The Gazette 1964/67

memorandum and that the matter should remain on the Council agenda for continuous consideration,

Correspondence without prejudice. With-

drawal of offer

Correspondence conducted without prejudice between the solicitor for the plaintiff and the solicitor for the defendant's insurers contained a number of offers and counter-offers. Eventually the solicitor for the insurance company wrote an open letter stating that the insurance company was not prepared to pay the figure mentioned in the last letter from the plaintiff's solicitors and asked for a consent to filing a late defence. This was followed by later cor respondence in which the plaintiff's solicitor stated that his client was willing to accept the original sum offered for the defendants with costs, subject to the approval of the Judge. At that stage the defendant's solicitor stated that as advised in previous correspon dence die original without prejudice offer had been withdrawn. The matter was submitted for arbitration by the Council. The Council on a report from a committee stated that once the provisional offer was refused the matter was closed and that there was no necessity for any further withdrawal by the defendant's solicitors. WITNESSES' EXPENSES: OBLIGATION OF SOLICITOR A solicitor does not incur personal legal liability for witnesses' (e.g., medical practitioners', archi tects', engineers', accountants' and photographers'), fees or expenses when contracting an agent for a disclosed principal unless he gives an express or implied personal undertaking. Nevertheless the Council consider in the interests of the reputation of the profession and in fairness to the witness a solicitor who engages such witnesses should in all cases endeavour to see that the proper amount of their fees and expenses are paid in full. The Council have received complaints from medical and other experts that this was not done and it has been stated that in a few cases the solicitor concerned did not even notify the medical practitioner of the result of the case. In the interests of good relations between solicitors and other professions the Council advise members that at the outset of the case the client should be informed of his personal liability for expert witnesses' fees and of the possibility that in the event of success the amount of the fees allowed in the party and party bill may be less than the full amount claimed by the witnesses, and that in such event the client may be personally liable for the balance. If the client will not discharge the amount, or authorise the solicitor to do so out of the damages or com pensation the professional witness should be advised of the position immediately. 68

Road Traffic prosecutions, costs The Council considered a report from a committee on a matter in which an insurance company refused to pay the minimum fees recommended by the Society for the defence of road traffic prosecutions and furnishing a report. It was decided to inform the local Bar Association that the solicitor for an insured person whose costs are paid wholly or in part is not obliged to furnish a report to the insurance company and that the proper course would be to stipulate for payment of the proper fee by the insurance company before agreeing to furnish a report. Mining lease and way leave A mining lease was granted for a period of three years at a fixed rent of £20 per annum plus a royalty of i/- per to non the minerals taken. The lessors also granted to the same lessees a wayleave by licence for two years at a fixed yearly rent of £10. On a report from a committee the Council stated that the higher commission scale fee under Schedule I part 2 S.R.G.O. 1884-1960 is chargeable separately for (a) the mining lease for three years and (&) the wayleave granted by way of licence. Where a varying rent is payable the commission scale fee is chargeable on the largest amount of annual rent. If it is possible to ascertain the largest amount of royalty payable in one year it can be added to the fixed rent of £20 for the purpose of charging the commission scale fee on the lease. Sale through the Court. Purchase of part by vendor The vendor of property sold through the Court was the owner of two thirds of the property as tenant in common. The property was sold by public auction for £3,500 the vendor buying in the whole by public auction. The order directed payment of £3,500 into Court. The Council on a report from a committee stated that the commission scale fee was chargeable on the whole £3,500. Costs of leases By direction of the Council a letter was written to the Department of Justice suggesting that in any legislation introduced on the report of the Ground Rents Commission should contain provisions similar to the English Costs of Leases Act 1958 providing that in the absence of stipulation to the contrary a lessee should not be under any obligation to pay the lessor's costs of negotiating and granting the lease.