HighStreetLawyer.com

Freedom of Choice? Freedom of Solicitors

2012-02-02T05:28:00.000-08:00

As soon as Janice walks through the door she knows it’s the one. The spectacular view of the garden from the master bedroom, the sparkling marble kitchen worktops she has dreamt of, and the playroom which is perfect for the kids. All she needs to do is speak to her solicitor and he’ll sort everything out. The one in the office round the corner. The one who helped her buy her first flat, wrote her will, and sorted out her cousin’s divorce. But wait, she needs a mortgage from HSBC, and her local solicitor isn’t on their list.

What list? Well, HSBC have recently revealed their plans to reduce the number of solicitors on their residential mortgage conveyancing panel. Usually, when moving house, a conveyancing solicitor will manage both the mortgage documents and those concerning the transfer of the property. HSBC’s decision means that the mortgage part of the transaction can now only be handled by one of the 43 members of their conveyancing panel. Many high street solicitors are up in arms about the decision, lobbying the Law Society to protect them from this action which they believe may put them out of business.

The Chief Executive of the Law Society, Des Hudson has encouraged solicitors to write to their MPs to complain about the HSBC’s ‘heavy handed and arrogant decision’, but HighStreetLawyer believes this is missing the point. Whilst such restrictions may adversely affect the legal industry, the biggest loser in the equation is the consumer.

Buyers wishing to take out a mortgage with HSBC must use a solicitor from their panel for the mortgage conveyance, but are given the option to use their own solicitor for the conveyance of the property. Using a panel solicitor for the entire transaction will be highly incentivised by the bank, and many may be unaware that using another solicitor is even a possibility. Furthermore, customers choosing their own conveyancing lawyer will have to pay twice for this time-consuming ‘choice’, since the work is ordinarily done by one lawyer, and many checks will have to be repeated. Taking into account the cost of buying a house in the current market, and the proportion of people struggling to get onto the property ladder, this option is unlikely to appeal.

Limiting the approved conveyancers to 43 flies in the face of everything the Legal Services Act sought to achieve; competition; access to justice and better service for consumers. HSBC’s decision means that property transfers will be done by a select few legal companies, impeding consumer choice. A home is the most important and costly purchase most people will ever make, so they want to use a solicitor they know and trust. For conveyancing, locality and reliability is key. A little research into Countrywide, the administrators of HSBC’s panel gives the impression of a faceless property machine; impersonal and remote.

As if restricting borrowers to a narrow list of solicitors wasn’t enough, other worrying issues arise. HSBC have chosen Countrywide as the agents of their conveyancing panel; responsible for choosing the remaining firms and distributing work. Unsurprisingly, Countrywide’s own licenced conveyancing firm has made it onto the panel, creating an obvious conflict of interest which has been strongly criticised by the Law Society. Although Countrywide has not disclosed its selection criteria for the panel, it seems that small, local firms will not be chosen. With such a limited number of solicitors, it is anticipated that only larger firms able to churn out conveyances in bulk will be included. Is this what a buyer wants?

The Legal Services Act intended to champion consumer rights and access to legal advice. Banks requiring conveyancing solicitors to be accredited in some way is an understandable precaution, but anything more than that creates a bias which restricts consumer choice. Buying a house is an important and life-changing decision, and the consumer should be put first. What we should be asking is not ‘How will this affect solicitors?’ but ‘How will this affect Janice and other consumers?’

By Judy Benmayer of HighStreetLawyer.com

The Pied Piper and Other Social Media Tales

2012-01-16T08:40:00.000-08:00

Pied Piper (Noun): A charismatic person who attracts followers. (Merriam Webster English Dictionary)

There was a time when the only communication with the outside world during a working day was the morning post delivery or occasional telephone call. Times have changed. Mobile phones make employees accessible 24 hours a day, and the constant barrage of e-mails, tweets, text, Facebook and Twitter messages means a moment’s silence is rare.

For spheres of employment where social media is encouraged, legal problems are bound to arise. ‘Followers’, ‘friends’ and ‘contacts’ have become precious commodities in the business world, but to whom do they belong?

The Pied Piper of Hamelin and his Twitter followers

There has been a dramatic increase in the number of social media disputes appearing in courts worldwide. In California, ‘@PhoneDogNoah’ is being sued for refusing to relinquish his Twitter contacts when he left PhoneDog to work for its competitor. Such cases are virgin territory for UK courts, so it will be interesting to see how they approach the challenge. They came close in June 2011, when Laura Kuenssberg, one of the most high-profile UK journalists on Twitter and the BBC’s chief political correspondent, left to accept a role at ITV. Formerly ‘@BBCLauraK’, it was anticipated that the BBC would claim rights to her account or her priceless 72,000-strong following. They did no such thing. Kuenssberg changed her account name to ‘@ITVLauraK’ and continued tweeting as normal.

Essentially, there was nothing the BBC could do. Taking over her account would have been futile, since those following her were doing so specifically to receive her daily thoughts and not those of the BBC. And forcing her to close down the account would be equally pointless – merely inconveniencing her fans; making them delete the old account and ‘follow’ the new one.

Although the BBC decided against legal action in this case, other employers may not be as lenient. Companies seeking to protect their brand should be wary of its use in social media, especially if it is incorporated into employees’ display names. Whilst it might benefit the account holder by attracting followers, increasing recognition and escalating their status by association, the employer’s gain may be negligible. Furthermore, without an employer-veto, employees posting freely may damage the brand by giving the impression that their tweets represent the ‘official’ views of the company.

When you can't click 'remove post'...

What happens then if the account is registered to the employee’s own e-mail address, or used to post personal updates? This distinction will certainly create an abundance of legal problems. Companies will seek to establish ownership rights over accounts which generate interest, and distance themselves from those which are detrimental to their reputation. Due to the intense value of social media, establishing the account’s ownership is crucial. Are social media accounts equivalent to a work e-mail account, where access ceases on termination of employment, or, are they more like a personal address book, to be added to at the owner’s discretion?

