The Gazette 1972

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

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 a 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 a ny solicitor acting in connection with this particular Purchase should be authorised. The Council stated that the tenants' association should be so informed and

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 v 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.