London Excel is in court again over dispute with insurers, Anti-greenwashing rule opens firms to damages claims
COMMERCIAL LAW
London Excel is in court again over dispute with insurers
City A.M. ?
Allianz and other insurance firms are seeking to overturn a High Court ruling in favour of London International Exhibition Centre (Excel). In October 2022, the venue took its insurers - Royal & Sun Alliance Insurance, Allianz Insurance, CNA Insurance, Aviva Insurance, Zurich Insurance and Chubb European Group - to court seeking roughly ￡16m over business interruption losses precipitated by the pandemic. Excel's claim was heard with five similar claims. The case stemmed from the Supreme Court’s 2021 landmark test case ruling, which was brought by the Financial Conduct Authority (FCA). Each policyholder had a form of ‘at the premises' or “ATP” disease cover in their business interruption insurance policies; however, ATP disease cover was not within the scope of the FCA test case. A High Court judge reviewed the Supreme Court ruling to determine if it also applies to ATP disease clauses, just as it does to radius disease clauses in the test cases. A ruling last year sided with the policyholders and said ATP clauses are the same as radius disease clauses.
Anti-greenwashing rule opens firms to damages claims
The Financial Conduct Authority (FCA) implemented an "anti-greenwashing" rule at the end of last month, writes Paul Gair, a partner at the law firm TLT, in The Times. He says the move signals the regulator's intention to take action against firms that cannot substantiate claims about their sustainability-linked products. The FCA's rule requires any reference to the sustainability characteristics of a product or service to be "fair, clear, and not misleading," creating legal jeopardy for businesses. The FCA's move is seen as one of the most notable regulatory developments this year, writes Gair, and breaches of the rule may open firms to damages claims and misrepresentation claims in the years to come.
High Court dismisses libel claim against Trustpilot
The High Court has dismissed a libel claim brought by Leeds law firm BW Legal against Trustpilot. The firm had sued the website over 20 negative reviews that affected its overall rating and claimed a potential loss of ￡3.7m in profit. However, the judge ruled in favour of Trustpilot, stating that BW Legal failed to demonstrate how the reviews caused serious financial loss. The court also rejected the firm's request for damages, an injunction, and a summary of the judgment to be published. Telecoms company Three, which was involved in a potential contract, cited concerns about the Trustpilot reviews as one of the reasons for not selecting BW Legal. However, the defence argued that only three of the reviews were published at the time of the tender decision, and there was no evidence that Three had read those specific negative reviews. The judge concluded that BW Legal had not proven a link between Three's decision and the reviews.
PROPERTY LAW
Conveyancing crisis is slowing sales
A Sunday Times investigation reveals that the average time to complete a property sale in the UK is five months, due to a conveyancing crisis and a logjam in the system. Delays in the legal process, understaffed conveyancing companies, and a postcode lottery for local searches are among the factors causing delays. These delays, the report warns, increase the risk of deals collapsing, costing buyers an average of ￡2,899 in lost legal fees, according to consumer group Which?. The Conveyancing Association's director of delivery, Beth Rudolf, warns that the system "isn't fit for purpose," with transaction times now taking about 22 weeks and 30% of transactions falling through.?It is noted that the number of?law firms?receiving an income from residential conveyancing has dropped by 455 since 2021, reaching 6,308, according to IRN Legal's UK residential conveyancing market report for 2023.?
Row over revised conveyancing form prompts no-confidence vote
The Law Society's revision of a conveyancing document has led to a no-confidence vote in its leadership. The controversy revolves around changes to the TA6 property information form, which requires sellers to provide more details about properties. The revised form includes information on council tax band, freehold or leasehold status, restrictive covenants, flood risk, building safety issues, and parking permits. Some solicitors have criticised the changes, claiming they are unnecessary and unworkable. The Property Lawyers Action Group accuses Trading Standards of seeking to re-engineer the conveyancing process. The Law Society has postponed the mandatory use of the form and will continue consultations. The society denies that the changes increase solicitors' civil or criminal liability.
EMPLOYMENT LAW
Amazon workers to be balloted on union recognition
BBC News ?