The only guidance to date is the High Court case of Hays v Ions in 2008. Ions, a recruitment consultant working for Hays created his own LinkedIn account, using it to approach work contacts three weeks before resigning and setting up his own rival business. The court deemed the information Ions had taken to be confidential and ordered him to relinquish all contacts taken from his e-mail address book at Hays. Notably, Hays were not granted access to Ions’ entire database as requested. This result is extremely telling: the court is seemingly ready to intervene when misuse of online social accounts occurs, but recognises the intensely private nature of the information stored within.

Whilst content uploaded from an account would probably be governed by intellectual property law, how the courts deal with ownership of the accounts and their contacts is yet to be established. My view is if an employer wants to ensure control over work-related social media, they should register the accounts to a business e-mail address, and make sure they maintain primary control. A good social media reputation is an asset to be treasured, so just like an employee wouldn't be allowed to leave with the company laptop containing sensitive data, they shouldn’t be allowed to take its followers either.

By Judy Benmayer of HighStreetLawyer.com

When Two Become One

2012-01-11T03:27:00.000-08:00

January is notoriously the busiest month for family solicitors, and this year is no different. Katy Perry and Russell Brand have joined the hordes of couples who have decided, in a post-Christmas epiphany, that the time has come to split. Despite their short-lived relationship, the couple underwent a marriage ceremony. But how different would their situation be had they decided against it?

According to Brand, the couple chose not to create a prenuptial agreement, which seems to have been a romantic (and wise) move. The law in California (where it is believed that the couple’s marriage was registered), gives Russell a right to half of the $45m which his wife has earned during their 14 month marriage. Had they just cohabited, this certainly would not be the case- perhaps a more sensible move for Perry. Whether Brand will take full advantage of Perry’s marital earnings remains to be seen.

British lawyers are yet to reach a consensus on how separating couples should be treated; married and unmarried. There are some who believe that cohabiting couples should have equal rights to married couples, and those who are diametrically opposed to this idea. Others view marriage as morally or religiously sacred, avoiding break-ups at all costs.

Some of the most highly influential family lawyers in the country have cited their support of Mr Justice Coleridge, a judge in the Family Division of the High Court, and his plans to set up a ‘Marriage Foundation’ to encourage and support marriage. Somewhat controversially, he has put forward the view that couples who are in stable relationships should marry in order to cement their relationship further, and those considering divorce should ‘mend it’ rather than ending it. This is an interesting stance for a man who grants divorces for a living, and with a third of UK marriages ending in divorce, cannot represent the views of the average Briton.

However, with 15% of families (7.4 million people) in the UK cohabiting, it is clear that marriage is not the most desirable option for all. Many cohabiting couples are averse to idea of formalising their relationship through a piece of paper. On the opposite end of the spectrum, there are those who decide against marriage because they want their relationship to remain free from the legal and social shackles it brings.

Many unmarried couples in long-term relationships have an unfounded belief that they will be treated in law as if they were married. But however the individual couple sees their relationship, there is no doubt that UK law views unmarried cohabiting couples disparately. With divorcing couples, the court’s standpoint is to pool the ‘marital assets’ and divide them as it considers fair. When it comes to unmarried couples, the court starts from the presumption that because they never married, the parties intend to leave the relationship with whatever assets they brought to it. This might be fair when it comes to splitting the CD collection, but not necessarily when it comes to deciding who gets the house, as each of them may have contributed to it since.

In order to protect themselves when moving in together, unmarried couples can create a cohabitation agreement. Similar to a prenuptial agreement for married couples, this is a contractual document setting out what will happen to the couple’s assets should they split up. However, just like prenups, UK courts do not view cohabitation agreements as legally binding or as a concrete representation of the parties’ wishes, but will take them into consideration, enforcing them if the resultant outcome is fair.

Cohabitation agreements are horribly unromantic, and are not always practical, since many couples float into living together in the fog of love. But writing a contract creates a safety net for those couples who want to protect their assets, avoid costly and lengthy legal proceedings and minimise heartache when breaking up. The Spice Girls sang ‘Be a little bit wiser baby… ’Cause tonight is the night when two become one.’ Whether or not we should be taking legal advice from the Spice Girls, I’m not quite sure, but the lyrics do speak some truth. Before you consider moving in together, it is wise to consider a cohabitation agreement, establishing your ownership rights so that you walk into your relationship protected, with your eyes open.

It Might Never Happen... But Just in Case

2011-12-21T07:47:00.000-08:00

“And so it stays just on the edge of vision,
A small, unfocused blur, a standing chill
That slows each impulse down to indecision.
Most things may never happen: this one will.”

Says Philip Larkin in his poem ‘Aubade’. He is referring to death but he could just as readily have been referring to the onset of old age. That, too, will happen (for most of us, anyway).

There is nothing we can do to defer it or stave it off, but we can plan ahead for it and prepare for the worst: that worst being, dementia. Of course, that may not happen. Many elderly people remain mentally acute until their dying day. But, as the population ages, it is statistically certain, that the incidence of dementia will increase.

Dementia robs you of your ability to manage your own life and means that someone else has to perform those functions for you, such as paying bills, dealing with investments and balancing budgets. A loss of mental capacity leaves the sufferer helpless in the world and very vulnerable, unable to do even the trivial things that we all take in our stride and do several times a day.

Yes, that is a bleak outlook and until medical science produces a cure to this dreadful condition, the only thing that we can do to ensure that our affairs remain in order following the onset of dementia is to make a Lasting Power of Attorney (LPA).

A LPA is a legal instrument which allows you to appoint someone that you trust to run your affairs for you if you become unable to run them yourself. It allows you to set conditions on how that person should act and the kind of decisions that they can make on your behalf. Really, it is a kind of insurance policy and it is far better to have one and not need it, rather than need one and not have it.

We put off activities which force us to think about our inevitable future, such as preparing for death (with a will) or senility (with a LPA). Insurers Sun Life Direct recently carried out their annual survey which found that 26 per cent of people had made absolutely no plans for later life, and 87 per cent had made no care or living arrangements should they lose their independence.

