The Gazette 1972

Proceedings of the Council

THE SOCIETY

27th APRIL 1972

The President in the chair, also present: Messrs W.

B. Allen, Walter Beatty, Bruce St. J. Blake, John Carri-

gan, Anthony E. Collins, Laurence Cullen, Gerard M.

Doyle, Joseph L. Dundon, James R. C. Green, Gerald

Hickey, Christopher Hogan, Michael P. Houlihan,

Thomas Jackson, Donal M. King, Francis J. Lanigan,

Eunan McCarron, Patrick McEntee, Brendan A.

McGrath, John Maher, Gerald J. Moloney, Patrick G.

Moore, Senator John J. Nash, George A. Nolan, Patrick

Noonan, Peter E. O'Connell, Thomas V. O'Connor,

John O'Meara, William A. Osborne, David R. Pigot,

Peter D. M. Prentice, Mrs Moya Quinlan, Robert McD.

Taylor and Ralph J. Walker.

The following was among the business transacted.

Building Society Agencies

A committee considered an application from a build-

ng society for permission to establish agencies in solici-

tors' offices in the main centres and towns throughout

the country. The question involved the desirability or

otherwise of permitting building societies and other

agencies to display prominent signs in close conjunction

with solicitors' professional plates and the establishment

°f agencies for the reception of deposits as part of a

solicitor's office organisation. The matter is under organ-

isation by the committee which will in the near future

tnake recommendations to the Council.

Circuit and District Court—scales of costs for increased

jurisdiction

All the scales of costs for the increased jurisdiction

together with amended scales for the former juristiction

incorporating an increase authorised by the Rules Com-

mittees have been submitted to the Department of

Justice but the Minister has not yet given his concur-

rence. A deputation from the Council waited on the

Minister who agreed to receive representatives of the

Various rules committees with a view to expediting

completion. In the meantime the Council have decided

to advise members that where no scale of costs is in

°peration members should advise their clients either

(a) to defer the institution of proceedings until the

new rules and scales of costs have been made;

(b) that they have the option of instituting proceed-

gs now but that the maximum costs which can be

^covered will be the costs at the top of the scale under

the former jurisdiction and that the client will be liable

for the difference between the solicitor and client costs

nd the costs which are actually recovered in the event

a successful outcome of the proceedings.

Building contract/lease mortgage transaction

The Council considered a report from a special com-

mittee which recommended that representations should

made to the Minister for Justice advocating legis-

lation on the same lines as the legislation regarding

°sts of leases. This should provide that the existing

t>mmon law should be altered so that the mortgagor

and the mortgagee on any transaction should each hear

their own costs with a prohibition on contracting out

similar to Section 32 of the Landlord and Tenant

(Ground Rents) Act, 1965. Attention was drawn to the

recommendation of the Council published at page 229

of the Society's

Gazette,

March/April 1971, dealing

with a solicitor's costs of the first lease or purchase of a

new house. This recommendation is reprinted below in

the present issue of the

Gazette.

Completion of sale and mortgage

The same committee recommended that on the com-

pletion of a sale with the aid of a loan granted by a

Building Society or other lending institution the mort-

gagor should not be required to attend at the office of

the mortgagee's solicitor for the purpose of executing

the mortgage. This is a requirement at the present time

of some building societies who are in a position to make

their own terms as regards the granting of loans. The

matter is under consideration.

Prices (Amendment) Bill, 1971

A deputation which was received by the Minister for

Justice reported to the Council. It was decided to make

further representations regarding the establishment of a

special committee to deal with solicitors' j^muperation

on the lines of the Central Costs Committee klready

discussed with the Minister. It was decided that a

deputation should also request an interview with the

Minister for Industry and Commerce on this matter.

Restrictive Trade Practices Bill, 1971

The Council considered a memorandum on this Bill

and decided to send a deputation to the Minister for

Industry and Commerce on Section 15 which proposes

to authorise officers of the Department to enter premises

and inspect documents and records. These provisions

are considered objectionable from the point of view of

the solicitor and client relationship and a solicitor's

obligation of secrecy.

SOLICITOR'S COSTS OF FIRST LEASE

OR PURCHASE OF NEW HOUSE

Statement by the Council

The total legal costs incurred by the purchaser/

mortgagor of a new house has been the subject of

considerable adverse comment in the press and else-

where. In the view of the Council the adverse comment

is occasioned by three factors :

1. The imposition on the mortgagor of the mort-

gagee's solicitor's costs.

2. The imposition on the purchaser of the vendor's

lessor's or builder's costs by means of the imposition on

him of charges for copy documents of title, declarations

of identity and other documents which are necessary to

enable him to obtain a mortgage.

131