GMB union officials have entered Amazon's Coventry fulfilment site for the first time this week to hold meetings with the 3,000 workers to try and win their vote. The ballot process could see Amazon recognise a trade union in the UK for the first time. GMB needs 40% of workers to vote in favour of wanting a union to represent them. Amazon will ask staff to attend meetings to hear the company's counter argument. The company said postal ballot papers would be sent out on 3 July with workplace voting starting on 8 July, lasting for six days. GMB said the result of the ballot would be announced on 15 July. Amanda Gearing, GMB senior organiser, said: “They [Amazon] are a multi-billion-pound global company investing huge energy to resist efforts by working class people in Coventry to fight for a better life." A spokesperson for Amazon said: “Our employees have the choice of whether or not to join a union. They always have. Across Amazon we place enormous value on having daily conversations and engagement with our employees. It’s a strong part of our work culture. We value that direct relationship and so do our employees.”
BP employees threaten legal action over crackdown on workplace affairs
Mail on Sunday ?
Legal experts warn that BP could face lawsuits from employees over its crackdown on relationships at work. The oil company has demanded that staff disclose any intimate relationships with colleagues or face the sack. The firm wants details of relationships going back as far as 2021. BP had previously said that staff were only obliged to disclose relationships if there was a potential conflict of interest. Hina Belitz, a partner at Excello Law, said: “I understand the forward-looking change to the policy, but to retrospectively seek information raises a lot of issues. That seems unreasonable.” The new rules follow the sacking of CEO Bernard Looney in December for serious misconduct over his failure fully to disclose his past relationships to the board.
GENERAL LAW
Lawyers take Lord Chancellor to high court over legal aid fees
The Guardian ?
The Lord Chancellor, Alex Chalk, is facing a high court challenge over claims that low legal aid fees are preventing lawyers from providing representation to eligible individuals. The challenge specifically focuses on access to legal aid for immigration and asylum lawyers. Duncan Lewis Solicitors, one of the largest providers of civil legal aid in this area, is bringing the challenge. The Lord Chancellor is accused of failing to raise the rates for legal aid work in the immigration and asylum field. The demand for legal assistance in this area exceeds the supply, leaving vulnerable groups without access to legal aid. Bodies including the National Audit Office, parliament’s justice committee and the public accounts committee have recommended raising the rates, but the government has yet to take action.
Former Justice Secretary calls for amnesty for Covid rule breakers
Daily Telegraph ? Daily Mail ?
Former Justice Secretary, Sir Robert Buckland, has called for an amnesty for the more than 29,000 people who received criminal convictions for breaking Covid rules. He believes that their "slates should be wiped clean" to prevent their career prospects from being affected. The call has been supported by two former Cabinet ministers and charities. The fines, which were issued by magistrates, resulted in criminal convictions that could hinder individuals from working in certain professions or traveling to certain countries. Sir Robert argues that criminal background checks should focus on those who pose a threat to public safety rather than those fined during the exceptional circumstances of the pandemic. Ministry of Justice data shows that the fines issued amounted to ￡26m, with people in their 30s paying the largest amount.
High Court rules that dropping Windrush recommendations was unlawful
Daily Mail ? The Guardian ? London Evening Standard ?
The High Court has ruled that the decision to drop recommendations made after an independent review into the Windrush scandal was unlawful. Windrush victim Trevor Donald brought legal action against the Home Office over the decision not to proceed with all of the recommendations. Mrs Justice Heather Williams stated that dropping two of the recommendations had a "disproportionately prejudicial effect upon Windrush victims" and indirectly discriminated against them. The judge also found it unlawful and "conspicuously unfair" for one of the recommendations to be shelved without consulting Windrush community representatives and Wendy Williams, the author of the review.
Investigator claims Post Office engaged in cover-up
The Daily Telegraph ? The Times ? Daily Mail ? The Guardian ?
