Payments on Account in Publicly Funded Cases
In some publicly funded civil cases barristers claim for a payment on account from the Legal Services Commission. Occasionally a final report or final claim for costs is never submitted by the solicitor.
The LSC is conducting a review of payments on account outstanding on publicly funded cases.
Barristers have sought advice from the Bar Council about how to respond to letters they receive from the LSC on this subject. The Bar Council have worked closely with the LSC and a "Guidance for Counsel" document has been produced, together with revisions to the LSC's standard letter and standard report form:
Guidance for Counsel
LSC standard letter
LSC standard report form
17 August 2011: Update regarding 2006 cases or earlier
Following discussions between the Bar Council and the Legal Services Commission (LSC), the Bar Council has been advised that the LSC has investigated all debit notes arising during 2006 or earlier. We have been told that this involved consideration, having regard to all circumstances (including the date of the debit note and the position of counsel’s instructing solicitors), of the appropriate action in relation to individual debts to the LSC. We are pleased to report that the LSC has informed us that 228 out of 261 accounts have been cleared. Accordingly, barristers and fee clerks should take steps to confirm the status of debit notes directly with the LSC. If members of the Bar encounter debt issues which perceive as inappropriate, they should email details through to the LSC’s Debt recovery Unit at DRU@legalservices.gsi.gov.uk, who will investigate accordingly. For avoidance of doubt, however, in all cases in which proceedings have been issued or counsel has accepted the debt, the LSC will continue to require payment in full.
The Bar Council's intervention in the case of LSC v Henthorn is likely to result in further guidance as to the start date of the limitation period in debit note cases. This case is due to be heard by the Court of Appeal in November.
