News & Insights

A revised adjudication scheme for professional negligence claims has been launched, updating the scheme that was launched in May 2015.  The changes have been made with the aim of encouraging greater participation in the scheme.

The scheme is now open to all professional negligence claims – previously it was only available where the dispute involved a claim against legal advisers.  There is still no definition of “professional negligence disputes” but the guidance states that the scheme is intended to apply to disputes “between professional persons such as lawyers, valuers, accountants and so forth and their clients”.

The £100,000 cap on the value of any claim that can be adjudicated has gone – there is no longer an upper limit.

The scheme continues to be entirely voluntary.

The aim of the scheme is to enable parties involved in professional negligence disputes to obtain a decision on their dispute quickly and at a relatively low cost.

The adjudicator will provide a written reasoned decision within 56 days of appointment.  The decision will be binding and, if the adjudicator decides in the claimant’s favour, compensation will be payable within 21 days.  If payment is not made, the claimant can seek summary judgment to enforce the decision through the courts.

If you would like further information please contact Rob Kelly.

This article provides information and comments on legal issues and developments of interest.  The contents of this article do not constitute legal advice, is not a comprehensive treatment of the subject matter covered, and should not be relied on as such.  Legal advice should be sought about your specific circumstances before taking any action with respect to the matters discussed.