An investigator appointed to review the Post Office's Horizon IT system in 2012 has accused the state-owned body of engaging in a cover-up. Ian Henderson, a chartered accountant, and his colleague Ron Warmington were appointed to investigate possible miscarriages of justice involving post office operators. Henderson claims that the Post Office constantly sabotaged their efforts and used legal professional privilege to withhold documents. He also alleges that the then chief executive, Paula Vennells, attempted to steer them away from investigating potential miscarriages of justice. Henderson believes that the Post Office was involved in a cover-up and possibly a criminal conspiracy. He also claims that the investigators were threatened with legal action if they continued causing trouble.
Case delays surge as crown court backlog hits 68k
The Observer's?Lizzie Dearden details a day in one Britain's busiest courts, Snaresbrook?crown court?in east London, which hears more than 100 cases across its 20 courtrooms but is "frequently derailed" by missing defendants, unreliable video links and botched communications with prisons and police. The court, Dearden says, is facing a crisis with some trials delayed until 2026. Backlogs are at a record high across the system, with 68,125?crown court?cases waiting to be heard in England and Wales. Richard Miller, head of justice at?the Law Society?of England and Wales, says the physical state of courts is one factor causing hearings to be cancelled and delayed. He also describes cases where "there is no judge, no?barrister,?no documents, defendants not produced from prison," adding: "Years ago we were saying the system was in crisis, but the government didn't do anything and now it's fallen over completely."?
FIRMS
Saudi Arabia looks to lure British lawyers with perks
Saudi Arabia's Crown Prince Mohammed bin Salman is enticing British lawyers to work on the country's megaprojects with lavish perks, including free land and payment of their children's private school fees. State-owned companies like Saudi Aramco and Neom are offering benefits such as free accommodation, relocation allowances, and free MBA courses. These incentives, along with tax-free six-figure salaries and large bonuses, are attracting ambitious lawyers who see Saudi Arabia as a more promising market than Dubai. The hiring spree by Saudi companies has caused some UK law firms to struggle with recruitment, and the perks offered by Saudi companies pose a threat to firms, even though in-house lawyers are typically paid less than those in private practice. The recruitment drive is part of Crown Prince bin Salman's plan to diversify Saudi's economy through infrastructure and energy projects. Reforms in Saudi's legal standing designed to encourage deal-making have attracted Magic Circle law firms including Clifford Chance, Linklaters, and A&O Shearman.
Slough firm faces wasted costs order for breach of contract claim
A Slough law firm is facing a wasted costs order after it demonstrated a "lackadaisical" approach to a breach of contract claim. Fitz Solicitors was instructed on behalf of Van Spall Associates Ltd in a claim seeking ￡16,000 from JNOAD Ltd. The claimant's solicitors engaged in "improper conduct" by ignoring correspondence, according to Conor Maher, representing JNOAD Ltd. Despite receiving a letter about a family bereavement, the defendant's solicitors did not communicate with the claimant for a substantial period. The claim was struck out after the claimants failed to pay the trial fee. Deputy District Judge Colin Passmore awarded costs against the claimant and ordered Fitz to show cause for a wasted costs order. The judge considered the conduct to be negligent but not improper.?
‘Insane’ pay rises for junior London lawyers raise concerns over culture
Significant pay rises for the most junior London lawyers at elite firms have been criticised as “insane” and unsustainable, amid a war for talent in the City again.
CASES
Health drinks tycoon's lover wins ￡6.4m will battle
Daily Express ?
The younger lover of a health drinks tycoon has won a bitter High Court fight over his ￡6.4m will. Alan Lorenz, who sold weight-loss shakes through Herbalife, left his money to Sheila Caruana, his civil partner. His siblings claimed that Caruana had failed to honor a promise to share the estate with them. However, the court rejected their case, ruling that moral obligations cannot be enforced. Lorenz's barrister argued that he left everything to Caruana to avoid the family paying tax. The case was dismissed, and Caruana keeps the entire fortune.
