The information contained in this notice is designed to provide our clients with clear information about who will be carrying out work on their behalf, how that advice is regulated, how to make a complaint and the protections available to them

 

All solicitors providing advice through ILA Direct are practising solicitors who are individually regulated by the SRA however ILA Direct LTD is not a regulated legal practice

 

Section 13(1) of the Legal Services Act 2007 (“the Act”) makes it clear that the question of whether a person is entitled to carry on a reserved legal activity is determined solely by reference to the LSA.

 

Section 15 of the Act determines whether a firm needs to be authorised by the SRA or another approved (legal services) regulator. It confirms that only firms carrying out reserved legal services need to be authorised. These are services that consist or include any of the following reserved legal activities, which are set out in section 12 and schedule 2 of the Act:

 

1. the exercise of a right of audience before certain (higher) courts

2. the conduct of litigation (which can be described as the taking of formal steps in proceedings, such as issuing a claim or filing documents or forms)

3. reserved instrument activities (which covers certain conveyancing transactions – for example preparing and lodging transfers or charges with the Land Registry – and preparing instruments relating to court proceedings, such as pleadings)

4. probate activities, namely preparing papers on which to seek or challenge grant of probate or letters of administration

5. notarial activities (for which you are authorised by the Master of the Faculties)

6. the administration of oaths

 

The advice provided by ILA direct does not fall into any of these categories and as such, whilst all of our advice is provided by practising solicitors who, as individuals are regulated by the SRA, there is no requirement for ILA Direct Ltd to be authorised or regulated by the SRA. This has been confirmed by the SRA.

 

What are the implications of ILA Direct not being regulated by the SRA?

 

Rule 4.3 of the SRA Transparency Rules requires us to provide our clients with the following information:

 

• ILA Direct is not required to have professional indemnity insurance that meets the SRA Minimum Terms and Conditions. The SRA require authorised firms that they regulate to have compulsory minimum levels of insurance to protect clients in case something goes wrong. Specifically regulated firms are required to maintain insurance with a minimum level of cover of £2 million. These arrangements do not apply to ILA Direct LTD because it is not regulated by the SRA.

 

• Although ILA Direct Ltd is not required by the SRA to maintain insurance, your work is covered by professional indemnity insurance provided by Kingsbridge Contractor Insurance (underwritten by Zurich). Further information including details as to the amount and scope of the cover can be requested by emailing info@ILAdirect.co.uk.

 

• Because ILA Direct Ltd is not regulated by the SRA you will not be able to make a claim on the SRA Compensation Fund. This fund is intended to help people who have suffered a loss due to work carried out by a person or firm regulated by the SRA where:

  • the loss was suffered because of the advisor’s dishonesty, or

  • loss and hardship were suffered due to the advisor's failure to account for the money they have received. This includes failure by a regulated person or firm to finish work for which they have been paid.

 

• Because ILA Direct LTD is not an SRA Regulated law firm, you will have no right to complain to the  Legal Ombudsman about ILA Direct Ltd. However, you can still complain to them about the individual solicitor advising you if you are not happy with the service provided by that solicitor or with their professional conduct.