| |
Press Releases
At Hegarty LLP we have a strong belief that we should make the law more
accessible to the wider community. As the law changes so quickly,
we often issue press releases to let the business and individual
communities know about any changes which may affect them.
|
New Starter in Family department
Katherine Rands joined Hegarty LLP’s Family department on 28th June. Katherine has 6  years’ experience with another Peterborough based firm and is employed at Hegarty LLP as a Family Law Executive specialising in domestic violence, care proceedings, removal of a child or children from their country of permanent residence, divorce and ancillary relief with particular experience of helping with prisoners’ family matters.
Katherine comments: “I am delighted to have joined Hegarty as a member of the family department team. I am looking forward to developing my career at a firm that has an excellent reputation.”
|
|
|
Panorama Highlights Dangers of Using Will Writers
In this week’s Panorama programme presenter Vivian White highlighted the risks in using a will writing service. Many people are under the false impression a ‘will writer’ is a solicitor, but unlike a solicitor they do not have to undergo any training or have any insurance. Also unlike solicitors they are not regulated by any organisation which ensures that they conduct their activities in the interests of the consumer and provide some form of redress if things go wrong. If they go out of business there is little that can be done - sometimes the will cannot be found even where charges have been made for storing it.
Andrew Poole’s wife, Suzanne, used a will writer, but the will failed to include any provision for him leaving the entire estate in trust for his stepdaughters. Caroline Bielanska, Chief Executive of Solicitors for the Elderly, appearing on the programme, expressed concern that no provision had been made for a spouse. Caroline said, ‘a specialist solicitor would have asked why a spouse was left out, kept a detailed record of those reasons and advised of the high risk that the will would be challenged’. Solicitors are in the business of giving legal advice taking into account the client’s domestic and financial circumstances - it does not appear that Suzanne Poole received any such advice’.
The lack of regulation has enabled many will writers to adopt high pressure selling techniques illustrated in the programme, often offering wills for a low or discounted fee and then recommending themselves to be appointed as executors. In secret filming undertaken by the BBC for the programme an elderly couple was not told the details of charges which were confusingly set out in writing but then taken away by the will writer.
The fear of solicitors’ costs prompts some people to use will writers. Greg Baker, Partner and Head of Probate at local law firm Hegarty LLP commented: “Will writers can be a little cheaper than solicitors as they are unregulated and their overheads are lower but charges are often difficult to understand with unexpected items added later. Solicitors are required to set out in writing the basis of their charges and in many cases wills are undertaken for a fixed fee with free storage of wills and other documents.” Joanna Scales, Associate at Hegarty LLP, adds, “all too often we meet clients who need our help to resolve problems will writers have caused.” One recent client of Joanna’s, Mr Sands, says of his experience: “I am very keen to warn people of the dangers of using a will writer. I didn’t realise there is a difference between will writers and solicitors and feel I was taken advantage of. I have learnt the hard way the importance of seeking suitably qualified and regulated professionals to take care of such important matters.”
Henry Anstey, Head of Probate at local firm hc solicitors continues, “This programme highlights the potential for getting it wrong without full legal advice and the need for proper regulation of will writers. We’ve acted for a number of clients who have been left with costly problems to undo which only came to light when their loved one died. Fortunately many clients have consulted us in their lifetime and we have been able to put right wills which did not achieve what they had set out to do.”
Duncan Jackson, Partner and Head of Private Client at local firm Buckles, added “Because will writers do not have to be trained they can often miss basic but important alternatives. They produce simple wills not ones based on their client’s lifestyle, values, assets or future needs such as planning for care home fees. Will writers serve a need, but regardless of wealth or otherwise, these days the elderly need a level of qualified advice when drafting their wills to make sure that they leave their loved ones cared for and looked after in the way they wish.”
Local law firms Buckles, hc solicitors and Hegarty LLP all have solicitors who are members of Solicitors For the Elderly (SFE) with expertise in writing wills which achieve a client’s wishes and in providing advice to clients on the avoidance of care home fees and minimisation of inheritance tax. Local members of SFE are Stephen Duffy and Charles Applegate of Buckles, Paddy Appleton, Henry Anstey and Robina Pighills at hc solicitors and Greg Baker, Joanna Scales and Jo Wild at Hegarty LLP. |
|
SMEs could do more to tackle crippling late payments
Small and medium sized enterprises (SMEs) in the UK are overlooking ways to protect against potentially crippling cash-flow problems, warns Hegarty LLP.