Joey Barton to pay ￡75,000 in damages to Jeremy Vine
领英推荐
Former football player and manager Joey Barton has agreed to pay Jeremy Vine ￡75,000 in damages and legal costs. The broadcaster sued Barton for libel and harassment over 14 social media posts. High Court judge Justice Steyn ruled that 11 of the posts could defame Vine. Barton's comments on women in the media and football precipitated the abuse, which escalated after Vine questioned his remarks. Barton launched a sustained attack on Vine, posting several abusive messages on social media. The posts contained clear references to Vine having a sexual interest in children. Barton has been out of work since being sacked by Bristol Rovers.
iance Insurance, Allianz Insurance, CNA Insurance, Aviva Insurance, Zurich Insurance and Chubb European Group - to court seeking roughly ￡16m over business interruption losses precipitated by the pandemic. Excel's claim was heard with five similar claims. The case stemmed from the Supreme Court’s 2021 landmark test case ruling, which was brought by the Financial Conduct Authority (FCA). Each policyholder had a form of ‘at the premises' or “ATP” disease cover in their business interruption insurance policies; however, ATP disease cover was not within the scope of the FCA test case. A High Court judge reviewed the Supreme Court ruling to determine if it also applies to ATP disease clauses, just as it does to radius disease clauses in the test cases. A ruling last year sided with the policyholders and said ATP clauses are the same as radius disease clauses.
Anti-greenwashing rule opens firms to damages claims
The Financial Conduct Authority (FCA) implemented an "anti-greenwashing" rule at the end of last month, writes Paul Gair, a partner at the law firm TLT, in The Times. He says the move signals the regulator's intention to take action against firms that cannot substantiate claims about their sustainability-linked products. The FCA's rule requires any reference to the sustainability characteristics of a product or service to be "fair, clear, and not misleading," creating legal jeopardy for businesses. The FCA's move is seen as one of the most notable regulatory developments this year, writes Gair, and breaches of the rule may open firms to damages claims and misrepresentation claims in the years to come.
High Court dismisses libel claim against Trustpilot
The High Court has dismissed a libel claim brought by Leeds law firm BW Legal against Trustpilot. The firm had sued the website over 20 negative reviews that affected its overall rating and claimed a potential loss of ￡3.7m in profit. However, the judge ruled in favour of Trustpilot, stating that BW Legal failed to demonstrate how the reviews caused serious financial loss. The court also rejected the firm's request for damages, an injunction, and a summary of the judgment to be published. Telecoms company Three, which was involved in a potential contract, cited concerns about the Trustpilot reviews as one of the reasons for not selecting BW Legal. However, the defence argued that only three of the reviews were published at the time of the tender decision, and there was no evidence that Three had read those specific negative reviews. The judge concluded that BW Legal had not proven a link between Three's decision and the reviews.
PROPERTY LAW
Conveyancing crisis is slowing sales
A Sunday Times investigation reveals that the average time to complete a property sale in the UK is five months, due to a conveyancing crisis and a logjam in the system. Delays in the legal process, understaffed conveyancing companies, and a postcode lottery for local searches are among the factors causing delays. These delays, the report warns, increase the risk of deals collapsing, costing buyers an average of ￡2,899 in lost legal fees, according to consumer group Which?. The Conveyancing Association's director of delivery, Beth Rudolf, warns that the system "isn't fit for purpose," with transaction times now taking about 22 weeks and 30% of transactions falling through.?It is noted that the number of?law firms?receiving an income from residential conveyancing has dropped by 455 since 2021, reaching 6,308, according to IRN Legal's UK residential conveyancing market report for 2023.?
Row over revised conveyancing form prompts no-confidence vote
The Law Society's revision of a conveyancing document has led to a no-confidence vote in its leadership. The controversy revolves around changes to the TA6 property information form, which requires sellers to provide more details about properties. The revised form includes information on council tax band, freehold or leasehold status, restrictive covenants, flood risk, building safety issues, and parking permits. Some solicitors have criticised the changes, claiming they are unnecessary and unworkable. The Property Lawyers Action Group accuses Trading Standards of seeking to re-engineer the conveyancing process. The Law Society has postponed the mandatory use of the form and will continue consultations. The society denies that the changes increase solicitors' civil or criminal liability.
EMPLOYMENT LAW
Amazon workers to be balloted on union recognition
BBC News ?