Whilst this impulse to put off these unpleasant tasks is understandable, it should be resisted. If you do not have a LPA, then if you lose mental capacity the only alternative is for someone to make an application to the Court of Protection for Deputyship of your affairs – a process that is complex, expensive and over which you will have no say.

You have the power at your disposal today to make decisions in advance and protect yourself, as best you can, against the worst that tomorrow can bring.

High Street Lawyer provides fixed price Lasting Powers of Attorney from £350. For more information on Lasting Powers, visit our Frequently Asked Questions.

By David Carr of High Street Lawyer Hampstead

Is the High Street really dying?

2011-12-14T03:34:00.000-08:00

Two reports have been published this week discussing consumer habits and whether consumers prefer to buy online or locally. The more publicised High Street Review by retail guru Mary Portas concluded that the High Street as a shopping location is dying and needs local government intervention to resuscitate it. Whilst Mary is undoubtedly right, and as her TV projects have shown, this is unlikely to surprise anyone who has visited many of Britain's High Streets recently. Government research also published this week confirmed that one third of High Streets are degenerating or failing. The overriding conclusion is that customers are increasingly shopping at big brands at out of town locations or on-line.

The other report is a YouGov survey into Conveyancing. YouGov had been commissioned to enquire how consumers choose their conveyancer, their attitude to risk and their confidence in using big brands such as retailers or banks compared to local solicitors. In this report the conclusion was that big brands would not provide the best service to housebuyers and using someone with local knowledge was the most frequently mentioned reason for choosing a particular conveyancer. Only 3% of respondents to the survey said that they would use an on-line conveyancing service.

Why is there such a difference in the requirements of consumers in these two reports and why do they appear to contradict each other? After all, the consumer polled by YouGov about conveyancing is the same shopper deciding whether to venture to the High Street, go to a shopping centre with free parking or stay at home and buy online.

Whilst legal services such as conveyancing have become commoditised and price sensitive, buying a house is still the most expensive and stressful transaction for many people. Having a local specialist on your team and a named expert to advise you is more important than the convenience of using an online service. The YouGov report also found that most consumers do not want to be dictated to by banks as to which legal provider to use but were generally happy to rely on recommendations from estate agents and especially from friends.

Reading deeper into the comments following Mary’s High Street report, many shoppers express delight when they do venture into the High Street at the level of knowledge, expertise and customer service that they experience from shopkeepers and professionals who have managed to remain local. At this point, the contradictions in the two reports start to diminish and the common theme of customers valuing expertise and experience over convenience and price shine through.

Perhaps the High Street as we know it does need a kiss of life but its purpose as a place for the public to obtain good advice, great service and good quality products is beyond doubt.

Other HighStreetLawyer news:
HighStreetLawyer.com doubles in size

HighStreetLawyer builds national network

For a profile of our MD Gary Yantin in City AM click here:http://www.cityam.com/business-features/legal-industry-shake-business-opportunity

Second Life After Death

2011-12-05T07:01:00.000-08:00

Watching Mark Zuckerberg on Sunday’s ‘Inside Facebook’ (BBC2) got me thinking. Facebook now extends from ‘before the cradle to beyond the grave’. Recently, my online friends’ status updates have announced the happy news of pregnancies (complete with scan photos) and sad news about the loss of a loved one and the funeral arrangements. How much do Facebook’s 800 million users really want to share, and what kind of digital mark will they leave when their physical selves cease to exist?

Perhaps BBC’s ‘Who Do You Think You Are?’ will become obsolete in a few generations’ time. Internet-savvy genealogists will simply be able to log onto Facebook, YouTube or Twitter where their ancestors’ lives will be pristinely documented from birth to death.

What actually happens to your digital footprint when you pass on? Most users have probably never even considered it.

Each of the online communities have their own ways of dealing with the death of their users- Facebook gives your survivors the option to close down your account, or curiously to ‘memorialise’ it, creating a digital epitaph on which all your online ‘friends’ can pay their respects. Twitter allows your ‘digital executor’ to download a copy of your public tweets before closing down your account. YouTube allows your heir or power of attorney control of your account and all its content. But perhaps most disturbing is Hotmail’s deceased user policy - once the executor produces a copy of the death certificate and proves their connection to the deceased, they will be sent a list of their existing contacts as well as a copy of all the email messages stored on the account.

Whilst access to the deceased’s contacts may be required to inform people of the bereavement, something about this worries me. Access to somebody’s email account differs intensely from opening your loved one’s post to administer their affairs. Would your email contacts be happy with somebody other than you being privy to your correspondence? Would you be comfortable with your next of kin probing your password-protected emails?

This is something to consider when you appoint the executor of your will or your power of attorney or to include in the document itself. As well as burial plans and bequeathing your property, you should make sure to consider what you want to happen to your Facebook, Twitter, YouTube and email accounts to make sure that the digital mark you leave reflects your wishes.

HighStreetLawyer.com doubles in size

2011-12-01T05:34:00.000-08:00

Legal franchising brand HighStreetLawyer.com has doubled in size by signing up five new firms. The venture, launched in September last year, aims to have around 100 members by the end of 2012, founder Gary Yantin told the Gazette.

Yantin, a commercial lawyer, said that the network is aimed at local high street firms with three to four partners and an ‘entrepreneurial outlook’. Firms pay a membership fee, giving them the right to use the brand, back office and marketing support, access to referrals, and member services through a ‘buying club’ offering special deals on products including searches, title insurance and software.

Recent sign-ups include Ciampa in Bedford, Kingswell Berney in Gosport, Leicester firm Halborg & Co and Brown & Co in Croydon, Yantin said. He declined to name the fifth firm.

Yantin described the scheme as a ‘brandchise’, saying: ‘It’s more about branding and licensing than a franchise.’ He likened it to the operating model of brands such as Interflora, Best Western Hotels and independent electrical supplier Euronics.