SMEs have to wait an average of 41 days longer than the time scale for payment agreed with their customers before receiving payments, while £24billion is owed to SMEs at any one time. Recent research shows that that 37 per cent of late payers take between one and three months to pay invoices.*
With the increase in VAT to 20 per cent expected to worsen the SME cash flow problem, Hegarty Solicitors is urging small businesses to guard against late payment.
Not enough businesses are aware of the protections available to them which safeguard against cash flow blockages. Solicitors will be able to help SMEs take advantage of these.
Andrew Heeler, Partner and Head of Company Law at the leading firm says: "Average commercial debts caused by late payments are high in the UK, and for SMEs a lack of cash flow can be crippling. With credit less available to those businesses from banks, late payments have a far more serious consequence for SMEs.
"Considering the amount of red tape SMEs and start-ups are faced with, it is no surprise that seeking protection against late payment from customers does not come top of the to-do list. However, it could be the difference between the business surviving or not, especially in the uncertain economic climate.
"A carefully worded contract drawn up by a solicitor between a business and their commercial customers can include clear terms on late payments, including penalty clauses and strict time frames for payment. Such terms can act as an effective deterrent for late payment and encourage timely payment for services, thus avoiding these terms coming into play."
Andrew goes on to explain that contracts between businesses which include late payment clauses need to become a common feature of the SME market. The European Union is currently looking at updating a directive aimed at tackling late payments such is the impact on the SME sector across Europe as a whole. "Many smaller businesses perhaps felt the recent budget did not do enough to tackle cash flow problems head on, and although the EU is looking at it, the safest bet is to protect against cash flow blockage between the customer and the business with a solid, solicitor-drafted contract."
Avoiding court
The Law Society advises that should SMEs and start-ups hit problems with customers failing to meet payment deadlines, court is not the only next-step option. Alternative Dispute Resolution and mediation are alternatives for SMEs.
Matthew Sidebottom, Partner and Head of Litigation at Hegarty LLP says: "There is a presumption that going to court is the only course of action when late payments cannot be resolved. However, many solicitors specialise in ADR and mediation, which can prove an effective way of solving the problems for SMEs and other businesses. ADR and well-drafted contracts can be effective in avoiding the last option, going court." |
|
ANNE CORDER RECRUITMENT AND HEGARTY LLP WELCOME LEADING RECRUITMENT EXPERT TO SEMINAR
Around 80 HR professionals were given a comprehensive overview of how new regulations are likely to affect them at a law seminar organised by Anne Corder Recruitment and Hegarty LLP Solicitors.
 The Agency Workers Regulations will come into force in October 2011, giving temporary workers on assignment for 12 weeks or more treatment equal to that of their employed counterparts.
There have been fears the introduction of the regulations could result in a major downturn in the demand for temps leading to a negative knock on effect throughout the jobs market.
Staff at Anne Corder Recruitment have worked closely with industry regulator the Recruitment and Employment Confederation over the past 18 months, ensuring the agency is fully versed on how both it and its clients can remain compliant.
As part of that service to clients, the Peterborough-based independent agency invited the REC’s director of external relations Tom Hadley to address representatives from some of the city’s high profile employers at a seminar dedicated to the subject. He shared the stage with Hegarty’s employment expert Martin Bloom who discussed the legal implications of the regulations.
“We were delighted Tom agreed to speak at the seminar to give his very clear perspective on the introduction of the regulations,” said Anne Corder. “Tom has been involved in lobbying, information gathering and formal discussions from grass roots to the very highest level so it was invaluable for us and our clients to hear his thoughts about these, potentially very far-reaching, regulations first hand.”
Tom was keen to point out the role agencies like ACR can play in the smooth implementation of the regulations.
“Temporary work provides vital flexibility for businesses as well as opportunities for job-seekers. We must ensure that complex new EU regulations do not jeopardise this,” he said. “The key is for agencies to work in partnership with employers to plan ahead and pre-empt some of the practical challenges. Recruitment professionals will continue to lead the way – this briefing seminar was an important part of the planning process.”
|
|
USING SOCIAL NETWORKING SITES TO VET JOB CANDIDATES COULD LAND EMPLOYERS IN HOT WATER
Employers should avoid using social networking sites including Facebook and Myspace to vet job candidates as it could leave them vulnerable to discrimination claims warns Hegarty LLP Solicitors.
Martin Bloom, Partner and Head of Employment Law at the firm, says:
“Using these sites to canvass more information about an employee or an interview candidate is potentially risky for an employer.
