Instructing third parties 2019

The following Practice Compliance practice note provides comprehensive and up to date legal information covering:

  • Instructing third parties 2019
  • SRA regime
  • Comparison to 2011 Code
  • Difference between instructing and introduction to a third party
  • SRA Principles
  • Equality and diversity
  • Evaluating third parties
  • Agreeing the choice of third party with the client
  • Third party's fees
  • Commission and other financial benefits
  • More...

Instructing third parties 2019

This Practice Note reflects requirements in the SRA Codes of Conduct 2019 in relation to instructing third parties, in force from 25 November 2019.

There is a separate Practice Note for situations where clients are referred to you by third parties—see Practice Note: Referral and fee sharing arrangements 2019.

See also below: Difference between instructing and introduction to a third party and separate Practice Note: Introductions to third parties 2019.

SRA regime

The SRA's core regulatory requirements are found in the two Codes of Conduct (the Code for Individuals 2019 and Code for Firms 2019), which should be read in the context of the SRA Principles 2019.

The Standards and Regulations will be accompanied by case studies and guidance in a variety of formats, such as Q&As, warning notices, decision trees and ‘topic guidance’. The SRA has indicated what guidance it intends to produce—see Practice Note: SRA Standards and Regulations—Supporting guidance. This does not appear to cover instructing third parties.

Comparison to 2011 Code

The 2011 Code of Conduct contained no specific requirements in relation to instructing third parties, except in relation to commission and other financial benefits. This approach has been carried across to the 2019 Codes—see Practice Note: Introductions and instructions to third parties—SRA 2011 regime and SRA 2019 regime compared.

Difference between instructing and introduction to a third party

Paragraphs 5.1 to 5.3 of the

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