Michael Vaughan, senior partner at Kingswell Berney, said: ‘We are pleased to join HighStreetLawyer.com because that is exactly what we have been for 75 years for people and businesses of the southern counties.

‘By joining this national network, we can continue and extend our services to be the complete personal high street lawyer with confidence in the brand.’

Yantin said he was not daunted by recent announcements of new funding raised by larger rival QualitySolicitors, or by the Co-operative’s decision to offer family law services. He said: ‘We view our competition not as the Co-op, but as everyone providing legal services. It’s great that QualitySolicitors has raised money because it shows that people want to invest in the industry.

‘But these two ventures and the fact that others might have a deeper war chest doesn’t affect our ambitions or plans. It shows there’s room in the market for legal brands, independent firms and non-lawyer brands like the Co-op.’

This article first appeared in the Law Society Gazette and on the Gazette's website on Thursday 21 November

Other HighStreetLawyer news: HighStreetLawyer builds national network

For a profile of our MD Gary Yantin in City AM click here:http://www.cityam.com/business-features/legal-industry-shake-business-opportunity

HighStreetLawyer builds national network

2011-11-23T01:45:00.000-08:00

HighStreetLawyer.com (HSL) has added five new firms to its nascent national legal network after its successful pilot phase, Legal Futures can reveal.

HSL is also relaunching its website today as part of the ambition of founder Gary Yantin to reach 100 branches by the end of 2012.

The new firms are located in Bedford, Leicester, Croydon, Tyneside and Hampshire, adding to existing members in Newcastle, Sheffield, Manchester and London, where there are two.

Target firms are around four to five partners in size, and retain their own branding under HSL. However, they advertise themselves as part of the HSL network.

Mr Yantin, a commercial solicitor, claimed no other network offers the trio of key elements that HSL does: vetted referrals through its website, the right to use the HSL branding with central marketing support, and a back-office buying club. Among the providers signed up to offer HSL members services are Completion Monitor, Direct Law, Finders, First Title, Jennings, Litigation Protection and SearchFlow.

Firms pay a referral fee for every case which leads to payment, plus a monthly membership fee. HSL does not seek a percentage of turnover.

Mr Yantin said he was “not convinced by the power of TV or above-the-line advertising for legal services because they are not desire-led” – rather they are distress purchases. “We’re going down the route of being in a referral network and being where the consumer is,” he explained, building relationships with the likes of financial advisers, accountants and finance directors.

HSL firms do have to commit to fixed fees and Mr Yantin acknowledged the difficulty of having work priced the same whether in London or Newcastle. “We have to be brave enough as a brand to know that’s a massive challenge, but it’s a challenge worth having.”

London firm Carr & Kaye was one of the pilot firms, and partner David Carr told Legal Futures that unlike most referral schemes he has experienced, HSL has “referred quite a bit of business to us that’s been of good quality”. He added: “HSL asks to work with us; we don’t want to be taken over.”

One of the new members is Kingswell Berney of Gosport, Hampshire. Senior partner Michael Vaughan said HSL offered the chance to grow with the help of a network while retaining the firm’s independence and not being subsumed by a brand. With new competition looming, “to do that all by ourselves would be almost too much of a challenge. We need a brand and need to band together”.

Scott Halborg of Halborg & Co in Leicester, another new member, added: “HSL is emerging as a strong brand attracting quality clients to the quality law firms which HSL is targeting. We see this as adding further reach to our marketing strategy, and it allows us to preserve our independence whilst remaining part of a respected network of firms.”

Mr Yantin said: “We are now confident that we have law firms across the country able to respond to consumers’ legal needs and provide an excellent quality service through a number of delivery methods, including online and in person.

“We have formed relationships with some of the key providers of services to law firms and our holistic approach to creating a legal brand means that we can now concentrate our efforts on the task of customer acquisition for our lawyer members.”

This article first appared on Legal Futures 21 November 2011

For a profile of our MD Gary Yantin in City AM click here: http://www.cityam.com/business-features/legal-industry-shake-business-opportunity

Ahead of the curve or your head in the sand?

2011-10-19T01:31:00.000-07:00

Earlier this week I was lucky enough to be invited to the Legal Futures conference "New Ways to Practice Law" as a panel speaker alongside the other emerging legal brands. Six months earlier I had attended as a delegate and heard from the regulators and industry commentators. This time the majority of the speakers were speaking about their business models either launched or planned. We heard from Rocket Lawyer - a legal document and lawyer locating service part owned by Google Ventures. In their domestic market in the US, Rocket Lawyer has sold over 30 million legal documents. A similar company, Legal Zoom, claims to be well known by 50% of the American consumer market. We also heard from Legal 365's founder Ajaz Ahmed. A self proclaimed shopkeeper perhaps better known for creating and then selling Freeserve, he brings a very fresh approach to consumer legal services, even though he refused to reveal how his business model plans on attracting new customers. An existing industry provider, Epoq, told the conference that the days of the small local firm is doomed and that the consumer market will be dominated by brands. More than one speaker confirmed the death of the partnership as viable business model.

The delegate list was indeed impressive and although the organisers claimed to have over 100 lawyers in the room, it appeared to me that the majority of attendees were either suppliers or advisers to lawyers, new market entrants themselves or industry commentators. I found myself asking, and tweeting too, whether it was worrying that there weren't more lawyers in the room listening to those very people who will be their threat or opportunity in the post Legal Services Act world. One response was that the lawyers were at work and knew everything they needed to know. A more concerning response is that the traditional suppliers are still playing a waiting game to see if the planned new providers actually enter the market and cause an upset. There is an excellent argument about doing due diligence and not jumping too soon. However, these businesses have either already launched or will be doing so soon so maybe the wait is over.

The one thing that the delegates and speakers had in common is that they now know what the market might look like and are already one step ahead of those who don't think the LSA will affect them. Well done to Legal Futures for another excellent conference and a great line up.

