Service pricing examples
Probate pricing
Example 1: Alice's Estate
We charged £1200 plus VAT (calculated at 20%) and disbursements.
When 85 year old Alice died, her husband, Peter, asked us to sort out Probate for her estate. This was a simple matter handled by an experienced Solicitor who is a member of STEP and SFE. We were able to sort out the entire matter in just over two months from being instructed. Our bill was £1200 plus VAT (calculated at 20%) and disbursements. The reason the bill was this amount is because:
Alice’s house was in the joint names of her and Peter so no complex conveyancing was required.
No Inheritance Tax was payable.
The assets we had to collect and distribute were just one savings account and one investment account with a total value of £120,000.
There was only one Executor, namely Peter himself.
There were only two beneficiaries in addition to Peter himself, namely their two children who were both adults.
There were no trusts or other complexities involved in the estate administration.
We had prepared Alice’s Will ourselves a few months before she passed away so much of the information which was needed, we had to hand.
Peter was prompt and well organised in responding to our requests for papers and information.
In addition to our bill there were disbursements that would be payable at any firm and they were made up of:
- Probate application fee – £156
- Swearing of the Oath – £7
- Bankruptcy Searches – £2 per beneficiary.
Example 2: Casper's Estate
Casper was 68 when he died and his partner asked us to sort out Probate for his estate. This was handled by an experienced Solicitor who is a member of STEP and SFE. We were able to sort out the matter in approximately nine months from being instructed. Our bill was £8,700 plus VAT (calculated at 20%).
The reasons the bill was as such are:
Casper had a house in his sole name and this needed to be sold during the course of the administration.
We had to prepare complicated papers for HMRC as there was Inheritance Tax due on the estate.
The assets we had to collect and distribute included several accounts, eight sets of shareholdings, some investment bonds and other investments with a total value of £700,000.
There were three Executors, one of whom required constant updates from ourselves.
There was only one beneficiary who was an adult and there were no trusts involved although the nature of some of the assets was quite complex.
We handled all the paperwork in relation to the Probate application including the forms for HMRC in order to ensure all reliefs and exemptions were applied to the estate to reduce and mitigate the Inheritance Tax.
In addition to our bill there were disbursements that would be payable at any firm and they were made up of:
- Probate application fee – £170
- Swearing of the Oath – £21
- Bankruptcy Searches – £2 per beneficiary
- Statutory Notices in the London Gazette and local paper – £204.58
- In addition there were conveyancing fess of £800.
As you can see from the above illustrated cases, estate administrations can vary widely. We offer a complimentary, free-of-charge, initial meeting/consultation to discuss the estate administration and any ancillary issues. The ancillary issues can include:
- Looking at Inheritance Tax.
- Looking at asset-preservation and future planning.
- Dealing with land and property.
- Dealing with foreign property etc.
We can assist in practical aspects such as registering the death, organising funeral, clearing a property and so on.
Probate does not have to be scary or time-consuming and the sooner you can get the requisite expert advice on the estate administration, so that you know what you face in dealing with this aspect, the better. We understand from our clients this gives them peace of mind.
Unlawful and Wrongful Dismissals Price Guide
Scenario 1
We meet our client. The employer has already made a proposal which is acceptable to the employee to settle the claim on condition the employee enters into a settlement agreement.
- Our fee for the initial consultation was £200 inclusive of VAT (calculated at 20%). This is because we provide an initial one hour of advice at this rate in cases where assistance is required or where a client requires first stage advice only.
- We then charged between £450 and £750 plus VAT (calculated at 20%) for dealing with the settlement agreement. This cost is normally met by the employer.
- We would expect the work to be concluded within one month of instruction.
Scenario 2
As Scenario 1 but the employer does not immediately offer settlement terms.
- A referral is made to ACAS Early Conciliation and an interim schedule of loss is then prepared. Terms are agreed and the case is resolved with a COT 3 produced by ACAS.
- Our fee for the initial consultation was £200 inclusive of VAT (calculated at 20%).
- We charged £150 plus VAT (calculated at 20%) to submit the case for Early Conciliation.
- A further charge of £300 to £450 plus VAT (calculated at 20%) arises for the preparation of an Interim Schedule of Loss.
- We estimate an hour spent on negotiation with ACAS at a fee of £300 plus VAT (calculated at 20%).
- We then review and approve the COT 3 with a view to finalising the matter at a cost of £300 to £450 plus VAT (calculated at 20%).
- We would expect the work to be completed within four months of instruction.
Scenario 3
There is no negotiation. We have to issue a claim in the Employment Tribunal (ET) which proceeds to a final hearing. (We still have to go through the ACAS Early Conciliation process.)
Currently, the government no longer charges fees to bring a claim in the ET although this is likely to change.
- Our fee for the initial consultation was £200 inclusive of VAT (calculated at 20%).
- We charged £150 plus VAT (calculated at 20%) to submit the case for Early Conciliation.
- A further charge of £300 to £450 plus VAT (calculated at 20%) arises for the preparation of an Interim Schedule of Loss.
- We estimate an hour spent on negotiation with ACAS at a fee of £300 plus VAT (calculated at 20%).
- We prepare an ET1 form setting out details of the claim at a fee of £600 to £900 plus VAT (calculated at 20%).
