i Legal framework
The core obligation of a professional is to provide services to its client with reasonable care and skill. Such a term is implied by statute2 into the contract of retainer and usually arises concurrently in tort. A professional is rarely taken to have warranted to the client that it will achieve any particular outcome.
The scope of the professional's duty of care is determined by a combination of the terms of the retainer, the client's instructions and such matters as the relevant professional regulatory and legal framework may require. The performance of the duty of care is usually judged by reference to 'the standard of the ordinary skilled man exercising and professing to have that special skill'.3 In some cases, the court will depart from that standard if it imposes unacceptable risk or is illogical.
Increasingly, the issue of liability is determined by reference to the quality of risk advice given by the professional (e.g., in respect of the likelihood of future adverse events occurring). In some cases, the courts have adopted very nuanced and complex tests for assessing whether the client was properly informed of material risks.4 Another strand of case law allows for the professional to be found liable despite being correct about a matter of interpretation if the court considers that he or she should have warned the client that others could take a different view.5
The role of professional regulation is also significant: codes of conduct may be seen by the court either as the distillation of good practice or (sometimes) independently actionable where breached. Many professional regulatory arrangements also mandate a framework for client redress and compensation that exists alongside the courts. These frameworks tend to adopt lower criteria for proof and are usually cost-free to the client.6 While these frameworks tend to be used for single, low-value claims, the applicable regulator may also have the power to require the professional to carry out a past business review, identify all clients who have suffered harm and provide redress to them. The exercise of such powers may greatly increase the professional's liability exposure.
In addition to a failure to discharge the duty of care, a professional may also be found liable on other grounds (e.g., for breach of warranty of authority, for breach of trust when safeguarding client funds, and for breach of fiduciary obligations of loyalty and of acting in good faith in the best interests of the client). These routes to liability may involve the court in adopting significantly different approaches to causation and quantification of loss (see below).
ii Limitation and prescription
The limitation period that is most commonly engaged in professional negligence disputes is the six-year period for causes of action in contract and tort. This arises under Sections 2 and 5 of the Limitation Act 1980. The six-year period starts on the date that the cause of action accrues. In contract, it is usually quite straightforward to establish the date of the accrual; it will be when the defendant's breach of contract occurs irrespective of when damage is sustained. In tort, the cause of action accrues upon the claimant sustaining actionable damage. This is often later than the date on which the breach of duty occurs.
There are a number of possible extensions and alternatives to the six-year limitation period. Sometimes a claimant will not appreciate that it has suffered damage until after the expiry of the six-year period. Under Section 14A of the Limitation Act 1980, a claimant may bring a claim within three years of the date on which it first acquires the requisite knowledge for bringing the claim. There is a significant statutory and case law regime governing how this works, and there is a 15-year longstop provision.
The six-year period can be extended by agreement either at the outset of the professional's engagement (for example, if the engagement is made by deed) or during the course of any subsequent dispute. It is also possible to extend the limitation period in certain other cases. If the case is based on the fraud of the defendant or where a material fact has been deliberately concealed, the limitation period will not begin to run until the claimant has or could reasonably have discovered the fraud or concealment (see Section 32 of the Limitation Act 1980). Limitation for claims in equity is subject to more complex provision and needs special care.
iii Dispute fora and resolution
Civil claims against professionals are generally brought in either the business and property courts of the Chancery Division of the County Court and the High Court or in the Technology and Construction Court (TCC). The procedure for the prosecution of claims through the courts is set out in the Civil Procedure Rules (CPR), with Part 60 of the CPR and the related practice direction setting out procedure specific to the TCC. The TCC primarily deals with claims against engineers, architects, surveyors and accountants where the amount in dispute is in excess of £250,000. The TCC also deals with claims against solicitors that involve technical matters such as planning, property and construction. Additional guidance on the conduct of claims can be found in the Chancery Court Guide and the TCC Guide.