Legal industry shake up is a business opportunity

2011-10-10T03:01:00.000-07:00

THE Legal Services Act has just come into force and it threatens to decimate high street legal firms. For years, in legal seminars across England and Wales, high street lawyers have been crying out against it. The new law hopes to create competition, but many have warned it could squeeze out smaller firms who lack the marketing muscle of the giants.
But Gary Yantin has come up with a plan to save the little known lawyers in your town. “I was sat in this seminar a few years ago, listening to a talk about how the Legal Services Act was going to be very scary for small high street firms and I thought there has to be another way.” Indeed, there was. It was then and there that Yantin hatched the idea for his business, High Street Lawyer.
“I thought there has to be a way of protecting the consumer and keeping high street lawyers in work.” He had been happily working in high street and in-house legal teams since 2000. “I got home, spoke to my wife about it and thought if I don’t do it, I’ll kick myself.”
The idea was simple. Create a brand that hundreds of small law firms can sit under, one that offers the same products at the same standards, at the same price. “It’s a bit like Interflora, where a bunch of Mother’s Day flowers look and cost the same from whatever Interflora shop you buy them from. Basic legal services can be offered in the same way.” For instance, simple will services can be bought from High Street Lawyer for £200.
GETTING STARTED
To get started, Yantin went about forging partnerships and gathering money from friends and family. It wasn’t long before he had strong team of investors around him and half a dozen high street firms. He took the plunge, working full time on the business from July 2010.
“I was nervous, but I think nerves are a good thing. The business has huge scalability so it keeps me motivated.” This attitude seems to have done the trick. He’s on track to hit his 100 law firm target by 2012.
“I’ve had to learn loads of things fast, but my investors have been great – they bring so much knowledge and expertise to the table.” Yantin’s investors have backgrounds in franchising, retail, finance and professional corporate services. Yantin says getting great investors are an “invaluable” and highly recommended resource for anyone planning to start a business.
But what’s the toughest challenge yet? “Sticking to your original concept and not getting distracted by what other people in your field are doing. We’re had couple of sweaty moments, but I know we’re doing the right thing.”

This article first appeared in CITY AM on 10 October 2011. See the full article on http://www.cityam.com/business-features/legal-industry-shake-business-opportunity

BANG

2011-10-06T06:01:00.000-07:00

BANG!

So, today is the day of the introduction of the Legal Services Act and Tesco Law. As from today, non lawyers can own law firms and provide legal services. Law firms can raise external finance and attract investment into their businesses. Is it the BIG BANG speculated by commentators on the legal industry? Well, not quite.

I have not seen any solicitors firms changing their signs permanently to “Closed” or lawyers jumping out of their windows because of the threat of new entrants to the market.

Practically, most new entrants will be delayed from entering the market until early next year due to a delay in the Solicitors Regulation Authority, the main licensing body, being ready to accommodate new business structures. One ABS has been licenced by the Council of Licenced Conveyancers but they are exclusively providing conveyancing services.

As seen on the BBC breakfast couch this morning, organisations such as CO-OP are preparing to enter the market and launch their legal services business when the SRA issue is solved.

Smaller law firms now have a great opportunity to present their expertise to the market to show the public why they would benefit from using traditional high street solicitors as opposed to retailers and insurance companies. Expertise, qualifications, experience, regulatory environment, risk management systems are all some of the selling points but they are assumed by the consumer when using a trusted professional. A far better approach would be for small law firms to focus on delivering great customer service and really getting to know their clients. Then solicitors will be able to play the retailers at their own game.

Small law firms facing "perfect storm"

2011-09-12T01:42:00.000-07:00

No one looking at the legal profession over the last few years will have failed to notice that ‘Tesco Law’ is coming soon to a high street near you. Tesco Law will open up the provision of legal services to grocers, banks and outsourcing companies. With the full implementation of the Legal Services Act coming into effect in October, it has been said that the traditional high street practice is doomed. Whether this is reality or scaremongering is a matter of interpretation. However, there can be no doubt that times are changing for solicitors and that much heralded deregulation is only one of a handful of issues creating the perfect storm for the legal profession.

By October each of the 10,000 or so law firms in England and Wales will have to renew their mandatory professional indemnity insurance. Firms that fail to obtain cover will be chucked unceremoniously into the Assigned Risks Pool, a Law Society overhang from the days when all law firms were collectively indemnified. Climbing out of the Assigned Risks Pool is at best difficult, as firms have to convince insurers they are no longer an unwanted risk.

With little fluidity in the lawyer’s insurance market, more firms are expected to enter the pool or face a hike in their premiums as insurers pick and choose firms with the lowest risk profiles. Whilst a couple of new insurers have dipped their toes into the market this year, others have decided to limit their books of new business. In my discussions with small law firms across the country over the last few months, some firms are already paying up to 10pc of their turnover in compulsory professional insurance at a time when many are already victims of a reduction in revenues.

With the general economic downturn, and a decline in bread and butter work such as conveyancing, some firms have found that they have had to lay off support staff and fee earners recently. Various firms have moved previously salaried staff including partners to an “eat what you kill” remuneration structure. Not such a great situation if there is no killing to be done.

Clients are also becoming more savvy when negotiating fees. The impending Legal Services Act has encouraged a proliferation of comparison and auction sites for legal services. While these sites provide a great service for consumers looking for cheap legal fees, they encourage solicitors to slash prices in order to win work. Slashing prices must not mean slashing attention to detail or expertise but many firms will need to take on work at whatever level they can to meet their overheads. Avoiding another few quid in fees may be the difference between winning and losing work. Some lenders are even culling the firms they already approve to carry out mortgage work, making it almost impossible to act for a house buyer if the law firm is not on the lenders panel.

Another change coming to all law firms this October is the introduction of ‘outcomes focused’ regulations. Solicitors have until now sought comfort in the black and white style of interpretation of their regulatory rules. However, they will soon have to negotiate through a field of grey in their approach to work and how they deal with their clients. At the very least, all firms should be looking at their client care letters to make sure that they will comply with the new rules.

