Funding arrangements—solicitors regulatory requirements
Funding arrangements—solicitors regulatory requirements

The following Dispute Resolution guidance note provides comprehensive and up to date legal information covering:

  • Funding arrangements—solicitors regulatory requirements

In 2011 the Solicitors Regulation Authority adopted a regime change in relation to its regulation of the industry. As part of this, a new Code of Conduct was introduced with effect from 6 October 2011. There are ten principles and a set of mandatory outcomes ie standards of behaviour which solicitors must meet. In order to achieve those mandatory outcomes the 2011 Code provides a non-exhaustive list of behaviours which are 'indicative' as showing whether or not the required outcomes will be achieved.

The mandatory outcomes relating to funding and costs are contained in the '1st Section: You and your client Chapter 1: Client case'. Of the sixteen mandatory outcomes set out in the 2011 Code, Outcome O(1.6) is of most relevance in relation to Conditional Fee Agreements (CFA), namely that:

'you only enter into fee agreements with your clients that are legal, and which you consider are suitable for the client's needs and take account of the client's best interests' (O(1.6))

Other relevant mandatory outcomes include:

  1. O(1.12): clients are in a position to make informed decisions about the services they need, how the