Independent research published
The SLCC issues news releases regarding our work, the budget and relevant research. We also comment on issues related to what we do and may publish reports on cases under the terms of the Legal Profession and Legal Aid (Scotland) Act 2007.SLCC publishes independent research on lawyers Professional Indemnity
13/07/2009SLCC publishes independent research on lawyers Professional Indemnity
Research into Scottish solicitors' professional indemnity insurance was published by the Scottish Legal Complaints Commission on Monday 13 July 2009.
The SLCC, which only opened for business on 1 October last year, was set up by the Scottish Government primarily to provide a modern complaints handling system enabling complaints against the legal profession to be resolved quickly and effectively.
SLCC Chair, Jane Irvine commented: "The Legal Profession and Legal Aid (Scotland) Act 2007 gives the SLCC its powers and these include oversight of the Law Society of Scotland's Master Policy and Guarantee Fund.
"The research was carried out by two internationally renowned researchers, Professor Frank Stephen and Dr Angela Melville from Manchester University School of Law and it is an excellent report and the first step towards enabling the SLCC to fulfil its oversight role.
"The research is unique as it is the first to examine how the Master Policy and Guarantee Fund function but we are very disappointed that conditions imposed on the data delivered by the Law Society of Scotland's broker, proved unacceptable and the transparency of operation, which is key for all users, is not apparent.
"Nevertheless, the report is still a valuable and important document."
The Master Policy is the compulsory Professional Indemnity Insurance which covers all Scottish solicitors working in private practice. Claims are handled by the Master Policy insurers and the insurance provides cover of up to £2 million for any one claim.
The Scottish Solicitors' Guarantee Fund protects those who have lost money because of the dishonesty of a solicitor or a member of their staff. It is a fund of last resort, which means it can only compensate those who have exhausted all other options, such as suing the solicitor for professional negligence. Payments are discretionary and all legal firms in Scotland contribute annually to the fund.
Eileen Masterman, SLCC Chief Executive continued: "The research is very much exploratory and this is due to the short time-span and the small number of claimants and solicitors it was possible to interview.
"The research is a useful first step in providing the SLCC with a meaningful insight into the Master Policy and Guarantee Fund and how it can affect complainers.
"Members of the SLCC Board will now benefit from this important first-stage research which will develop our role overseeing the Master Policy and Guarantee Fund."
ENDS
The Report can be read here: 
Research Report July 2009
For further information contact Doreen Graham, SLCC Head of Communications
Notes for Editors:
Manchester University:
Following a comprehensive tendering process, the
SLCC appointed Professor Frank Stephens and Dr Angela Melville
of Manchester University School of Law to undertake research
into the Master Policy and Guarantee Fund. The researchers invited
members of the public to contribute their views and you can
read their independent report here:
Research Report July 2009
A recent national Research Assessment Exercise (RAE) concluded that Manchester University ranked among the UK's top universities with an internationally significant research profile over a wide subject range.
The Scottish Legal Complaints Commission:
Following an Inquiry by the Justice 1 Committee, the SLCC was established by the Scottish Parliament under the Legal Profession and Legal Aid (Scotland) Act 2007.
Key points of the new complaints handling system:
- The Commission is headed up by a board composed of a non-lawyer chair plus four non-lawyer members and four lawyer members who are appointed by Scottish Ministers after consultation with the Lord President of the Court of Session;
- Funding is from the legal profession through two levies: a general levy and a levy on practitioners generating complaints;
- Making a complaint will carry no cost to the complainer;
- The Commission will act as a gateway to receive and sift complaints which could not be resolved at source;
- The Commission will deal with inadequate professional service complaints and low value negligence cases (awards below £20,000) but the professional bodies and their discipline tribunals will continue to deal with professional discipline and complaints about the conduct of practitioners;
- The Commission will be able to review the way in which the professional bodies handle conduct complaints and will be able to enforce its recommendations;
- There will be a limited right to appeal the decisions of the Commission - by application to the Court of Session;
- The Commission will publish an annual report which Scottish Ministers will lay before the Scottish Parliament;
- The SLCC has been granted powers of oversight of the Master Policy and Guarantee Fund.