Although Tesco are keeping their powder dry on whether they will sell legal services alongside their groceries, other new entrants are already well developed and ready to engage with the high street consumer of legal services. The prospect of the availability of legal services in banks (Co-op), in newsagents (Quality Solicitors and WH Smiths) and shopping centres and train stations (Lawyers 2 You and others) is already a very real one.

While a small delay is expected before alternative business structures can be regulated by the Solicitors Regulation Authority, local independent law firms should consider this as no more than a bit of breathing space before the competition for clients really heats up.

Although the perfect storm is brewing for lawyers, it’s not all bad news. The changing legal landscape has forced many firms, both large and small to rethink their strategies in marketing, business development, costs base and structure, which will be beneficial in the long run. Solicitors who are prepared will be able to develop a niche in the market, whether it is for the work that they do, or the way in which they do it.
Ultimately they stand to benefit far more than those not fit enough to weather the conditions.

This article first appeared in the Business Club on telegraph.co.uk

From The Times 1 September 2011

2011-09-01T15:06:00.000-07:00

In the City: Edward Fennell

Edward Fennell

September 1 2011 12:00AM

If professional indemnity insurance continues rising, this autumn might mark the end of an era for the tiddly firm

Season’s greetings

As we swing into the new season here is something for City lawyers to reflect upon.

With “Tesco law” looming large, things were already looking grim for their country and suburban cousins. But even more immediately grave, says the network High Street Lawyer, is the threat posed by soaring professional indemnity insurance.

“Hundreds of Britain’s 10,000 solicitors’ firms may be uninsurable and will be forced to cease trading or make other arrangements in the next 12 months,” the network says.

At the heart of the problem are the micro firms with five partners or fewer. If they have a claim against them on their record they will typically be facing insurance premiums of about £50,000. The danger, High Street Lawyer says, is that at this level the costs could prove to be prohibitively expensive.

Some solicitors may just give up. For those who want to soldier on, the answer could be to look for a merger partner. But, either way, this autumn might mark the end of an era for the tiddly firm. Small may still be beautiful but, sadly, it has become unaffordable.

This article first appeared in The Times on 1 September. Whilst there are massive difficulties for small law firms, and PI insurance is just one of them, HighStreetLawyer.com has solutions. If you are a small, local, entreprenerial law firm then get in contact to see how we can help.

Five questions when choosing a lawyer

2011-08-14T10:34:00.000-07:00

The legal sector has always been a worry to many people because of the opaque prices, and it's going to become more complicated with the impending Legal Services Act.

There will be more choice, new regulators and many new firms launching. While this has many benefits, it also has the problem that many businesses appear to be manned by qualified and properly-regulated lawyers, when in fact they are using inexperienced people or less-stringent regulation.
The most important steps you should take to make sure you get a good solicitor are:

Is your lawyer a qualified and properly regulated solicitor? To make sure the firm is using solicitors (after all, if you are paying for legal advice you want it from a highly-qualified professional) it is important to make sure they are regulated by the Solicitors Regulation Authority. This can be done by asking to see their practicing certificate or by checking online.

Is your lawyer properly insured? Solicitor firms should have professional indemnity insurance of at least £2m to protect clients in case they make a mistake and cause you to suffer a loss. This is important as currently the insurance market for solicitors is very difficult and some are not able to get insurance. To make sure they are properly insured, ask to see their certificate. (Lawyers that cannot get insurance use insurance from the Assigned Risks Pool. This scheme is a last resort but it does give the customer protection in case of a negligence claim. However, it's a bad sign about the firm that they’ve had to use it.)

Do you have a detailed list of rates and charges? Make sure you take control and get all fees quoted and documented up front, as you don’t want to be hit with a large bill or unexpected charges. Ask for a breakdown of what is involved for the cost. Also, enquire what happens if the lawyer has under-quoted for the amount of time they will need to complete your case. Many solicitors will now carry out work at fixed prices.

Do you know who will actually carry out the work? At a solicitor’s office you will meet the partner, but is it him or his secretary that will actually do the work? Also ask what arrangements are in place if he/she is away and something comes up. Find out if the firm is part of a larger network that can provide support and assistance in case there is a gap in experience, knowledge or workload.

Does the firm have good risk management procedures? You should make sure a firm has stringent procedures in place to make sure it doesn’t make a mistake or miss something. Ask if they have an up-to-date membership of The Law Society’s Lexcel Scheme or the Conveyancing Quality Scheme in place, or alternatively if they have other processes in place to ensure the quality of service.

Gary Yantin is managing director of legal network High Street Lawyer

This article first appeared on Real Business http://realbusiness.co.uk/advice_and_guides/five-questions-when-choosing-a-lawyer

Latest newsletter

2011-08-02T06:32:00.000-07:00

Legal Services Act update

We are now only about 10 weeks away from the 6^th October and the key date when non lawyers should be able to provide legal services as Alternative Business Structures. The Solicitors Regulation Authority, who are expected to be a key regulator of ABS under the Act have recently announced that due to parliamentary delays they will not be ready to regulate bodies by the 6 October.

The Council of Licenced Conveyancers are expected to be ready to act as a regulator and are already receiving applications from bodies wishing to be ABS’.

It will be interesting to see if the CLC’s gain may be the SRA’s loss or whether there will be differing levels of regulation once the SRA declare themselves ready.

A report published recently by accountants H W Fisher found that 36% of SME firms that they surveyed did not think that they would be affected by the Legal Services Act. Only 11% of firms have considered trying to raise external capital. The full report can be found here: http://www.hwfisher.co.uk/uploadedfiles/newsitems/SMELegalPracticesSurvey2011.pdf

See if you are ready for the Legal Services Act and how you compare to other firms by taking our own survey.

http://debate.highstreetlawyer.com/

HighStreetLawyer.com as a consumer brand

Since January we have been referring work to the firms who have piloted our scheme with us. As the number of firms we talk to increases and as we settle into the second half of this year, our consumer campaign is set to intensify. We are currently working on a number of collaboration agreements with introducers of legal work including legal comparison sites and non lawyer retailers and referrers.

