Bank Failures!?!?!?!

Camdenite

Right folks, got your attention.

I need some urgent advice as I believe I have been the victim of circumstance and need all the support I can get right now.

Going back six months, before I was aware of this site or any other DIY bank Charges support, I made contact with one of the numerous solicitors offering their services.

I had a long hard think about the fee's they charge (25%), but given the estimated size of my claim (I was thinking of over £10K) and the fact thay my work takes me away a lot and I wouldn't necessarily be around at crucial times to act on letters from the bank and have the time to cajole the bank (Abbey) into some action, I decided 75% of something was better than 100% of nothing. I, of course, now know this was the wrong thing to do.

Anyway on 29th November 2006 I instructed this company to act on my behalf and within a few weeks Abbey had deposited £1,540 in my account. I assume this was the usual "good-will gesture" but I was never copied on any correspondence between Abbey & the solicitor. I paid up 25% of the £1,540 glady and sat back to await news of my six years of statements.

In the first week of February I received the last 14 months statements, all in separate envelopes. I called the solicitor immediately and was told to forward these and wait for the remaining ones. I duly obliged, but sent them without opening the envelopes and making copies for my reference. Within a week, the remaining statements came through as a printed resume of all transactions. I took a copy of this paperwork and forwarded to the solicitor as instructed. Aside from the £1,540 already received there was another £9,870 of charges on these new statements, excluding any interest.

On the 22nd February the solicitor wrote to me confirming that that they had prepared paperwork for submission and to contact them to discuss. They explained that they would submit two claims, one for £5K and one for the balance. No mention of any interest, but I asked about it and was told that they would raise the issue with the bank as part of their strategy to secure the full amount. Fair enough I thought.

The next letter I received was on the 29th March asking me to complete the enclosed AQ, which needed to be submitted by the 14th April. I returned this immediately and spoke to the solicitor asking if this meant that Abbey would defend the claim? "They may do, they may not" was the only response I got.

About this time I discovered this site and M/B and started to question why I was using a solicitor when all the resources are here. I then instigated my own claims against MBNA, Capital One & Barclaycard (early days yet).

Anyway, fast forward to this morning and after still not hearing anything regarding a court date, I decided to call the court directly (I had copied the AQ) and ask what stage everything was at? I was informed that the claimant "had not returned the AQ of the processing fee" and that the case "had been referred down to a judge" who would then set a deadline for the AQ to be re-submitted.

I have not been able to speak to anyone at the solicitors office regarding this and have left numerous messages for one individual there to call me urgently.

Has anyone any ideas why they would do this?

Please, no lectures about using solicitors. What's done is done. I just want to secure my money and am considering picking up the case myself, but am worried I do not have everything for the court bundle if required?

Please help as I am in bits over this.

beardface_2

OK lets see if I can unravel this for you. Might not be to your liking or it might completely reassure you.

It is not uncommon practice for solicitors to file AQ's late. If a party has not filed their AQ by a certain date the file is referred to a judge who issues an "unless order". Basically this demands that the party files there AQ in x days or, in your case, the claim will be struck out. Some people may say that this is so the solictors can keep hold of the AQ fee in their bank account for a few extra days earning interest. Have you paid the the AQ fee to this company? If this is the case you your worries maybe unfounded.

At the minute all documentation from the court will go to this company so you will have to keep in touch with the court to make sure they have done what they have supposed to have done.

You really need to get in touch with this firm to find out what they are up to. Threaten them that you will take over the case yourself if that's what it's going to take. You would need to file your own AQ and get all your documentaion together but yu are are either going to have to get it back from this firm or start again.

Worst comes to the worst you can start completely from scratch and maybe take these schisters to the cleaners as well.

Camdenite

Thanks beardface. Much appreciated. I have not paid anything to the solicitors in respect of the AQ or any other "administrative costs".

Is it possible for me, with all neccesary correspondence, to take over the claim? The solicitor will fight dirty as they will claim that they have already put in the work on the claim, but am I within my rights to demand all correspondence relating to my claim?

I obviously don't want to put the resolution of this case another six months down the line if it could be affected by any OFT ruling in the Autumn.

beardface_2

Not %100 sure as it very rarely happens that the claimant gets rid of their solicitor and then acts in person. I have hunted out the relevant ruling on it if you can make head or tail from it. Basically you have to file a notice of change of solicitor on the court and all the other parties, that includes the people who are acting for you. I am not sure where you would be left contractually with this firm, in all probabilty they may start demanding money from you for the service they have already provided which they would normally claim back from your bank. ie issue fee and AQ fee.