Prior to commencing proceedings, parties are expected to have adhered to a pre-action protocol. There is a Pre-Action Protocol for Professional Negligence Claims and a separate Pre-Action Protocol for the Construction and Engineering Disputes for claims against engineers, architects and quantity surveyors. The pre-action protocols provide a framework for the parties to resolve disputes without involving the court. The court may impose costs sanctions on parties who fail to comply with the pre-action protocols.
Even after proceedings have been issued, the courts encourage parties to engage in alternative dispute resolution (ADR). This can take the form of direct negotiations or mediation. Again, there is a risk of costs penalties being imposed by the court against any party or parties if they unreasonably refuse to engage in ADR, even if that party succeeds at trial.
Another method used for resolving claims against professionals is arbitration. It is most frequently used in claims involving construction professionals in circumstances where the parties have entered into a contract and it provides for any disputes arising from the contractual works to be referred to arbitration. Arbitration is a non-judicial means of resolving disputes where the parties appoint an arbitrator or panel of arbitrators. Arbitration is sometimes a quicker and cheaper means of dispute resolution than litigation. It has the benefit of being a confidential process but enforceable by the court. However, the arbitrator's decision is generally binding on the parties and there are usually limited grounds of appeal.
iv Remedies and loss
The aim of compensatory damages for professional negligence is to award 'the sum of money which will put the party who has been injured, or who has suffered, in the same position as he would have been in if he had not sustained the wrong'.7 This test requires the careful identification of the nature of the advice that ought to have been provided and, thereafter, the claimant will have to prove on a balance of probabilities that he or she would have followed such advice so as to achieve some better outcome.8 Where the better outcome also involves the unrestricted volition of a third party the court may award damages for loss of the chance of achieving that outcome.9 Some cases have awarded claimants recovery for lost chances significantly smaller than 25 per cent.10 Defences to professional negligence claims typically focus closely on these kinds of causation argument.
In addition, the courts have a shown a marked reluctance to compensate for loss arising from risks that it was no part of the professional's duty to protect against.11 A client is, therefore, usually taken to have accepted the risks of a transaction in respect of which he or she has sought no advice. This principle may require the court to make fine distinctions between the nature of advice and information provided by the professional.12 The prominence of this principle when assessing a professional's liability tends to displace legal devices that are used elsewhere for limiting damages (e.g., arguments that loss is too remote or not sufficiently foreseeable).
Compensation for the other forms of professional liability may be assessed on different bases: for example, the solicitor who incorrectly warrants authority to commence litigation may be liable for damages on the assumption the warranty was true; the professional trustee may be required to restore in full lost trust funds regardless of issues of fault; and the fiduciary that receives an undisclosed profit may be required to disgorge it to the principal even if the principal would have agreed to its retention if it had been disclosed.
Finally, while contractual devices for limitation and exclusion of liability are often used in retainers as a means of reducing liability exposure, they do not feature prominently in reported cases. There are probably two reasons for this: the first is that such devices are subject to statutory control13 and, therefore, are not always effective; the second is that the professional's regulatory arrangements often prohibit or limit their use.14
II SPECIFIC PROFESSIONS
The Law Society is an independent professional body that represents the 145,000 solicitors in England and Wales. It provides support and advice to the legal profession and promotes the role of solicitors.
Solicitors are regulated by the Solicitors Regulation Authority (SRA). The SRA's role is to prescribe standards for the solicitors profession to protect the public and to ensure that clients receive good service. The SRA sets out its required standards for the profession in the SRA Handbook. These standards include mandatory principles for all solicitors, such as upholding the rule of law and administration of justice, and acting in the best interests of clients. The SRA Handbook sets out a Code of Conduct for all solicitors and Disciplinary Procedure Rules.
A firm of solicitors must appoint a compliance officer for legal practice (COLP) and for finance and administration (COFA), who are responsible for the firm's systems and for managing the risks to the firm's delivery of legal services. The COLP and COFA must record any misconduct or breaches of compliance with the SRA Handbook, and self-report breaches promptly to the SRA. The SRA has statutory grounds to intervene in the running of a solicitors firm if it suspects dishonesty or material breaches of the SRA Handbook.
