Solicitors Certificates

In historic institutional child abuse claims, we are continuing to see requests by some defendants for plaintiff’s solicitors to provide an independent solicitor certificate on settlement of the plaintiff’s claim. The certificates typically contain statements to the effect that the solicitor acting for the plaintiff has explained to the plaintiff the purport and effect of the settlement deed, the plaintiff appeared to have understood that advice, and that the deed was signed voluntarily.

In the current financial environment requests for practitioners to advise on loans and guarantees, particularly from second and third tier lenders, appear to be increasing. Providing solicitors’ certificates in these matters is risky at the best of times, but where there is uncertainty about future financial and property market stability and clients under severe financial stress, extreme care needs to be taken.

Providing a solicitor’s certificate for a borrower or guarantor is risky. It is essential to treat it as providing professional advice and not just witnessing documents.

We regularly receive calls from practitioners raising issues about a lender, usually a bank, with the most common being the use of solicitors’ certificates which do not comply with rule 11 of the Legal Profession Uniform Legal Practice (Solicitors) Rules 2015.

With the introduction of the Legal Profession Uniform Legal Practice (Solicitors) Rules 2015 practitioners should no longer provide certificates of advice for borrowers and guarantors to lenders other than those referred to in rule 11.