Try and sort it out with them in the first instance.

Here is the relevant rule.
Change of solicitor – duty to give notice

---

42.2 (1) This rule applies where –
(a) a party for whom a solicitor is acting wants to change his solicitor;
(b) a party, after having conducted the claim in person, appoints a solicitor to act on his behalf (except where the solicitor is appointed only to act as an advocate for a hearing); or
(c) a party, after having conducted the claim by a solicitor, intends to act in person.

(2) Where this rule applies, the party or his solicitor (where one is acting) must –
(a) file notice of the change; and
(b) serve notice of the change on every other party and, where paragraph (1)(a) or (c) applies, on the former solicitor.

(3) The notice must state the party’s new address for service.
(4) The notice filed at court must state that notice has been served as required by paragraph (2)(b).
(5) Subject to paragraph (6), where a party has changed his solicitor or intends to act in person, the former solicitor will be considered to be the party’s solicitor unless and until –
(a) notice is filed and served in accordance with paragraph (2); or
(b) the court makes an order under rule 42.3 and the order is served as required by paragraph (3) of that rule.

Kurt_Hamster

The other thing you should be aware of is that a Solicitor cannot charge a percentage fee for any case that goes to court. It's against Law Society rules.

Camdenite

Thanks both of you. I've been doing a bit more research and it seems very unlikely that the firm I am dealing with are actually solicitors (I won't name them here). If they we're they could have submitted the AQ themselves rather than send it to me to sign. It also explains their reluctance to take it to court.

Any suggestions how I let this one play out? I am slightly nervous about the forthcoming OFT ruling and being left out in the cold as a case that should have been resolved by now rumbles on for the rest of the year.

Edinburghlass_2

I too doubt they are solicitors from what you have said. There is no "forthcoming OFT ruling" in the near future so don't worry about that but read this thread regarding the contract you presumably have entered into with this company.

http://forums.moneysavingexpert.com/showthread.html?t=365533&page=4

Camdenite

Thanks Edinburghlass. I'd been looking for that thread for a few days now! I'm quite happy to PM the name of the company if that helps you? With claims totalling nearly £10,000 against Abbey, this agent will ensure they get their fee. Can I re-instruct the court to do deal with me as the claimant without the need for the company to give their consent? Beadface's post above seems to say I can, but to expect them to demand their 25% still.

also, I saw mention of the funds being paid to a separate account where I presume, the agent would collect their 25% (it is only 25%, by the way, VAT is included with this co'.) There was no mention of this in my agreement.

Is it worth me trying to negotiate a lesser fee with them if I went it alone?

beardface_2

Check with the court as to who is acting as solicitor for you. Might sound obvious but to be acting for you then they must be solicitors. If there is nobody acting for you then check the address that is down for your address. I suspect that they may be using their address as address for service of documents. This strictly speaking is not allowed as a third party agent e.g. a debt collction agency must provide the claimants address for the serving of documents.

Difficult as to what advice to give you. You could let this play out and see if they do come up with the goods. In that case you will have got what you intended in the first place. If they don't i.e. don't file your AQ then your claim will fail. Check your contract, does that end it. You could then start from scratch on your own. You could take over the court case yourself but where does that leave you with the contratc with this firm.

I would find it difficult to beleive that a firm like this would have already forked out to issue the claim (not an inconsiderable amount) and then not follow through with it. It has to be in their own interest.

I hope my original hypothosis was correct and they were just holding onto the AQ fee for those few extra days.

As an after thought different court handle the receipt of AQ's differently. Some courts will deal with them on the day of receipt others put them in a cupboard and deal with them as staff can get to them. If it is the latter it is possible the AQ has been filed but not yet dealt with.

I agree with Edinburghlass it is unlikely the OFT will come up with anything that will be defining in these cases. As a personal opinion, nothing will change until somebody gets a bank into court under oath to state how there charges are worked out and what the real cost is. Don't think that's going to happen soon, if they can help it.

Camdenite

Thanks for all your help everyone. One final query:

Does the fact that my case has been referred down to a judge who will contact the agent acting on my behalf giving a new deadline to submit the AQ mean that the case could potentially be thrown out of court if the agent doesn't respond in time?

I need as much ammunition as possible before I speak to the company tomorrow and want to know where I stand on this if I threaten to take the case on myself?

beardface_2

Yes, they will get an unless order that will say "unless the claimant files his AQ by........(normally 7days) then this claim will be struck out"

There is no arguement with it. If it is not done then it is claim over.....unless they make an application to reinstate but that costs money and they would have to have a very good reason as to why it should.