The referral debate

The outgoing Law Society president announced just before the end of her term of office that the Ministry of Justice should consider banning referral fees. Referral fees are an ongoing bone of contention amongst solicitors who would prefer not to pay a third party for introducing work. However, there is a huge difference between paying a third or more of your fee simply for the introduction of work that may or may not complete and outsourcing your marketing, customer care and some due diligence to another organisation. Such fees are now an accepted part of the legal industry and as shown since our launch in January are not of concern to solicitors or to clients provided the value that they add to a matter is transparently explained and provided that all parties comply with the relevant codes.

HighStreetLawyer.com as an umbrella group

We now have a number of preferred supplier arrangements in place for various services and are working on many more.

We have partnered with leading Genealogy company Finders. Finders provide a number of services to solicitors and to the public including a missing wills and missing beneficiary service as well as specialist probate insurance and advice on potential bona vacantia cases where the State stands to inherit unclaimed estates. Finders offer significant discounts to HSL members for all of their services. HSL members are eligible to become panel firms for the referral of legal cases.

Jennings Costs lawyers provide a bespoke service to solicitors in debt collection matters both where firms are chasing their own clients for fees and where firms wish to outsource debt recovery work to a specialist firm. Jennings also provide costs drafting services, which are discounted to HSL members.

Follow us

You can follow us on twitter @highstlawyer and linkedin. Over the next few weeks, our MD Gary Yantin will be in Bournemouth, Southampton, Croydon, all over London, Manchester, Nottingham, Sheffield, Liverpool and Birmingham. Any firm interested in finding out more about HighStreetLawyer.com should email gary@highstreetlawyer.com for an appointment.

Top Tips for reducing legal spend for SME’s

2011-07-21T10:38:00.000-07:00

As appeared on http://www.freshbusinessthinking.com/business_advice.php?CID=8&AID=9416&PGID=2

1. Agree fixed fees
Be aware there are over 10,000 law firms out there — you can afford to shop around, and don’t have to go to the one down the road. In particular, small businesses should avoid lawyers charging hourly rates. Most firms are happy to agree a fixed fee for routine work. Even the most experienced specialist lawyers will now accept fees based on value as opposed to time billing.

2. Stay on top of changes in the law
The Law changes all the time. Even lawyers like me struggle to keep up with everything. It’s hard to make sure that your business is compliant, especially if different areas impact on you (for example, almost every business has to deal with employment law and property law at some point) and getting caught out by a sudden change in the law can be horribly expensive. I’d recommend businesses consider an annual review of your key contracts to make sure it never happens to you.

3. Use the law to solve problems before they happen — lawyers are always cheaper than lawsuits.

By using contract terms properly, you can do a tremendous amount to limit your liability. For example, if you run an e-commerce website getting your Terms and Conditions (T&Cs) right can be absolutely crucial to your business. The difference between a T&C guaranteeing delivery in 14 days and one guaranteeing delivery in 28 days can be enormous! The same applies almost everywhere — employment contracts, leases, shareholder agreements — if they’re written properly.

4. Have a lawyer on retainer, rather than going to one in a crisis

For plenty of businesses (for example, property developers), ongoing legal costs are unavoidable. If you’re in one of these businesses, setting up a monthly bill means that you are not going to be hit with a massive legal fee payable in one go. Lawyers want to control cash flow too so offering to pay by direct debit monthly will help negotiate better rates with your lawyer.

5. Get rid of the notion that law is complex & expensive

Too many small businesses have the perception that lawyers are expensive, and that law is always hugely complex (I blame the television). In fact, most legal issues are relatively simple and routine. Employment contracts, Commercial leases, shareholders agreements, and terms and conditions can and should all be purchased on a fixed price basis.

About The Author

Gary Yantin is the founder of http://www.highstreetlawyer.com/ - A solicitor of eleven years experience, he started his career in a small high street firm in St.Albans and he understands the pressures of working in a small firm. He founded High Street lawyer to enable top quality small independent firms fight off “Tesco law” by developing nationwide competition on fixed price products, primarily benefiting consumers and small businesses that currently rely on undifferentiated local firms

I want to be loved by you!

2011-07-14T01:17:00.000-07:00

What does a client want from their lawyer? Perhaps love is too much but how often do solicitors consider what clients look for when choosing their legal adviser. More importantly, what is it about your competitors that may be attracting your existing or potential client to them. The need to understand your client is more important now than ever as new entrants to the market emerge. Organisations such as Co-op will not be able to create significant amounts of new work. Rather they will be looking to take market share from the current incumbents. Member organisations such as Saga and AA know their members and their habits. They know about their insurance needs, what cars they drive, the number of dependants they have, their health profiles and the number of holidays that they take. Supermarkets, with their loyalty schemes, even know your favourite brand of cereal or toothpaste as well as the guilty pleasures you treat yourselves to now and again. With this sort of information, marketing additional services such as wills and powers of attorneys should be a doddle.

What these new entrants need to do is demonstrate that they have the relevant legal expertise to carry out the work. They will need to recruit good staff and invest in sophisticated IT. How can existing law firms and legal brands such as HighStreetLawyer.com compete?

They can do so by showing that a strong personal service that puts the client at the heart of everything that the lawyer does is still available. Whilst price is an extremely important factor in selecting your solicitor, making the client feel appreciated is essential. Clients want to feel like they are appreciated by their lawyer and not just for the fee. Easily achievable objectives such as availability and accessibility will level the playing field between traditional law firms and new providers but understanding how to appreciate clients will tip the advantage in the solicitors favour. Add to that sophisticated marketing, risk management procedures, clearly defined branding and buying club benefits and the advantage starts to become greater still.

Find out more about HighStreetLawyer.com and how it can help you whether you are a law firm, a consumer of legal services or a service provider by contacting me.

All the best

Gary

Can collective marketing for law firms work?