GMB union officials have entered Amazon's Coventry fulfilment site for the first time this week to hold meetings with the 3,000 workers to try and win their vote. The ballot process could see Amazon recognise a trade union in the UK for the first time. GMB needs 40% of workers to vote in favour of wanting a union to represent them. Amazon will ask staff to attend meetings to hear the company's counter argument. The company said postal ballot papers would be sent out on 3 July with workplace voting starting on 8 July, lasting for six days. GMB said the result of the ballot would be announced on 15 July. Amanda Gearing, GMB senior organiser, said: “They [Amazon] are a multi-billion-pound global company investing huge energy to resist efforts by working class people in Coventry to fight for a better life." A spokesperson for Amazon said: “Our employees have the choice of whether or not to join a union. They always have. Across Amazon we place enormous value on having daily conversations and engagement with our employees. It’s a strong part of our work culture. We value that direct relationship and so do our employees.”
BP employees threaten legal action over crackdown on workplace affairs
Mail on Sunday ?
Legal experts warn that BP could face lawsuits from employees over its crackdown on relationships at work. The oil company has demanded that staff disclose any intimate relationships with colleagues or face the sack. The firm wants details of relationships going back as far as 2021. BP had previously said that staff were only obliged to disclose relationships if there was a potential conflict of interest. Hina Belitz, a partner at Excello Law, said: “I understand the forward-looking change to the policy, but to retrospectively seek information raises a lot of issues. That seems unreasonable.” The new rules follow the sacking of CEO Bernard Looney in December for serious misconduct over his failure fully to disclose his past relationships to the board.
GENERAL LAW
Lawyers take Lord Chancellor to high court over legal aid fees
The Guardian ?
The Lord Chancellor, Alex Chalk, is facing a high court challenge over claims that low legal aid fees are preventing lawyers from providing representation to eligible individuals. The challenge specifically focuses on access to legal aid for immigration and asylum lawyers. Duncan Lewis Solicitors, one of the largest providers of civil legal aid in this area, is bringing the challenge. The Lord Chancellor is accused of failing to raise the rates for legal aid work in the immigration and asylum field. The demand for legal assistance in this area exceeds the supply, leaving vulnerable groups without access to legal aid. Bodies including the National Audit Office, parliament’s justice committee and the public accounts committee have recommended raising the rates, but the government has yet to take action.
Former Justice Secretary calls for amnesty for Covid rule breakers
Daily Telegraph ? Daily Mail ?
Former Justice Secretary, Sir Robert Buckland, has called for an amnesty for the more than 29,000 people who received criminal convictions for breaking Covid rules. He believes that their "slates should be wiped clean" to prevent their career prospects from being affected. The call has been supported by two former Cabinet ministers and charities. The fines, which were issued by magistrates, resulted in criminal convictions that could hinder individuals from working in certain professions or traveling to certain countries. Sir Robert argues that criminal background checks should focus on those who pose a threat to public safety rather than those fined during the exceptional circumstances of the pandemic. Ministry of Justice data shows that the fines issued amounted to ￡26m, with people in their 30s paying the largest amount.
High Court rules that dropping Windrush recommendations was unlawful
Daily Mail ? The Guardian ? London Evening Standard ?
The High Court has ruled that the decision to drop recommendations made after an independent review into the Windrush scandal was unlawful. Windrush victim Trevor Donald brought legal action against the Home Office over the decision not to proceed with all of the recommendations. Mrs Justice Heather Williams stated that dropping two of the recommendations had a "disproportionately prejudicial effect upon Windrush victims" and indirectly discriminated against them. The judge also found it unlawful and "conspicuously unfair" for one of the recommendations to be shelved without consulting Windrush community representatives and Wendy Williams, the author of the review.
Investigator claims Post Office engaged in cover-up
The Daily Telegraph ? The Times ? Daily Mail ? The Guardian ?
An investigator appointed to review the Post Office's Horizon IT system in 2012 has accused the state-owned body of engaging in a cover-up. Ian Henderson, a chartered accountant, and his colleague Ron Warmington were appointed to investigate possible miscarriages of justice involving post office operators. Henderson claims that the Post Office constantly sabotaged their efforts and used legal professional privilege to withhold documents. He also alleges that the then chief executive, Paula Vennells, attempted to steer them away from investigating potential miscarriages of justice. Henderson believes that the Post Office was involved in a cover-up and possibly a criminal conspiracy. He also claims that the investigators were threatened with legal action if they continued causing trouble.
