The Gazette 1972

Proceedings of the Council THE SOCIETY 27th APRIL 1972

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 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 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. the present issue of the Gazette. Completion of sale and mortgage matter is under consideration. Prices (Amendment) Bill, 1971 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

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- ln 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 a 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 h e made to the Minister for Justice advocating legis- lation on the same lines as the legislation regarding c °sts of leases. This should provide that the existing c t>mmon law should be altered so that the mortgagor