The Solicitors Disciplinary Tribunal (SDT) is an independent tribunal in which solicitors can be prosecuted for their conduct. The SDT is independent from the SRA and has its own powers and procedures. It can make findings of misconduct and impose sanctions, including fines, suspending a solicitor from practice or striking a solicitor off.
All solicitors firms are required to maintain professional indemnity insurance in the event of claims against the firm. The insurance policy must comply with the SRA Indemnity Insurance Rules. The insurance policy must be with an authorised insurer that has entered into a participating insurer's agreement with the Law Society. The policy terms must include a limit of cover of £3 million for any one claim.
ii Medical practitioners
Negligence claims against medical practitioners can arise in any discipline and range from lower-value routine claims to multimillion-pound complex cases (such as brain injury caused by perinatal error or late diagnosis of cancer). They will almost always be claims for personal injury, including where the patient denies having given informed consent to treatment.
While such claims follow the general applications of the law of tort, usually negligence (duty, breach, causation), there are key differences, particularly in relation to limitation periods and remedies. For medical claims, the limitation period is three years and runs from the negligent event or (if later) the claimant's date of knowledge.
In negligence claims against clinicians, the claimant's most important remedy is damages, the aim being to put the claimant in the same position he or she would have been in had the tort not occurred. Damages are split into two parts: (1) general damages are awarded for pain, suffering and loss of amenity and are determined on a 'tariff' style basis (additional psychiatric injury will increase the award); (2) special damages are entirely case-specific to compensate a claimant for the financial loss suffered as a result of the clinician's negligence. Provision is made for anticipated 'future' loss with complex calculations using discounts and multipliers to ensure an appropriate outcome. Different quantification principles apply when the patient has died.
Each medical professional body has its own regulator, including: the General Medical Council (doctors), the Nursing and Midwifery Council (nurses), and the Health and Care Professions Council (for example, psychologists and radiologists). Each regulatory body will set standards and codes for their members; for example, the GMC's Good Medical Practice guidance for doctors. All regulators stipulate that medical professionals must have 'adequate' or 'appropriate' indemnity arrangements in place before they can practise.
iii Banking and finance professionals
The key legislation governing the regulation of banking and financial professionals is the Financial Services and Markets Act 2000 (FSMA). Under Section 19 of FSMA, a person cannot carry out a 'regulated activity' unless authorised or exempt. Regulated activities include accepting deposits and advising on, arranging or dealing in investments.
The three main regulators are the Bank of England, the Prudential Regulation Authority (PRA) and the Financial Conduct Authority (FCA). The Bank of England is primarily responsible for failing banks. The PRA promotes the safety and soundness of financial institutions, and the FCA is responsible for protecting consumers and the conduct of business. Both the PRA and the FCA promote competition within the industry.
Aside from FSMA, the main rules applicable to banks and financial professionals are contained within the PRA and FCA handbooks. Both the PRA and the FCA issue further guidance and thematic reviews, which establish expectations of banks and financial professionals.
The PRA and FCA can both take disciplinary action against a bank or financial institution that has contravened their rules. Claims can be brought through the courts, or through the Financial Ombudsman Service (FOS) or the Pension Ombudsman Service (POS). In contrast to claims brought through the courts and the POS, claims through the FOS will not be decided on the basis of legal principles but on a 'fair and reasonable' basis. When deciding on a 'fair and reasonable' outcome, the FOS is expected to take account of the law, relevant rules and good practice in the industry.