“For example, it is possible to obtain information about a person’s sexual orientation or religious beliefs that can impact or is perceived to impact on the decision made to recruit or not recruit that person - this can lead to discrimination claims.”
The Employment Practices Data Protection Code states that an employer should only use vetting where there are particular and significant risks involved to the employer, clients, customers or others, such as working with children or vulnerable people. However employers should not place reliance on information collected from social networking sites as it is potentially unreliable.
Befriending risk
Employees should also be aware of potential problems from ‘befriending’ their employers on these sites and should choose to have their webpage on a privacy setting where possible.
“The dismissal of employees for comments made about employers on social networking sites can also lead to unfair dismissal claims,” adds Mr Bloom. “However, an employer may be able to defend themselves against such a claim if they can show the dismissal was a reasonable response to the conduct of the employee.”
|
|
TRUSTS AND WILLS ARE VULNERABLE TO NEW CGT RATE
The Capital Gains Tax (CGT) increase announced in this week’s budget will mean trustees and personal representatives administering the estates of the deceased could feel the full brunt of the rise as gains made will be at risk of exposure to the new higher rate, warns Hegarty Solicitors, a prominent local law firm.
The new rate of 28 percent will charge any gains made while the estate is being administered, and also gains for the duration of a trust.
Will trusts, created by parents of young children or vulnerable adults, are particularly exposed to the new regime.
Greg Baker, Partner and Head of Trusts & Probate at Hegarty LLP says:
“Many hardworking families will often look to create a protective tax regime for their children in the event that they are orphaned at a young age by leaving assets in trust until the children are old enough to manage the assets without the guiding hand of their parents.
“There is a real danger of trust assets being eroded through a combination of income tax at 50 per cent, CGT at 28 per cent and the impact of the changes to the inheritance tax regime introduced in 2006.
“Personal representatives, trustees and anyone else appointed to set up a trust and settle assets within it should urgently seek advice from their solicitor to ensure that arrangements are structured as tax efficiently as possible for the benefit of these vulnerable beneficiaries in the light of these new developments.”
Tread carefully
Hegarty LLP is urging trustees and those charged with the task of administering an estate to tread carefully when reviewing trusts or practices in light of the new CGT rate.
Greg adds:
“This reinforces the importance of using a solicitor instead of an unqualified, unregulated will writer for trust or probate matters. In light of this new tax regime and the complications that come with it, do you really want an unqualified, unregulated executor or trustee administering your estate after you pass away, rather than a solicitor who is professional, robustly regulated, qualified and insured?
“Even where a solicitor has not been appointed to administer a trust or estate, anyone who has been given that role should go to a solicitor, who is best placed to take all these issues into account.”
If you do not have a will and need a solicitor to write one, please contact Greg Baker in the first instance on 01733 295616
|
|
BREAKFAST BRIEFING FOR LOCAL BUSINESSES
Two of the city’s leading professional firms joined together to present a breakfast briefing to local business people.
Hegarty LLP Solicitors and Rawlinsons Chartered Accountants, both based in Peterborough, hosted the seminar which was attended by about 100 people.
The briefing covered employment law legislation outlining some of the most recent changes that affect businesses, a topical tax update and alternative dispute resolution.
The speakers were Tim Thompson and Andrew Hornsby from Hegarty LLP Solicitors and Ken Craig from Rawlinsons Chartered Accountants.
Tax Partner Ken Craig explained: “Our audience ranges from representatives of multi-national plcs to local sole-traders, so we try to provide a range of talks that are topical and relevant to those who attend. I spoke about the first Budget of 2010 with emphasis on the changes affecting tax relief for pension contributions, employees and business owners and predictions of the Budget on 22 June.”
Tim Thompson, Employment Partner at Hegarty LLP Solicitors, said: “We are delighted by the success of the seminar and the positive feedback we have received. We look forward to repeating the seminar next year.”
From left to right: Tim Thompson, Andrew Hornsby, Ken Craig & Chris Collier
If you would like further details on the topics covered or are interested in receiving an invitation to forthcoming seminars, please contact Angela Mann at Hegarty LLP Solicitors on 01733 295618 or Carolyn Lake at Rawlinsons Chartered Accountants on 01733 568321.
|
|
SOLICITORS FOR THE ELDERLY RESPONDS TO CRITICISM OF THE COURT OF PROTECTION AND THE PUBLIC GUARDIAN IN THE WEEKEND PRESS
Recent days have seen prominent and harsh criticism in the media of the Court of Protection and Public Guardian. These two bodies are responsible for the property and affairs of some of the most vulnerable people in society, those who lack capacity to deal with these matters themselves. They therefore have a vital function to perform and it is of the utmost concern to a civilized society that these public bodies do not appear insensitive, secretive, bureaucratic and inefficient.
