17 May 2012
CPD Learning Tip of the Week – Having an ADR Mindset
Having an ADR mindset is becoming an increasingly important asset in resolving disputes. Read the two latest Singapore Law Gazette articles below to find out more about the Subordinate Courts’ 'Presumption of ADR' initiative and how you can be a conflict resolver:
10 May 2012
CPD Learning Tip of the Week – Concept of an “agreed fee” under Rule 9(2)(c)(ii) of the Legal Profession (Solicitors’ Accounts) Rules
The Court of Three Judges made a number of important observations on the concept of an “agreed fee” under Rule 9(2)(c)(ii) of the Legal Profession (Solicitors’ Accounts) Rules in the recent decision of Law Society of Singapore v. Tay Choon Leng John [2012] SGHC 86. That decision considered, inter alia, two issues:
(a) Whether or not an “agreed fee” must be in writing; and
(b) Whether or not an “agreed fee” must be for the entirety of the transaction.
A brief summary of the Court’s observations vis-à-vis the two issues is set out below:
Issue (a)
1. As a general proposition, the formation and validity of an agreement on professional fees between a solicitor and his or her client is, like any other contract, governed by the common law. Such an agreement could be oral or in writing. This is, of course, subject to any relevant contrary provisions set out in the Legal Profession Act and/or its attendant subsidiary legislation: [15].
2. Rule 9(2)(c)(ii) merely provides for “an agreed fee” without imposing any formal requirement as to writing: [21]. The proper reading of Rule 9(2)(c)(ii) is that it should be viewed not as a provision concerned with the enforceability of a fee agreement, but only in determining whether there is an agreement between the solicitor and client which would permit the solicitor not to have to place money so received by him from a client into a client account: [34].
3. Section 111(1) of the Legal Profession Act provides that a solicitor “may make an agreement in writing” with a client for his fees in contentious business. This provision is couched in permissive, rather than mandatory, terms and does not say that there could not be an oral fee agreement or that such an oral agreement would be invalid: [23].
4. A client is not deprived of protection simply because there is an oral fee agreement. No agreement for the payment of costs between client and solicitor is sacrosanct and such agreements are subject to the court’s scrutiny, particularly from the perspective of reasonableness and fairness: [33].
Issue (b)
5. Section 111(1) of the Legal Profession Act states that “a solicitor … may make an agreement in writing with any client respecting the amount and manner of payment for the whole or any part of its costs in respect of contentious business”. Like an agreed fee in writing, an oral agreement could be made in respect of the costs of part of the work to be undertaken by the solicitor, or up to a certain stage of the proceeding, notwithstanding any evidential difficulties in proving what the parties had exactly agreed on as fees. Nevertheless, as a matter of good practice, it is always desirable to reflect all fee agreements in writing: [35].
6. Solicitors are cautioned that they have the obligation to make abundantly clear – both to the client and, if necessary, to the court – which specific part (or up to which specific stage) of the transaction is covered by the agreed fees. For the protection of the client, a solicitor cannot be allowed to vary his agreed fees upwards at his will: [36].
Disclaimer: The above is provided to highlight selected principles in the Court’s judgment. It is not intended to be a substitute for the reasons of the Court. Practitioners should read the entire judgment to understand the reasons of the Court.
3 May 2012
CPD Learning Tip of the Week – Law Society’s Pilot Pro Bono Arbitration Scheme
Do you know that the Law Society has recently launched a pilot Pro Bono Arbitration Scheme under the Law Society’s Arbitration Scheme for arbitration of disputes of up to $20,000 conducted on a documents-only basis? The usual LawSoc Arbitration Rules will apply except that the sole arbitrator will waive his or her fees for the matter. To find out more, click here.
26 April 2012
CPD Learning Tip of the Week – Informing a Client of his Right to Taxation or Review of a Fee Agreement
How well do you understand the Council's Guidance Note 1 of 2012 issued on 24 April 2012 on “Informing a Client of his Right to Taxation or Review of a Fee Agreement”? Take this quiz , total up your score and see if you have really understood the key points of the Guidance Note!
19 April 2012
CPD Learning Tip of the Week – Inter-Spousal Gifts in Division of Matrimonial Assets
Two interesting issues arise when one spouse gives the other a gift during the marriage. When spouses divorce, can these inter-spousal gifts be divided as “matrimonial assets” under section 112 of the Women’s Charter? If these gifts remain matrimonial assets available for division, how should such gifted assets be divided between the spouses? Click here to read a Singapore Law Gazette article which discusses how the law should treat inter-spousal gifts.
12 April 2012
CPD Learning Tip of the Week – E-Discovery
Do you know that the Supreme Court Practice Directions have been amended from 1 March 2012 to reinforce the key benefits of E-Discovery? Read a commentary on the amendments in the March 2012 issue of the Singapore Law Gazette to find out more about:
- Removing ambiguities and fomenting consensus;
- Proportionate and economical discovery;
- Search engines to power productivity and costs savings; and
- Direct exchange of electronic copies with costs deferred.
4 April 2012
CPD Learning Tip of the Week - Data ProtectionHow ready are you for the impending implementation of the proposed Personal Protection Bill which introduces a data protection framework and regime, expected to be introduced into Singapore later this year? Do you use social media platforms on a regular basis? Curious about what this new legislation may mean in relation to privacy issues related to marketing, and use of social media platforms? Click here to learn more about this area in our Tip of the Week!
29 March 2012
CPD Learning Tip of the WeekDo you know that you can access the Law Society’s materials on client care at the click of a mouse or through your touchscreen? Visit the links below to find out more!
Clients Need to Know What They Need to Pay
Why So Many Complaints Against Lawyers?
Achieving Full Client Realization
The Role of Client Care in Profitability (Part 1)
The Role of Client Care in Profitability (Part 2)
27 March 2012
The mandatory Continuing Professional Development scheme will come into effect on 1 April 2012.
For young practitioners (admitted to the Singapore Bar on or after 2 Jan 2007), please click here to view the 6 Facts You Need to Know About Mandatory CPD .
To read the Law Society media release on mandatory CPD scheme, please click here.
The Law Society is also pleased to announce the launch of our Training Roadmaps for Members. Please click here to find out more.
For upcoming CPD events, please click here.