The Gazette 1972

under heavy pressure of work and the fact that account-

ancy services are not available in some parts of the

country. It was decided that this matter should also be

raised in the President's circular as a preliminary to

discussing the matter with the Institute of Chartered

Accountants.

Legal remuneration — applications for increases

It was reported that the Minister for Justice is willing

to accede to an application for an increase in solicitors'

remuneration under schedule 2 and on the costs in court

proceedings and land registration costs less than the

figure of 40% already recommended by the various

Committees. It was decided that the Society's repre-

sentatives on the rule-making bodies be authorised to

meet and negotiate with the officials of the Department

of Justice and to agree upon an increase subject to

approval by the various statutory bodies.

Costs of increased jurisdiction —Courts Act 1972

The Society's representatives on the statutory bodies

were authorised to deal with this matter and to reach

agreement on the costs of proceedings falling within the

increased jurisdictions of the Circuit and District Courts.

Establishment of foreign consultancy office by

Irish solicitor

The Council considered a proposal by a member who

wished to form an unlimited company for the provision

of an advisory legal service in a specialised field in

co-operation with other experts in that field. The com-

pany would be formed in Ireland but would not carry

on activities in the Republic although some of the

persons advised might reside in the Republic. Its main

function would be to give specialised advice in the

particular sphere of law and practice to foreigners. It

would not engage in any promotional or advertising

activity. The Council took the view that the establish-

ment of such an agency might result in the unfair

attraction of business and accordingly decided to with-

hold approval.

Establishment of Building Society agencies in

solicitors' offices

The Society received an application on behalf of a

particular building society for the approval of a scheme

for the appointment of solicitors in various towns to act

as agents for the reception of deposits and other business

for the building society concerned. It was decided that

this matter should not be pursued until the matter had

been discussed with the Building Societies Association.

Group purchase on behalf of tenants' association

Members were asked by a tenant purchasing associa-

tion to act in the purchase of several hundred houses

from a local authority at a reduced scale of costs. The

Society drew attention to the reduced fee of

applicable to such cases published at opinion C.18 page

207 of the Members' Handbook 1968 edition. The con-

veyance in this matter is carried out by way of vesting

order and there is a common title. They submitted that

fee of 1J% would not be justified and would be open

to serious criticism. They suggest that a fee of 3 gns.

to 5 gns. which would be adequate when multiplied by

the number of transactions involved. The Council on a

toport from a committee took the view that in the

Particular circumstances the fee of

would not be

Justified and having regard to the nature of the work

done as specified in the application a fee of 5 gns. to

ny solicitor acting in connection with this particular

Purchase should be authorised. The Council stated that

the tenants' association should be so informed and

advised that members of the association would be at

liberty to consult solicitors of their own choice who

would have the same freedom in fixing the amount of

the fees — in other words the tenants would not be

restricted in their choice of solicitor.

Income Tax Act 1967 Section 94

The Section provides that for the purpose of obtaining

particulars of profits and gains the Inspector may by

notice require . . .

(d) any person who as agent manages premises or is

in receipt of rent or other payments arising from

premises to furm6h*the Inspector with such particulars

relating to payments arising therefrom as may be speci-

fied in the notice. Form 8/3 which is issued by the

Revenue Commissioners under this section is a general

notice requiring solicitors to furnish information regard-

ing all premises in respect of which they collect rents.

The Council on a report from a committee took the

view that the requirements of form 8/3 are not

authorised by Section 94(d) of the Act. This sub-section

in the opinion of the Council authorises only a specific

notice regarding a particular premises or owner. The

Council however were of the opinion that if a notice

complying with .Section 94(d) is served reparding a par-

ticular premises a solicitor is obliged to comply with it.

He should notify the client of the position.

Costs of compulsory purchase

Members acted for a client whose property was

acquired for the sum of £39,000 by a County Council.

Members submitted a bill for the commission scale fee

but the County Council contended that the costs should

be charged under schedule 2 Solicitors' Remuneration

General Order 1884 as amended. It was pointed out that

Rule 11 of the Solicitors' Remuneration General Order

1884 provided as follows:

In the case of sales under the Land Causes

Consolidation Act or any other private or public

Act under which the vendor's charges are paid by

the purchaser the scales shall not apply.

This rules was rescinded by Rule 3 of the Solicitors'

Remuneration General Order 1951 and this lends sup-

port to the argument that sales and purchasers under

the Land Causes Acts were no longer excluded from

the commission scale fee. The Council on a report from

a committee decided to advise member that the vendor

is entitled to charge the commission scale fee.

Abortive mortgage transaction— costs

Members acted for the purchaser of a dwelling house

to obtain a loan from a building society. The transaction

proceeded to the stage where a cheque was issued to

the building society's solicitor but at that stage the

purchaser declined to proceed. The solicitor for the

building society had retained the borrower's documents

and stated that they would be returned on receipt of

the cheque for their costs amounting to 40 gns. The com-

mittee were referred to

Wilkinson

Grant

(1856. 18.

CB. 319) in which it was held that a proposed mort-

gagee's solicitor has no claim for his charges against

the proposed mortagor where the negotiation for the

mortgagee goes off through default of the latter. He

must look to the purchaser who retains him leaving that

person to his remedy if any against the party who

occasioned the fruitless expense. The Committee were

also referred to Fisher and Lightwood Law of Mort-

gages, 8th Edition, page 518. The Council on a report

from a committee expressed the view that the mortagees

solicitor is not entitled to make any charge against the

mortgagor and is not entitled to retain the documents.