The Gazette 1974

Rent Restriction Acts or otherwise: (3) he should ^certain what restrictions on alienation, if any, exist in the leases or other roots of title; and ascertain if the vendor purported to sell the property in breach of trust: (4) h e must proceed with due expedition to- deeds or transfers and the loss resulting. The solicitor should not permit his client to enter into a second or third contract for sale until he is satisfied that all pre- existing contracts are terminated and no longer capable of being the subject of an action for a specific per- formance and damages. LOSS OF DEEDS A solicitor is liable in an action of detinue to his c hent if the solicitor loses or mislays the client's deeds, 0 r fails to deliver them up in a reasonable condition a ° d so arranged as to be fit for use. An action for ne gligence may also lie. SOLICITOR'S INDEMNITY INSURANCE I he Incorporated Law Society have established a c °mbined Liabilities Insurance for members of the In- corporated Law Society of Ireland effected through the Hish Underwriting Agencies Ltd., 42, Dawson Street, . The form of policy and the nature and extent of the lri demnity given by the underwriters is considered to be v £ r y satisfactory having regard to the difficulties facing l his kind of risk and it is urgently suggested that every solicitor should effect professional indemnity insurance through this agency for the benefit of himself and all oe members of the profession. No solicitor should open a practice or continue in practice until such time as he h a s effected the necessary cover for his own peace of JOind, for the protection of himself and his family, for he protection of his client, and for the protection of he good name and standing of the profession generally. , As a matter of interest the form of policy issued by Pe Irish Underwriters Agencies Ltd. covers in addition 0 professional indemnity the following additional in- demnities : n ^ u hlic Liability; Single Accident Indemnity, limit 7 1 100,000; Family Legal Liability; Single Accident In- demnity, limit £100,000. It also appears that under the heading of professional cla y t h e i n s u r e d m u s t P a y t h e first £ 2 5 0 o f e v e r y Under the section providing for professional liability c °ver is effected during the period of insurance a gainst: Breach of professional duty as solicitors by reason a ny neglect or omission or error whenever or where- e y er . o c c u r i ng or alleged to have occured on the part ?. (i) the insured or their predecessors in business or ^ v any person (including any agent) at any time e Piployed by the insured or such predecessors in the ^onduct of any business conducted by or on behalf of ® insured or the said predecessors, f u r t h er cover js given for breach of warranty of uthority, breach of duty as described in Hedley Byrne ~ Co. r,. Heller & Partners (1963) 2 A.E.R., 594, ^ n d for breach of an undertaking committed in good Ph, for libel and slander by any person and also in lcs Pect of any documents entrusted, lodged or deposited Ph the insured as described in the particular provision. It is particularly pointed out that the insured should T^d1 must give immediate notice in writing to the Irish ^nderwriting Agencies Limited of any circumstances w hich they shall become aware during the currency

of cover which is likely to give rise to a claim against them. Suc:i notice having been given, any resultant claim which may be made after the expiration of the period of insurance, shall, for the purpose of the policy be treated as a claim made during the currency thereof. Particular attention is also drawn to the general con- ditions which states that the insured shall not admit liability for or settle any claim or incur any costs or expenses in connection therewith without the written consent of the Insurers, who shall be entitled, if they so desire, to take over and conduct in the name of the insured the defence or settlement of any claim, or other- wise as therein provided. It is a matter of vital importance for the insured to co-operate with the Underwriters in giving notice of any claim or possible claim which they may discover during the currency of the policy and it is also vitally important that no letters be written to the client ad- mitting liability or in any way usurping the function of the Underwriters establishing a claim against the in- sured in respect of which indemnity will be sought against the Underwriters. This condition is of vital importance towards the effective maintenance of the scheme of arrangement with the Law Society as letters written by insured solicitors may have the effect of acknowledgment taking particular claims out of the Statute of Limitations and depriving the Underwriters and the insured of a good defence to a claim. Suffice it to say that one of the first considerations of a solicitor setting up practice on his own or in partner- ship with other members of the profession is the exis- tence of an effective professional indemnity against negligence of a sum sufficient to cover the maximum amount of any claim that can or may be made against the firm. STATUTE OF LIMITATIONS Every solicitor must aquaint himself fully with the provisions of the Statute of Limitations, 1957, which is an Act to consolidate with the amendments certain enactments relating to the limitation of actions and arbitrations. The Act came into operation on the 1st January 1959. Section 11 of this Act provides that no action shall be brought after the expiration of six years from the date on which the cause of action accrued in respect of (a) actions founded on simple contract, (b) actions founded on quasi contract, (c) actions to enforce a recognizance, (d) actions to enforce an award where the arbitration agreement is not under seal or where the arbitration is under an Act other than the Abitration Act 1954. In other words there is a six year limit within which proceedings must be instituted and default in institut- ing proceedings within that period will render the soli- citor liable for damages, for breach of duty if he is instructed by his client to institute proceedings and he fails to do so within the prescribed time. It is further pointed out that an action for damages against a solicitor being founded on the contract is statute barred under this specific provision after the lapse of a period of six years, and it is therefore of vital importance that no solicitor who has a pro- fessional indemnity insurance should make any ad- mission or give any acknowledgments which would have the effect of taking the cause of action out of the provisions of this section. Claims for personal injuries. Section II Sub-Section 27