Case delays surge as crown court backlog hits 68k
The Observer's?Lizzie Dearden details a day in one Britain's busiest courts, Snaresbrook?crown court?in east London, which hears more than 100 cases across its 20 courtrooms but is "frequently derailed" by missing defendants, unreliable video links and botched communications with prisons and police. The court, Dearden says, is facing a crisis with some trials delayed until 2026. Backlogs are at a record high across the system, with 68,125?crown court?cases waiting to be heard in England and Wales. Richard Miller, head of justice at?the Law Society?of England and Wales, says the physical state of courts is one factor causing hearings to be cancelled and delayed. He also describes cases where "there is no judge, no?barrister,?no documents, defendants not produced from prison," adding: "Years ago we were saying the system was in crisis, but the government didn't do anything and now it's fallen over completely."?
FIRMS
Saudi Arabia looks to lure British lawyers with perks
Saudi Arabia's Crown Prince Mohammed bin Salman is enticing British lawyers to work on the country's megaprojects with lavish perks, including free land and payment of their children's private school fees. State-owned companies like Saudi Aramco and Neom are offering benefits such as free accommodation, relocation allowances, and free MBA courses. These incentives, along with tax-free six-figure salaries and large bonuses, are attracting ambitious lawyers who see Saudi Arabia as a more promising market than Dubai. The hiring spree by Saudi companies has caused some UK law firms to struggle with recruitment, and the perks offered by Saudi companies pose a threat to firms, even though in-house lawyers are typically paid less than those in private practice. The recruitment drive is part of Crown Prince bin Salman's plan to diversify Saudi's economy through infrastructure and energy projects. Reforms in Saudi's legal standing designed to encourage deal-making have attracted Magic Circle law firms including Clifford Chance, Linklaters, and A&O Shearman.
Slough firm faces wasted costs order for breach of contract claim
A Slough law firm is facing a wasted costs order after it demonstrated a "lackadaisical" approach to a breach of contract claim. Fitz Solicitors was instructed on behalf of Van Spall Associates Ltd in a claim seeking ￡16,000 from JNOAD Ltd. The claimant's solicitors engaged in "improper conduct" by ignoring correspondence, according to Conor Maher, representing JNOAD Ltd. Despite receiving a letter about a family bereavement, the defendant's solicitors did not communicate with the claimant for a substantial period. The claim was struck out after the claimants failed to pay the trial fee. Deputy District Judge Colin Passmore awarded costs against the claimant and ordered Fitz to show cause for a wasted costs order. The judge considered the conduct to be negligent but not improper.?
‘Insane’ pay rises for junior London lawyers raise concerns over culture
Significant pay rises for the most junior London lawyers at elite firms have been criticised as “insane” and unsustainable, amid a war for talent in the City again.
CASES
Health drinks tycoon's lover wins ￡6.4m will battle
Daily Express ?
The younger lover of a health drinks tycoon has won a bitter High Court fight over his ￡6.4m will. Alan Lorenz, who sold weight-loss shakes through Herbalife, left his money to Sheila Caruana, his civil partner. His siblings claimed that Caruana had failed to honor a promise to share the estate with them. However, the court rejected their case, ruling that moral obligations cannot be enforced. Lorenz's barrister argued that he left everything to Caruana to avoid the family paying tax. The case was dismissed, and Caruana keeps the entire fortune.
Joey Barton to pay ￡75,000 in damages to Jeremy Vine
Former football player and manager Joey Barton has agreed to pay Jeremy Vine ￡75,000 in damages and legal costs. The broadcaster sued Barton for libel and harassment over 14 social media posts. High Court judge Justice Steyn ruled that 11 of the posts could defame Vine. Barton's comments on women in the media and football precipitated the abuse, which escalated after Vine questioned his remarks. Barton launched a sustained attack on Vine, posting several abusive messages on social media. The posts contained clear references to Vine having a sexual interest in children. Barton has been out of work since being sacked by Bristol Rovers.