William Robins outlines the challenges involved when a case pursued under a CFA is transferred to another firm
There are two undisputed truths at play in the legal sector at present:
- first, clients want their lawyers to think out of the box and to “risk share”;
- second, the pressures on partners with client followings from overheads, clients, and competitors have led to more partner-level lawyers moving.
When you put the above two factors together, it is not surprising to learn that it is commonplace for cases pursued under a conditional fee agreement (CFA) to move from one firm to another. Transferring files between firms is not easy at the best of times; one has to consider unpaid fees, work in progress (WIP), the impact on all three parties (the client and both firms) and, of course, compliance with the Solicitors’ Regulation Authority (SRA) Code.
These complications are greatly increased where the case to be transferred is subject to a CFA entered into before April 2013, and further increased still where the client has purchased