Solicitors for the Elderly represent over a thousand solicitors who deal with this area of law on a daily basis. They share the concerns and frustrations of their clients and often act in their own right as deputies for adults and children who lack capacity.
The legal and administrative system provided by the Mental Capacity Act 2005 is not a perfect one by any means. But it rests on a powerful premise. No one person has the right to take the property of another person who lacks capacity unless either that person has authorised this in advance, through a lasting power of attorney or the Court of Protection has given that authority. Not everyone has had the foresight or desire to plan ahead with a lasting power of attorney, especially as the new forms require a degree of determination to complete. The Court must also deal with the property of children who will lack capacity, often where there have been compensation awards for catastrophic injuries. It deals with over 6,000 applications each year and it cannot just give authority every time someone asks for it. There has to be a procedure that shows that a person lacks capacity and that the deputy who is given authority is the right person to take on a great responsibility and that the interests of the person who cannot speak for himself are protected.
There is of course a difficult balancing act for any public body to perform. If it is too restrictive in what it allows, it is condemned for being paternalistic and bureaucratic; if it gives away authority without proper checks, it is condemned for being heartless. In reality it must also contend with limited resources which must be raised through fees and charges. These fees are significantly lower than they were in the past, and in the vast majority of cases the annual supervision fee charged by the Public Guardian is £175.1
Difficult cases make for alarming headlines. But in the great majority of cases, the Court of Protection appoints deputies as a matter of course and close relatives are given a wide ranging authority to administer considerable assets. This usually extends to selling a person's property and deciding where and how to invest money.2 The only safeguards are an insurance policy and the completion of a short annual report to the Public Guardian. Most cases are dealt with efficiently, through a simple paper-based procedure. And most cases do work reasonably well in practice.
This success - which is at odds with media criticism - avoids wider concerns that a system which is too casual in its approach allows the unscrupulous and the incompetent to cause a great deal of damage before it can be discovered. The Public Guardian is a separate body from the Court which has very limited powers of investigation and enforcement.
The Court of Protection meanwhile is a judicial body which is bound by rules which belong to a world where wealthy protagonists can litigate with no regard to how long they take or what costs they incur. Those cases that do go wrong, or where there are objections and different points of view in the family, are subject to a very different procedure that really is daunting as well as expensive. Cases move into a labyrinthine world involving forms and procedures that are daunting for lawyers, let alone concerned relatives. Cases frequently involve several opposing parties, solicitors, barristers, trial bundles and days in court where the costs are so great that there is a real disincentive to use the Court of Protection except as a last resort.
These are issues that the Court are aware of and members of Solicitors for the Elderly are engaged with both bodies, bringing constructive criticism to bear where it is helpful, and trying to share the concerns of its members and the wider client case they represent in providing better protection for those who cannot by definition protect themselves.
Greg Baker, Partner and Head of the Trusts and Probate Department of local firm Hegarty LLP Solicitors said “The Court of Protection plays a central role in protecting the vulnerable from financial abuse. There clearly have been teething problems but Solicitors for the Elderly together with other professional bodies have been sharing their concerns and working to help resolve issues.”
Hegarty LLP have three solicitors who are full members of Solicitors for the Elderly – Greg Baker and Joanna Scales at their Peterborough office and Joanne Wild at their Stamford office.
1. The top rate supervision fee of £800 is rarely applied and is only charged in cases where the estate is substantial, there has been a family dispute or there are concerns about mismanagement or fraud.
2. Funds were traditionally lodged with the Court Funds Office to take advantage of higher interest rates, which were 6% until February 2009. The interest rate on funds in Court is now 0.5%. |
|
|
|
LOCAL SOLICITOR CONSULTED ON MP'S RIGHTS FOR CHANNEL 4 PROGRAMME, DISPATCHES
Martin Bloom, a partner at Hegarty Solicitors, will be appearing on Channel 4’s popular Dispatches programme about MP’s rights as employees. As a consequence of the ongoing expenses debacle, the question of politicians’ employment rights has been thrust into the limelight and is covered in detail on the programme due to air Monday 28th September at 8pm.
