Legal Practice Notes

Employers are legally obliged to consult with members, or their representatives, for a minimum of 60 days before introducing a “listed change” to occupational or personal pension schemes. What amounts to a “listed change” is defined in the Occupational and Personal Pension Schemes ( Consultation by Employers and Miscellaneous Amendment) Regulations 2006, SI 2006/349 (the Pension Consultation Regs). For wider considerations that may arise when amending an occupational pension scheme, see Practice Note: Amendment of occupational pension schemes—employer and trustee considerations. Statutory framework for the pension consultation requirements The consultation duty took effect on 6 April 2006. Its operative provisions are contained in: sections 259–261 of the Pensions Act 2004 ( Pe A 2004), and Pension Consultation Regs, SI 2006/349 In April 2010, the DWP published guidance to assist employers in complying with the consultation duty. The guidance recommends good practice but has no legal...

What is a CFA? A conditional fee agreement ( CFA) is an arrangement with a professional providing advocacy or litigation services under which their fees and expenses, in whole or in part, are payable only when certain specified conditions arise. CFAs commonly include provision for a success fee. In short, a CFA is taken to provide for a success fee where, in defined circumstances, the amount of the applicable fees is increased above the figure that would have been due if payment were not restricted to those circumstances. For a fuller discussion of success fees, see the section ‘ Success fees’ below and the Practice Note: Conditional fee agreements—success fees. Note that particular provisions, including those relating to success fees, apply when a CFA is used in personal injury, clinical negligence and mesothelioma claims, and these are not covered in this Practice Note. For those...

Numerous employers offer company vehicles to particular employees as part of their remuneration package, or pay a car or fuel allowance, in appropriate circumstances as necessary. For sample contract wording, see Precedent: Clauses—car or car allowance. Cars and car allowances not wages For the purposes of the Employment Rights Act 1996 ( ERA 1996), a company car does not constitute wages—a benefit in kind counts as wages only where it is vouchers, stamps, or a document that can be expressed in monetary terms and exchanged for money, goods or services. Accordingly, a company car is ordinarily excluded from the calculation of a week’s pay (see Practice Note: Calculating a week’s pay) and it is not safeguarded by the provisions relating to unlawful deductions from wages (see Practice Note: Deductions from wages). A car allowance does not amount to 'wages' for ERA 1996 where it simply and only...

Practice Note: The duty of fidelity and fiduciary duties As explained in Practice Note: The duty of fidelity and fiduciary duties, an implied duty of fidelity in every contract of employment will ordinarily prevent an employee from revealing to third parties confidential material learned in the course of their work. In addition, highly sensitive business information, commonly described as trade secrets, is protected by the equitable duty of confidence. Taken together, these obligations have historically shaped the implied responsibility owed by employees in relation to confidential information. The classification of business information is therefore pivotal: during employment, an employee is subject to an implied obligation not to disclose trade secrets and/or confidential information to others; after employment ends, only the implied restraint against revealing trade secrets persists. One exception is that a former employee may be stopped from benefiting,...

Repudiation This Practice Note addresses repudiation and clarifies what constitutes a repudiatory breach of contract. It outlines how such a breach strikes at the heart of the agreement and the courses open to the innocent party following the other party’s repudiation, namely choosing to accept the repudiatory breach and treat the contract as terminated, or alternatively to affirm the agreement. The Practice Note also sets out the concept of anticipatory breach of contract and considers when that, too, may amount to a repudiatory breach. The right to terminate for a repudiatory breach arises at common law and is a technically demanding area, extensively illustrated by case law. A party contemplating termination for another party’s repudiatory breach is advised to proceed with care. Termination on this basis is not a risk‑free approach, and every matter must be assessed on its particular facts. Where a party...

From 1 September 2021, a new pathway to qualification for prospective solicitors was introduced—the Solicitors Qualifying Examination ( SQE). During a transitional period, candidates can still qualify via a training contract, an apprenticeship, or the SQE. In due course, the SQE will replace the training contract route, and apprenticeship qualification will proceed through the SQE. To qualify as a solicitor under the SQE, a candidate must: hold a UK degree in any subject (or equivalent qualification or experience—this can include a solicitor apprenticeship) pass both SQE assessments complete two years’ full-time (or full-time equivalent) qualifying work experience ( QWE) The candidate must also meet the SRA’s character and suitability requirements. This Practice Note sets out the SRA’s rules for QWE and practical points for employers providing training and work experience to aspiring solicitors. For broader information on the SQE, see Practice Note: The...

This Practice Note offers guidance on preparing an appraisal form that can be used to evaluate and review an individual’s performance against both objectives and core skills (competencies). It supports assessment against goals and the core capabilities needed to deliver them. Why are appraisals important? An effective performance management process typically focuses on the following: aligning your workforce closely with the strategic aims of the business improving overall employee performance supporting employee development and ongoing retention driving improved overall business results Creating a competency based appraisal process It is important to recognise the appraisal form is not a script to be followed slavishly, but a tool that underpins and steers the conversation and creates a structure for capturing what was discussed. The dialogue matters more than the paperwork. Competencies describe the behaviours employees require to carry out a role to a high standard. They concern how objectives are...