- We review the respondent’s ET3. – this normally takes about one hour of time and there is a fee of £300 plus VAT (calculated at 20%).
- The ET issues directions which is basically a timetable of what needs to be done to prepare the case for a hearing.
- We consider what documents are relevant.
- We review documents and prepare witness statements.
- We view the Respondent’s witness statements.
- These steps normally involve four to five hours of work in total with the fee in the range of £1,200 to £1,500 plus VAT (calculated at 20%).
- We instruct Counsel to attend the final hearing.
- We prepare for the final hearing. A trial bundle is prepared.
- The preparation for the trial usually involves cost of £900 to £1,200 plus VAT (calculated at 20%) including updating the schedule of loss.
- We attend the hearing with Counsel. We do not normally charge more than £250 plus VAT (calculated at 20%) for our time. If the hearing is over in a day then Counsel’s fee is normally between £750 and £1,000 plus VAT (calculated at 20%).
- The case is concluded and any compensation payable is recovered. This involves about an hour of work with a fee of £300 plus VAT (calculated at 20%).
- This assumes the amount of documents involved in the case is not significant and the numbers of witness are limited to two or three on each side.
- If there are extensive documents or a larger number of witnesses then the costs are likely to be considerably more to reflect the time involved. We will endeavour to provide you with a clearer estimate when we have spoken with you.
- Further if the hearing runs for more than one day then the fees for attendance will continue roughly at the same rate for each day.
- In employment cases, the ET can deal with the issue of liability at one hearing and then schedule a further hearing to deal with remedies. This of itself involves an extra day at Court.
- We would expect the work to be included within 12 months of instruction.
It is difficult to provide case specific timescales for any one matter as much will depend on the Tribunal and the case management orders made.
For example, a straightforward unfair dismissal matter is likely to conclude within 12 months of instruction whereas a more complex discrimination claim is likely to be 18 months to 2 years from instruction (given the fact that at least one preliminary hearing is likely to be listed and a more lengthy final hearing is unlikely to be readily available in the Tribunal’s diary).
People dealing
Alex May is an Associate Solicitor specialising in Employment Law and his rate is £265 plus VAT (calculated at 20%).
Paul Cowdery is a Partner and his hourly rate is £350 plus VAT (calculated at 20%). Paul is an experienced litigator and has undertaken employment work for many years.
Our fees are based on the hourly rates of the people dealing. The ranges given above take this into account as well as the complexity of the matter.
Legal Expenses Cover
At the outset, always check your home insurance to see if you have cover to bring a claim to the ET. This will not normally cover costs until after the claim has been through the ACAS Early Conciliation process. The cover is not usually retrospective. Some insurers will not fund fees at our normal hourly rate.
Recovery of Costs
Even if a claim is successful, it is very unlikely that the tribunal will make an order requiring the respondent to pay your legal costs.
The employment tribunal will only order that one party pay the other party’s costs in limited circumstances, usually where it considers that a party or their representative has acted “vexatiously, abusively, disruptively, or otherwise unreasonably”, or that they have been “misconceived” in bringing or defending the proceedings.
It is still rare for the tribunal to make any costs order.
Third Party Costs
Counsel may need to be instructed to deal with the advocacy should the matter proceed to a Trial. It may also prove cost effective to have Counsel attend any preliminary hearing. Costs associated with this will be highlighted if applicable depending on the complexity of the matter.
Enforcement
Steps to enforce any award or a claim to the state fund are not included.
Remember if the employer does not have sufficient resources it may be liquidated. Certain claims can then be submitted to a statutory scheme.
Important
The information set out above is a guide only.
Please note that in all cases where we are asked to undertake work, we will give a more precise and personalised indication of costs in our retainer letter sent to you at the outset of the matter.
Debt Recovery Pricing
Scenario 1
- We take instructions. A basic letter requesting payment is sent and payment is made.
- The costs we claim are those which can be charged for each invoice under the Late Payment of Commercial Debts (Interest) Act 1998. VAT (calculated at 20%) is added to those charges so the range would be £40 plus VAT to £100 plus VAT for each invoice.
- A case like this would normally take no more than one month from initial instruction to resolve.
Mediation
Mediation is likely to be appropriate. There is a system for mediation in a small claims track case. Mediation can be arranged privately in other cases. The benefit is early resolution and saving uncertainty and costs.
A Court hearing fee is payable in all cases.
We will need to provide a detailed quotation.
A case like this can take one to two years to litigate from the receipt of instructions.
People dealing
Paul Cowdery is a Director and his hourly rate is £350 plus VAT. Paul is an experienced litigator and has undertaken contract and debt recovery work for many years as part of a mixed commercial litigation practice. He spends about 5% of his time on debt-related matters.
Recoverable costs
In the small claims court, legal costs save for the costs of issue and the hearing fee are not normally recoverable by the successful party.
On the fast track, legal costs are recoverable by the successful party and normally amount to about 75% of the costs incurred. There are scenarios in which this can be varied.
On the intermediate track, the costs recoverable are fixed depending on the stage reached.
Enforcement
The costs of enforcement would be additional.
Recoverability
All of this is subject to the debtor having the money!
Important
The information set out above is a guide only.
Please note that in all cases where we are asked to undertake work, we will give a more precise and personalised indication of costs in our retainer letter sent to you at the outset of the matter.