The Financial Services Compensation Scheme (FSCS) acts as deposit insurance for eligible customers and is funded by financial services firms. Where an authorised financial institution is insolvent, individuals can claim up to £85,000 for deposits and, for investment or mortgage advice, £85,000 if the insolvency occurred after 1 April 2019 or otherwise £50,000. In addition, most FCA-regulated firms are required to have professional indemnity insurance as an extra financial resource and to prevent excessive claims on the FSCS.
iv Computer and information technology professionals
Claims against computer and information technology professionals by their clients tend to be governed by standard form service contracts. There are a range of voluntary professional standards to which information technology professionals may subscribe and which can be written into service contracts. Among the range of issues most likely to arise in disputes are: (1) the incorporation of terms and conditions into the service contract; (2) interpretation of client requirements for the scope of services; (3) representations relating to scope, price and timescale; (4) effect of limitations of liability; and (5) contract termination.
Information technology services will often include controlling or processing data. To the extent that this includes personal data, the impact of the General Data Protection Regulation (GDPR) is likely to need to be considered.
Article 24(1) of the GDPR requires that data controllers 'shall implement appropriate technical and organisational measures to ensure and to be able to demonstrate that processing is performed in accordance with [the GDPR]'. Article 32(1) requires that data controllers and processors shall 'implement appropriate technical and organisational measures to ensure a level of security appropriate to the risk'. Breach of these requirements could lead to enforcement actions by the Information Commissioner's Office. It is also increasingly common that these requirements are written into contracts involving the control or processing of data.
The GDPR contains rights of recourse for individual data subjects (Articles 79 and 82) if their data is not processed according to GDPR requirements. Direct claims by data subjects against data controllers appear to be increasing (for example, Various Claimants v. Morrisons  EWCA Civ 2239). This is likely to be a growing area of potential exposure to professional service providers controlling personal data.
v Real property surveyors
After a very quiet year in 2017, there was a marginal increase in claims relating to alleged negligent overvaluations in 2018, and this trend has continued into the early months of 2019. With increased uncertainty over what Brexit will mean for the housing market and the economy generally, there is an increased risk of housing repossessions in the residential market and loss of income because of corporate insolvencies, forcing down values in the commercial sector. Past history shows that any fall in property values will almost inevitably lead to an increase in the number of valuations claims, so market conditions are ripe for 2019 to be a more challenging year for valuers.
In terms of case law, in October 2018, Birmingham County Court heard a claim brought by Michele Davis against Connells concerning whether Connells, when carrying out an inspection for the purpose of preparing a residential mortgage valuation for the lender, should have inspected the adjoining property and identified the existence of Japanese knotweed there. Connells accepted that they owed the claimant a duty of care, but the parties disagreed as to the scope of that duty and whether Connells had breached it. The surveyor accepted that he had not inspected the adjoining property but said that this was outside the scope of his duties when preparing a residential mortgage valuation report. Having considered expert evidence, the requirements of the Red Book as regards the preparation of mortgage valuation reports and the RICS information paper on Japanese knotweed, the court found that it was not part of Connells' duty when preparing the residential mortgage valuation to inspect the adjoining land. Absent a surveyor observing something that put them on notice of the need for further investigation, because it might affect the value of the subject property, the Red Book did not impose any obligation on a surveyor preparing a residential mortgage valuation to inspect adjoining properties. The court recognised the limitations of the mortgage valuation report and that the primary purpose of such a report was to advise the lender on the value of the property and whether it was sufficient to provide security for the proposed loan. The court also commented in passing that the extent of the inspection that the surveyor was obliged to undertake would be different if Connells had been retained to provide a more comprehensive report such as a homebuyer report or a full structural survey.
vi Construction professionals
The Grenfell Tower fire has had, and will continue to have, a significant impact on construction professionals. A large number of claims are expected against contractors and consultants involved in the design and construction of high-rise buildings that have cladding, where issues of compliance with building regulations will be hotly debated.
That debate will be affected by the conclusions of the government's ongoing review of the building regulations relevant to fire safety, led by Dame Judith Hackitt, which includes recommendations on the appropriate future regulatory system, seeking to ensure that a disaster on the scale seen in June 2017 does not occur again. Disputes are now arising over whether the cladding on other buildings will need to be replaced, with what, and at whose expense. Further, the focus has now developed beyond cladding to other issues related to fire safely, including fire doors and fire stopping between dwellings. There is, therefore, likely to be considerable focus on professionals whose job it was to specify materials for construction projects or to inspect the works to verify whether they complied with Building Regulations.
vii Accountants and auditors
The accountancy and audit professions are regulated by their professional accountancy bodies, with individuals and firms being enrolled as members of one or other of them, subject to the oversight of the Financial Reporting Council (FRC).