If you agree a retainer with a consumer client away from your office, or without meeting in person, it is probable that the Consumer Contracts ( Information, Cancellation and Additional Charges) Regulations 2013, SI 2013/3134 will apply. This Practice Note helps you decide whether the Regulations are engaged and, if they are, to determine: whether you must comply with the rules for distance contracts or off‑premises contracts how those obligations differ The flowchart below offers a high-level snapshot of when the Regulations apply. Which clients do the regulations apply to? Cancellation rights under the Regulations are available where your client is an individual acting wholly or mainly outside their trade, business, craft or profession. Which contracts do the regulations apply to? For these purposes, a client retainer is a contract for services. The Regulations will apply if your retainer amounts to either: an...

This Practice Note This Practice Note offers a toolkit to help employers and advisers manage long‑term ill health or persistent sickness absence. Handling an employee absent for multiple extended spells, or a single prolonged, continuous absence, can be intricate and often demands a particularly careful, staged process, which the employer must document thoroughly and consistently. Extra caution is needed to minimise exposure to disability discrimination claims where the individual has a long‑term condition that meets the statutory definition of disability under the Equality Act 2010 ( Eq A 2010)—see Practice Note: Disability. Any permanent health insurance ( PHI) arrangement or pension scheme offering ill‑health retirement benefits will also be pertinent and should be taken into account. Securing a fair dismissal on grounds of long‑term ill health may take considerable time. The procedure must be conducted in line with statutory and case law...

This Practice Note explores regulatory considerations linked to corporate social responsibility ( CSR). For guidance on CSR strategies and drafting a CSR policy, see Practice Note: How to formulate your organisation’s approach to corporate social responsibility— CSR. Although there is no single CSR statute setting out defined duties for businesses, there is extensive legislation on equality and diversity ( E& D)—see section: Equality Act 2010. These themes are central to CSR. You should also consider any regulatory, practice standard, or accreditation expectations relating to CSR... SRA requirements There is no SRA obligation for law firms to maintain a CSR strategy or policy. However, a clear CSR policy may assist firms in shaping business processes to achieve an overall positive impact for clients. CSR strongly overlaps with E& D, and firms should remain mindful of their regulatory duties concerning E&...

Becoming a registered foreign The Solicitors Regulation Authority ( SRA) runs a registration scheme for overseas lawyers. Once on that register, a registered foreign lawyer ( RFL) may serve as a manager or owner of a practice alongside solicitor managers/owners. The SRA Authorisation of Individuals Regulations set out the SRA’s criteria for RFL status, and the SRA has also issued guidance explaining RFLs’ obligations. This Practice Note outlines the registration framework for foreign lawyers working in SRA‑regulated firms as RFLs, why registration might be required, and how to secure entry. It further highlights the continuing duties for RFLs and the consequences for firms that engage them. Up to 31 December 2024, certain Swiss lawyers were eligible to apply as registered European lawyers ( RELs). From 1 January 2025, new REL applications are no longer possible; however, Swiss lawyers who are not already RELs may seek...

It’s not difficult nowadays to spot law firm practices on the market. A brief trawl of the web quickly turns up advertisements that read something like this: ‘ A Sole Practitioner’s Solicitors’ Practice with offices situated in the [ ZZ] postcode area of a home county. The principal wishes to sell the entire practice as a going concern in anticipation of retirement, although they could remain for a short time after completion to assist with the transition.’ Reading listings of this kind naturally raises a question: how does one put a price on a business like this? This Practice Note sets out how law firm valuation approaches have shifted over time and highlights a realistic way to evaluate your firm. Evolving methods of valuation There is no universal formula for valuing a law firm. Historically, valuations often hinged on a multiple of turnover, applied broadly to the top...

Many solicitors acknowledge that offering legal guidance and advocacy, and participating within the justice system, is a privilege they are fortunate to hold indeed. Alongside this privilege sits a duty to help guarantee universal access to justice for all. This Practice Note explains what pro bono means and outlines why practitioners might decide to carry out some variety of pro bono activity in practice. The expression pro bono is a widely used contraction of the Latin 'pro bono publico', which translates as 'for the common good'. Commonly, it functions as shorthand for pro bono legal efforts, for example where no-fee advice is given voluntarily by a solicitor or practice to people, charities, or community organisations who would be unable to meet the cost. Within law firms, pro bono activity must invariably supplement, and never replace, legal services that are...