2011-05-24T03:06:00.000-07:00

Last week I was invited to take part in a panel debate chaired by Professor Stephen Mayson at a conference entitled Key Strategies for Law Firms. Alongside me on the panel were Quality Solicitors, Russell Jones and Walker and Blakemores. The subject was Collective Marketing vs Single Firm Brand Identity. I also ran a workshop with the hypothesis that "A sustainable legal brand can be achieved through collective marketing".

My view on these topics is pretty unsurprising. Of course, I think it is possible for law firms to achieve sustainability or, more importantly, profitability through collective marketing. However, it won't work for everyone. Sharing resources purely for the hope of reducing costs does not necesarily mean that the outcome will be effective for the participants.

The most successful examples of collective marketing producing measurable and solid results for those participating have a common feature; an easily identifiable product or service aimed at the consumer. One brand that has succesfully acheived this is Interflora. There are also a number of examples in the hotel and travel industry, opticians and retail. In Interflora's case the consumer knows the quality and service that they can expect by using an Interflora endorsed florist. How that florist is run and who owns it does not matter greatly to the consumer. Provided the florist adheres to the accepted service level the consumer's faith in the brand remains.

Using this model for legal services is more complicated but certainly achievable. The key to successful collective marketing is ensuring that the message to the consumer is clear and consistent. The consumer of a legal product such as a simple will or conveyancing wants a fixed price, an experienced lawyer, good value for money and clear communication. Variations in price, methods of delivery or service are dangerous when consumers have all the tools that they need to compare providers and shop around. Marketing these key features of products collectively and keeping things simple will ensure that it is not only possible but profitable for firms to benefit from collective marketing.

I said much more about this at the conference and will I am sure be saying lots more about it here too!!

All the best

Gary

Blogging, podding and branding

2011-05-16T04:27:00.000-07:00

Since my first blog post last week I have been hurled headlong into the world of social media and commentating on the Legal Services Act. Unsurprisingly, mostly people want to know my views on law firm branding.

I recorded a podcast in the esteemed surroundings of the Law Society reading room. When it has been edited I will mention here where it can be dowloaded. I have written a couple of articles for other companies newsletters. Again, I will publicise my writings here when they are available. I have also had my first experience of being an expert pannellist at Conscious Solutions conference which touched on the Legal Services Act amongst other issues facing law firms at the moment. Alongside me were the directors of Contact Law, Quality Solicitors and Wigster.com.

One of the more interesting debates was around branding of law firms. Why should a law firm spend money on joining an existing legal brand such as HighStreetLawyer.com rather than spending money on its own brand? This is a topic that law firms have only really had to think about before when considering their position against other similar law firms. Now, a law firm's position and identity needs to be compared against other established companies looking to take an increased market share of the legal services market. Some of these organisations are already well known brands whose public persona is instantly recognised by consumers. Others, such as HighStreetLawyer.com aim to provide the public with clear brand qualities so that the consumer knows the intrinsic values of using them to provide their legal services.

Small general practice firms therefore have to add branding and identity to their lengthening list of strategic dicsussion points. First though, they need to understand what a "brand" is. Is it a new name and a fancy logo? Is it a set of values? Is it a cultural review of the firms behaviour? Can there be such a thing as a legal brand? Once firms have a basic understanding of this they can consider whether they will benefit from reviewing their own brand or becoming part of a larger organisation and taking advantage of someone else's branding and messaging.

I will be talking about this subject on Wednesday 18 May at the LawNet conference. I will let you know my own views in more detail in future posts.

HighStreetLawyer.news

2011-05-08T15:41:00.000-07:00

Hi,

Welcome to HighStreetLawyer.com’s news update.

Conferences

I will be speaking at a number of conferences over the coming weeks.

I will be in Coventry on 12 May at Conscious Solutions annual conference. On a panel alongside Quality Solicitors, Wigster and Contact Law, I will be discussing Referrals and Branding – The Various models.

On 18 May I am appearing at NetLaw Media’s Key Strategies for Law Firms 2011. The keynote speaker is “Mr Loophole” Nick Freeman. I will be discussing Solicitor Consortiums as well as running a workshop on Building a sustainable brand through collective marketing.

CPD

HighStreetLawyer.com is very pleased to support the CPD courses run by Legal Focus. Legal Focus run affordable CPD courses aimed at High Street general practice solicitors and have two courses planned for May; 25 May 2011 Immigration Update and 26 May 2011 Pre-nups; Policies, procedures and Precedents. Both courses take place in Central London.

Mention HighStreetLawyer.com when you book and receive a 15% discount. Legal Focus are already taking bookings over the phone on 0208 239 7264 or can be booked via www.legal-focus.co.uk

You can also get CPD points at excellent value from attending First Title’s CPD roadshows. The list of roadshows is at http://www.firsttitleinsurance.eu/events_and_training/2011_cpd_roadshow The cost is so competitive we can’t get you a discount but please mention us when booking.

If you are attending any of these events and would like a one to one to find out more about HighStreetLawyer.com please contact info@highstreetlawyer.com and mark your email “One to One”.

Indemnity renewal time

Unfortunately, it’s time to start thinking about your indemnity cover again. Fortunately, St Giles PI are running a series of seminars across the country to help with this task. Seminars are free and you get CPD points. They are held in London, Manchester, Leeds, Bristol, Cardiff, Birmingham, Bournemouth, Brighton, Newcastle and Torquay. Further details can be found on www.stgilespi.co.uk. A representative of HighStreetLawyer.com will be at each St Giles seminar so if you would like to find out more about us please let us know which seminar you will be attending.

HOPP

We are very impressed with the new Home Owners Protection Policy developed by First Title. The HOPP is a new type of title indemnity policy available to homeowners and covers a range of risks not normally covered by indemnity policies available from sellers. You can find out more about it at www.thehopp.co.uk . Have you used the HOPP? Would your clients benefit from it? First Title want to know the views of High Street practitioners. Let us know what you think at info@highstreetlawyer.com and we will pass your views on to First Title.

Please feel free to pass this on to friends and colleagues who may find it interesting.

Kind regards

Gary

Gary Yantin

Managing Director

High Street Lawyer Limited

0203 326 1234

07931 869027