The FRC has statutory oversight of the audit profession pursuant to the Companies Act 2006. The FRC discharges these responsibilities by recognising certain professional accountancy bodies as 'recognised supervisory bodies' (RSBs) and 'recognised qualifying bodies' (RQBs). Currently, the RSBs are the Institute of Chartered Accountants for England and Wales (ICAEW) and Scotland (ICAS), Chartered Accountants Ireland (CAI) and the Association of Chartered Certified Accountants (ACCA), and the RQBs are the ICAEW, ICAS, CAI, ACCA and the Association of International Accountants.
The FRC delegates certain regulatory tasks, including registration and authorisation, monitoring, professional conduct and discipline, to the RSBs in respect of their members who are statutory auditors and audit firms. The issue of recognised professional qualifications for statutory auditors is delegated by the FRC to the RQBs. The FRC ensures that each RSB and RQB properly carries out its delegated functions and undertakes certain non-delegated functions itself, including investigation and disciplinary action for public interest cases. The FRC has power to impose enforcement orders or penalties against any RSB or RQB that does not comply with its responsibilities.
Accountants and accountancy firms who are not exercising an audit function are regulated by the professional accountancy bodies to which they belong. By agreement with six professional accountancy bodies, the ICAEW, ICAS, CAI, ACCA, the Chartered Institute of Public Finance and Accountancy and the Chartered Institute of Management Accountants, the FRC has a non-statutory role for the oversight of the regulation of their members beyond those that are statutory auditors. This oversight also includes registration and authorisation, monitoring, professional conduct and discipline.
Each professional accountancy body has its own insurance scheme requirements, although all require their members have some form of professional indemnity insurance, including compulsory limits of indemnity and minimum terms.
At the time of writing, there are plans for the FRC to be replaced by a new regulator, the Audit, Reporting and Governance Authority (ARGA) following a review of the FRC's powers in 2018. The ARGA is intended to take over responsibility for licensing and regulating the large audit firms involved in public interest entity audits from the UK accountancy bodies, in particular the ICAEW.
viii Insurance professionals
Insurance professionals have been heavily scrutinised in recent years. The FCA's thematic review, a tough line taken by judges in negligence claims against brokers and the implementation of the Insurance Act have all contributed to ensuring that insurance professionals have high standards to uphold.
Insurance professionals are governed by the FCA. The FCA's thematic review of insurance professionals was a thorough exercise that investigated issues such as broker conflicts and the transparency of broker commission. The FCA's findings included real concerns in relation to conflicts and transparency. Insurance professionals are expected to reflect on how they manage any conflicts of interest within their business models and make necessary changes. It has not come as a great surprise that, since the review, there has been a lot of merger and takeover activity within the broker community.
Case law has further highlighted that brokers must understand (1) their client's business, (2) their client's insurance requirements and (3) the insurance that they are placing for their clients. Finally, a broker must take time to ensure that its client understands the insurance that it has procured, including highlighting any particularly onerous aspects of the policy. The cases of Jones v. Environcom, Ground Gilbey v. JLT and Eurokey v. Giles and, most recently, Dalamd Limited v. Butterworth Spengler Commercial Limited, provide good guidance for brokers in this area.
Insurance professionals must understand the Insurance Act, which came into force in August 2016. As part of the duties highlighted in the paragraphs above, a broker has a duty to understand and highlight the impact that the Insurance Act has on the policies that it is placing for its client.
Finally, insurance professionals will be uncomfortably aware that the FOS limit has increased from £150,000 to £350,000 (for complaints after 1 April 2019). Coupled with the widening of the definition of 'eligible complainants' to the FOS, this could lead to an increase in attempts to make claims against insurance professionals through the FOS.