This Practice Note sets out ways to locate pro bono opportunities and includes indicative examples of completed pro bono projects. Bear in mind that any legal assistance provided voluntarily by a lawyer or an organisation for a charitable purpose amounts to pro bono; these examples are not exhaustive. Sources of pro bono work Two common avenues for offering pro bono support are: collaborate with a charity undertake pro bono litigation Do not accept every pro bono request that appears—you should first gain a clear view of the opportunity, assess whether it suits your organisation, and confirm the lawyers involved have the time and expertise. Precedent: Pro bono—opportunity assessment form supports weighing pros and cons before deciding whether to proceed with a project or initiative. Working in partnership with a charity Many organisations do not routinely encounter individuals who need free legal services in the...

The gender pay gap reporting obligations are set out in the following pieces of legislation: Equality Act 2010 ( Gender Pay Gap Information) Regulations 2017 ( Private Sector Regulations), SI 2017/172, which apply to the private and voluntary sector and to public sector employers not covered by the public sector regulations Equality Act 2010 ( Specific Duties and Public Authorities) Regulations 2017 ( Public Sector Regulations), SI 2017/353, which apply to most public sector employers This Practice Note offers a summary of the essential points employers should know about both sets of regulations (together called in this Practice Note the Regulations) and considers their provisions in greater detail. The main emphasis is on how the gender pay gap reporting duties operate for private and voluntary sector employers, while also outlining the distinctions that apply to gender pay gap reporting by public...

This Practice Note examines the aims of conduct management in the workplace, together with codes of conduct and disciplinary procedures. It also looks at investigating a problem and deciding whether to start a disciplinary process, the likely causes of misconduct, and practical approaches to dealing with misconduct. All employers strive to get the most from their employees. Guiding and monitoring workplace behaviour is a vital part of that. When standards slip, employers need to manage conduct so staff are given a genuine opportunity to improve. Where improvement falls short, employers must know how to act fairly, which may, where appropriate, extend to dismissal. The aims of conduct management The principal purpose of conduct management is to ensure employees act reasonably within the workplace. It sets clear expectations so individuals have the chance to improve before further steps are considered......

This Practice Note sets out the steps an employer should take to handle a fair dismissal for conduct and to minimise the likelihood of an unfair dismissal finding. Employees who have the requisite service and otherwise satisfy the qualifying criteria benefit from statutory protection from unfair dismissal (see Practice Notes: Entitlement to claim unfair dismissal and Qualifying period for unfair dismissal). To avoid a conclusion of unfair dismissal, employers must have a fair reason to dismiss. Conduct is one of the potentially fair reasons for dismissal (see Practice Note: Reason for dismissal—general— Potentially fair reasons). Nonetheless, to dismiss fairly for conduct, a fair process must also be followed which—save for cases of gross misconduct where dismissal is warranted—gives employees a reasonable chance to improve. In the end, it must be demonstrated that dismissal is a proportionate and fair sanction. Further guidance on...

The structure of the negotiation When stepping into any negotiation, from a multi-million pound deal to sorting the office coffee rota, two core elements matter: the process and stages, and the human dimension—feelings and style. This Practice Note addresses the first; for the second, see Practice Note: The human side of negotiation. A typical negotiation unfolds in five phases: planning—pre-work before talks discussions—scoping what’s on offer proposals and concessions—the core bargaining agreement—settling the terms making it work—implementing the outcome Although attention often clusters around the middle three, extra effort upfront strengthens confidence and leverage. Remember, the close of talks can mark the beginning of a continuing relationship—the long-term effects may shape which compromises you accept. Stage 1: planning and preparation Key things to consider When planning and preparing for a negotiation there are several key things to consider, and it......

There are five essential stages to enhancing efficiency: identify (define) which process requires improvement quantify the issue assess your information refine the process control, ie embed the revised process so it becomes business as usual Management consultants commonly describe this as the DMAIC framework. This Practice Note takes you through Step 3, ie examining the causes of the problem you spotted in Step 1 and measured in Step 2. For more information on continuous improvement and the phases in improving efficiency, see Practice Note: Simplifying continuous improvement—law firms. This Practice Note builds on the case study used in Practice Note: Continuous improvement—law firms—step 2—measure the problem, which concerns a firm’s new client process. Step 3 asks you to interrogate the information you have gathered to: investigate the root cause prioritise the issues explore and evaluate a range of...

This Practice Note outlines regulatory duties concerning the use and care of visual display screen equipment. For details on other regulatory requirements linked to managing health and safety in the workplace, see Practice Note: Health and safety in the workplace—regulatory requirements... What is display screen equipment? Display screen equipment ( DSE) is the commonly used term for devices featuring an alphanumeric or graphic screen, and covers conventional display screens and laptops, touch-screens and similar technologies. There are particular risks associated with prolonged DSE use and, in some situations, organisations must implement specific measures. DSE requirements apply whenever workers are using DSE, including when: working at a fixed workstation working remotely/mobile working hot-desking Where staff use DSE both in the office and away from it, for example when working from home, the requirements will apply in both...