You may also have to make payments in respect of your opponent’s fees and expenses at various stages in the course of the action. If you withdraw from a case you will usually be ordered to pay your opponent’s fees and expenses.

Non-Contentious Matters

In certain non-contentious matters, you may also be responsible for paying another party’s costs. An example of this would be if you are the tenant of a property and you wish to assign or transfer your Lease to a third party, then if the terms of your Lease so provide, you may be responsible for paying Landlords’ costs, legal costs and surveyor’s fees. It is not always possible for us to advise you of the precise amount of these third party costs at the outset of the matter but as soon as we become aware of the same we shall notify you of the amount.

Storage

The Practice will keep the file of papers, including digital versions, relating to the matter (except for any you ask to be returned to you) for no more than six years from the date when the file is closed. Unless you state in writing to the contrary, the file will then be destroyed. Documents you ask us to deposit in safe custody will not be destroyed. Documents and title deeds that are subject to a mortgage will be sent to your Lender following completion of all legal formalities.

If we retrieve papers or documents from storage in relation to continuing or new instructions to act in connection with your affairs, we will not normally charge for such retrieval. However, we may make a charge based on time spent producing stored papers or documents to you or another at your request. We may also charge for reading, correspondence or other work necessary to comply with the instructions given by you or on your behalf.

Data Protection and Confidentiality

In common with many modern businesses, we store information relating to our clients’ work digitally.

We will at all times keep your business and instructions to us confidential (subject to any statutory obligations to the contrary where we may be required by law to disclose information that we hold about you).

There are some circumstances where we may need to release or to share or provide information about your transaction to other third parties (for example on a property sale or purchase, we may need to discuss the position with your estate agents, your surveyors or your lender) and in instructing us you are irrevocably consenting to us doing so for the duration of our instructions on the work in question.

We monitor the professional standard of our work and bodies such as the Law Society periodically inspect our work. This means that it may be necessary for a small number of our files to be audited by external examiners to ensure that we maintain our quality systems. Please let us know if you object to your file being submitted to audit. Unless you notify us otherwise, we shall assume that you have no objection. Our work for you will not be affected whether or not you allow us to make your file available for audit.

Hours of Business

Our usual business hours are between 8.00 a.m. and 5.30 p.m. from Monday to Friday each week, excluding Bank Holidays. However, we are generally pleased to offer clients out-of-hours appointments, and where necessary we are happy to see clients at home or at their place of work.

We strive to be as flexible and accommodating as possible. Outside normal business hours our main office telephone number is manned by a Lawyer at all times giving you the confidence that you will always be in safe hands.

Banking Crisis – Financial Services Compensation Scheme (FSCS)

We confirm that we bank with Lloyds Bank plc where, any monies paid to us by you to be held on account will be held in a specified Client Account at that bank. We will not be liable to repay any money that we hold for you in our client account at Lloyds Bank plc which is lost as a result of a failure of the bank. It is however unlikely that we, Kidwells, will be held liable for losses resulting from any banking failure. The Financial Services Compensation Scheme (FSCS) provides for a £85,000 limit to any individual Client and therefore, if you hold any other personal monies yourselves at Lloyds Bank plc, including joint, partnership and sole trader accounts, the limit remains £85,000 to include the amounts that you have paid to Kidwells to hold on account for you.

It is your duty to investigate whether or not Lloyds TSB is a subsidiary or owner of other accounts that you hold with other banks. As where the same institution is trading under different names, you will still only gain the protection of the £85,000 maximum cover.

By your continuing to instruct this Practice, we are receiving your consent for the disclosure to the FSCS of your details in the event of a bank failure.

If the instructions to Kidwells are from a limited liability company, then they only meet the protection cover of the £85,000 provided they meet 2 of the following criteria, namely:

• There is an annual turnover of less than £6.5 million
• The balance sheet has a total of less than £3.26 million
• The company has fewer than 50 employees

Application of These Terms and Amendments

Unless otherwise agreed, these terms of engagement save for the amount of any estimate, will apply to any future instructions you give us. However, we reserve the right to amend our terms from time to time and any such amendments in force at the commencement of any such future work shall apply to that work.

Any dispute or legal issue arising from our terms of business will be determined and considered exclusively by the law and courts of England and Wales.