Brokers must truly understand the insurance that they are placing and the nature of the business for which they are seeking to procure insurance. The developments in case law, the Insurance Act and the FCA's thematic review have made this clear.
III YEAR IN REVIEW
The Supreme Court has provided further guidance on issues such as the assumption of responsibility and loss of chance in professional liability cases.
BPE Solicitors and another v. Hughes-Holland15 has perhaps slowed, but not brought an end to, claims dealing with the distinction between 'advice' and 'information'. The test is necessarily fact-dependent, and so claimants are still trying their luck with claims for the total loss suffered on a failed transaction. This has led to mixed results for the defendant professionals (see, for example, the finding that conveyancers may find themselves in the advice category as per Main v. Giambrone & Law16). One decision that has been welcomed by finance professionals, however, is Manchester Building Society v. Grant Thornton UK LLP17 where the Court of Appeal confirmed that it is only an 'advice' case if the professional is found to have guided the claimant's decision-making process. The Court went on to helpfully explain that if it is not clearly an 'advice' case, then it is an 'information' case. The auditors in that case had negligently advised the building society that it could apply hedge accounting in recording its interest rate swaps and mortgages. Causation was established when the building society demonstrated that it had relied on that advice when it purchased further swaps and advanced more loans. It was nonetheless held that the auditors did not guide the building society's entire decision-making process and so had negligently provided information, not advice. The building society was unable to establish that the losses claimed would not have been suffered had the information been correct; the losses (brought about when the building society was forced to sell the swaps at a loss) related instead to market forces for which the auditors had not assumed responsibility.
Dishonest claimants have also been a feature in recent key decisions. In 2019 the Supreme Court refused to allow a claim against lawyers for loss of a dishonest claim, and in doing so issued its first decision dealing with loss of chance principles in 14 years (see Perry v. Raleys Solicitors18). The judgment is a reminder that claimants must first establish causation on the balance of probabilities before turning to loss of chance principles. The court will conduct a full forensic examination of the facts and evidence in the underlying litigation in order to determine whether the claimant has discharged this burden.
Conversely, in Stoffel & Co v. Maria Grondona,19 the Court of Appeal allowed a solicitor's client to recover damages notwithstanding that the client had used the solicitors to enable her to commit mortgage fraud. This was the first time the Court of Appeal had applied the Supreme Court's 2016 illegality test (as per Patel v. Mirza) to a claim against professionals. The Court found that the solicitors had no knowledge of the fraud and their retainer was not central to the fraud. In a decision that has likely caused some consternation amongst professionals, the Court found that public interest was, therefore, better served by ensuring clients are not barred from seeking civil remedies from solicitors for negligence and breach of contract.
IV OUTLOOK AND FUTURE DEVELOPMENTS
The Data Protection Act 2018 came into effect on 25 May 2018. It sits alongside the European GDPR, and tailors the GDPR's application in the UK. The new regime increases the protection of the rights of individuals who trust organisations with their personal information. This in turn gives rise to increased obligations on professionals, particularly finance professionals and lawyers, where the control and processing of a significant volume of sensitive client data is fundamental to their practices. The GDPR has drastically increased the level of fines that can be levied in the event of a breach, and professionals will have spent 2017 and early 2018 rushing to both comply with the new regime and to advise their clients on the same. The extraterritorial effect of the GDPR means it will, at a minimum, continue to apply to UK organisations continuing to do business with the EU after (or, indeed, if) the UK leaves the bloc. The Information Commissioner's Officer is responsible for implementing the GDPR and is yet to issue any fines of the level anticipated by the regime, but it is early days. It is also expected that third-party claims against professionals for data breaches will increase. Reports in late 2018 suggested that some firms were providing inadequate or incorrect advice to companies on the transition and their obligations under the new regime, and so there is also potential for claims arising out of that advice.
