The Gazette 1949-1952

The conference was most satisfactory, and the Council much appreciate the help given to them. The Bill is about to be considered by the Govern­ ment, and we understand it may be introduced this session, or, if not, next session. The profession will learn with satisfaction and relief that their efforts (because the whole profession have a hand in the proposed Bill) now appear to be coming to fruition. On the occasion o f our conference with the Minister for Finance, mentioned in my speech at the last half-yearly meeting, the Minister held out hopes that when the Solicitors Bill became an Act he would favourably consider the Society’s application for the abolition of the annual licence duty, and also the appropriation o f the stamp duties on apprentices’ indentures, or the greater portion thereof, to a fund to be administered by the Society for the legal education o f our apprentices. The Society’s expenses under the Bill, in running the profession and in educating apprentices, will considerably increase, and the Council look forward with hope to some relief in these matters and to some extra resources in meeting the heavy expenses. I think it is appropriate that I should here say a word about the principal charges affecting the public contemplated in the Solicitors Bill, which has now advanced so far on its long and weary journey towards the Statute Book. The reason I do so is that the Bill was originally conceived in the year 1935, and there is a strong probability that the junior members o f the profession who were admitted since the Bill received initial publicity are unaware of the changes which are contemplated. There are two im­ provements in the Bill which are of vital concern and interest to the public, as well as to the pro­ fession. In the first place, it is proposed to enact that each practising solicitor shall, annually, when applying for his practising Certificate, file with the Secretary a declaration that he is complying and has complied with the provisions o f the Bill relating to solicitors’ accounts. These provisions, which will be the subject of a regulation made under a section o f the Bill, will prescribe that a solicitor shall lodge in a separate bank account marked “ clients’ account,” all moneys received by him belonging to clients or received by him in the capacity o f trustee, and that such moneys should be kept separate and distinct from the moneys belonging to the general office account. The bank holding a solicitor’s accounts will not be entitled to set off any debit on other accounts against the moneys standing to the credit o f the clients’ account. There will also be a regulation obliging each practising solicitor to maintain books o f accounts, which will disclose his financial position in regard to each client, and

that such books shall be kept written up to date. The second important provision in the Bill is the Compensation Fund. It is proposed to set up a fund, financed by annual contributions from the profession, which will be used for the purpose of compensating any client who suffers financial loss through his solicitor’s defalcation. The fund will be administered by and in the discretion of the Council. Experience shows that the moneys which are lost in this way are only a fraction of a penny in the £ 1 of the total moneys handled by the profes­ sion each year, and the argument has been advanced that legislation to deal with a problem of such micro­ scopic dimensions is unnecessary. However, when the Bill becomes law, a client will know that in the unlikely event of his solicitor’s misappropriating any moneys belonging to him, he can have recourse to a fund, out o f which he may obtain compensation without any cost to himself. For these reasons, the Council believe that the Compensation Fund will be an advantage to the public and the solicitors’ profession alike. My predecessors in office have drawn the atten­ tion of the profession, in their addresses at half- yearly General Meetings, to the advantages which accrue from the existence o f well-supported Bar Associations throughout the country. There are many matters which accrue from day to day, dif­ ferences o f opinion between local solicitors, for example, which can be settled more conveniently and expeditiously by the local Bar Association than by reference to the Council. Unfair practices, such as canvassing for business and undercutting, which are as much against the interests o f the client as of the profession, can best be eliminated by the action o f individual members of the profession operating through their local Bar Associations. The Council, from time to time, wish to ascertain the views of the general body of the profession on matters which come up for discussion at meetings o f the Council. It is too expensive and inconvenient to be issuing circulars to obtain the opinion o f indivi­ dual solicitors on such matters, but it is an extremely simple matter to ask the Bar Associations for their views. In this way the Council can keep abreast o f local opinion and render the most useful service to the members of the profession. Some o f the Bar Associations are extremely active, but others are inclined to be dormant. In stressing their importance, I am pleased to state that two new Bar Associations have recently been formed, namely, the County Clare Law Association and the Donegal Solicitors’ Association. There appear to be no Bar Associations in the following counties : Roscommon, Longford, West­ meath, part o f Offaly, Laoighis and Kilkenny. I 35