Lady Justice Gloster's two-year disclosure pilot scheme has now been launched in the business and property courts with effect from 1 January 2019. This is contained within Part 51U of the Civil Procedure Rules. With an emphasis on early tailored disclosure, and a possible curtailment of standard disclosure altogether, Part 51U seeks to keep the costs spend on disclosure proportionate. Many of the duties dealt with in Part 51U will not be new to legal professionals, but they have been strengthened considerably: for example, there is an explicit obligation to cooperate and engage with the other side on disclosure from an early stage, particularly as to the use of technology, and the duty to disclose adverse documents is accentuated. The scheme introduces explicit sanctions for non-compliance, and so it is not unlikely that we will see an increase in sanctions applications while the legal profession (to include the judiciary) comes to grips with the new scheme.
Witness evidence is expected to similarly undergo reform in the near future following the establishment of the Witness Evidence Working Group led by Mr Justice Popplewell. The working group has been tasked with reviewing the current rules (contained in CPR Part 31) and practices regarding factual witness evidence in the business and property courts, and to investigate possible alternatives (one suggested alternative is to abolish witness statements altogether). This follows recent judicial criticism of the utility of lengthy and costly witness statements produced years after the events versus relying on the available contemporaneous documents.
1 Nicholas Bird is a partner and Bryony Howe is a senior associate at Reynolds Porter Chamberlain LLP.
2 See Section 13, Supply of Goods and Services Act 1982, 'In a relevant contract for the supply of a service where the supplier is acting in the course of a business, there is an implied term that the supplier will carry out the service with reasonable care and skill.'
3 See Bolam v. Friern Hospital Management Committee  1 WLR 582.
4 See Montgomery v. Lanarkshire Health Board  AC 1430. The test proposed was 'whether, in the circumstances of the particular case, a reasonable person in the patient's position would be likely to attach significance to the risk, or the doctor is or should be aware that the particular patient would be likely to attach significance to it'. See also O'Hare and Anor v. Coutts & Co  EWHC 2224 in the context of financial advisers.
5 See Barker v. Baxendale Walker Solicitors (a firm) & Anor  EWCA Civ 2056.
6 For example, the Financial Ombudsman Service or the Legal Ombudsman.
7 See Livingstone v. Rawyards Coal Co (1880) 5 App Cas 25 at 39.
8 See Perry v. Raleys Solicitors  UKSC 5.
9 See Allied Maples Group Ltd v. Simmons & Simmons (a firm)  EWCA Civ 17,  1 WLR 1602.
10 See Hanif v. Middleweeks (a firm)  Lloyd's Rep PN 920. A different approach may be adopted where the lost chance concerns medical negligence and the prospects of recovery from an untreated condition – see Gregg v. Scott  UKHL 2;  2 AC 176.
11 See BPE Solicitors & Anor v. Hughes-Holland  UKSC 21,  2 WLR 1029.
12 'In cases falling within [the] “advice” category, it is left to the adviser to consider what matters should be taken into account in deciding whether to enter into the transaction. His duty is to consider all relevant matters and not only specific factors in the decision. If one of those matters is negligently ignored or misjudged, and this proves to be critical to the decision, the client will in principle be entitled to recover all loss flowing from the transaction which he should have protected his client against . . . By comparison, in the “information” category, a professional adviser contributes a limited part of the material on which his client will rely in deciding whether to enter into a prospective transaction, but the process of identifying the other relevant considerations and the overall assessment of the commercial merits of the transaction are exclusively matters for the client (or possibly his other advisers).' See BPE Solicitors at paragraphs 40 and 41.
13 See the Unfair Contract Terms Act 1977 and, where the client is a consumer, the Unfair Terms in Consumer Contracts Regulations 1999.
14 For example, mandatory Outcome 1.8 of the SRA Code of Conduct 2011 prohibits solicitors from excluding liability below the minimum mandated limit of insurance cover.
15 See footnotes 11 and 12.
16  EWCA Civ 1193.
17  EWCA Civ 40.
18  UKSC 5.
19  EWCA Civ 2031.