Martin, a prominent local employment law solicitor and part-time employment judge, was interviewed on 16th September at the television studios in London by Alex Thomson, Chief Correspondent for Channel 4 News. Questions about MPs’ accountability as employees were raised, with Martin also discussing whether they have an obligation to disclose their accounts to the public.
Of his brush with fame Martin said “I thoroughly enjoyed the experience and Alex Thomson is a very friendly and intelligent interviewer, taking the time to put me at ease.”
|
| |
|
THREE SOLICITORS AT HEGARTY LLP ACCEPTED AS MEMBERS OF SOLICITORS FOR THE ELDERLY
Greg Baker, Joanna Scales and Jo Wild have been accepted as members of the national association “Solicitors for the Elderly” (SFE).
SFE is an association of lawyers who specialise in legal services for older people and their carers. Members of SFE have a wealth of experience within this key legal area and are required to have spent a substantial amount of time working for elderly clients. The aim of this national association is to improve the knowledge and service provided on legal issues including tax planning, wills, lasting powers of attorney, long-term social and health care and other retirement issues.
Hegarty LLP, the Peterborough and Stamford based solicitors, provides a variety of specialist legal services. The firm has a team of lawyers who specialise in legal issues for the elderly. Greg’s, Joanna’s and Jo’s membership of SFE will provide clients with the assurance that the firm has wide ranging expertise in providing legal services for older people. The trust and probate team at Hegarty LLP now have 3 solicitors who are law society members, Society of Trust and Estate Practitioners (STEP) members and SFE members which means they are a highly experienced and knowledgeable team. Furthermore, Jo Wild is one of only two solicitors based in Stamford who is a member of Solicitors for the Elderly.
Greg Baker, Partner and Head of the Probate team at Hegarty LLP, said: “I have been specialising in legal services for the elderly for 20 years and am looking forward to continuing my development in this area so I am able to give my clients and colleagues first class legal advice in a field of law which is constantly evolving, as the requirements of the elderly population change.
We aim to be able to provide relevant and appropriate advice to our clients concerning the funding of long term care which we know is an issue that is of great concern to many elderly people.” |
|
|
FAMILIES NEED FATHERS LAUNCH 'SHARED PARENTING-SHARED BENEFITS' CAMPAIGN
On 19 June 2009 Families Need Fathers launched a campaign to raise awareness of the benefits of both parents remaining actively involved with their child(ren) following divorce or relationship breakdown. The guiding principle is that both parents are engaged in important decisions ranging from schooling, medical, moral and religious education, hobbies and so on. It does not necessarily mean that the child(ren) should spend an equal amount of time with each parent although this should be considered.
There is growing evidence that children who maintain strong relationships with both parents following a break up are happier and less stressed than those who remain close to only one.*
Kimberley Pender, Family Lawyer at Hegarty Solicitors and a Trustee of Families Need Fathers comments “Families Need Fathers’ Shared Parenting-Shared Benefits campaign continues to illustrate the Charity's ongoing commitment to encouraging and promoting the total involvement of both parents in every aspect of their children's lives following relationship breakdown. The campaign is just one example of the work the child focused charity undertake and they also provide advice and support through monthly branch meetings which occur across the country. I am pleased to say I have been able to provide legal advice clinics at branch meetings in both Newmarket and Cambridge for the past 15 years. It should be remembered that all family members including grandparents, mothers and step-parents are able to access advice and support at branch meetings or through the free National Helpline which is open Monday to Friday 6pm to 10pm.The details can be found on the Charity's website at www.fnf.org.uk."
Shared Parenting – Shared Benefits is endorsed by Bridget Prentice, Minister responsible for the family justice system, who said of the campaign: “Families Need Fathers is playing an important part in our work to secure better outcomes for children when their parents divorce or separate and come to court to resolve disputes about arrangements for children. The shared parenting project undertaken by FNF is a positive, constructive and welcome contribution to the work being undertaken by the Government to better support these children and their parents.”
For more information on Families Need Fathers please visit www.fnf.org.uk or call 0300 0300 110
|
|
ISO STANDARD ACHIEVED FOR 15TH YEAR RUNNING
Hegarty LLP Solicitors has achieved the ISO 9001 standard for the fifteenth year running.
The ISO 9000 standard was first introduced to British Industry in 1987 and was based on the UK Standard BS 5750 which had evolved from the MoD’s need for quality standards in the 1960s. Covering standard operating systems and client care procedures, to qualify for the award a firm is assessed annually by an independent auditor. The recently updated version ISO 9001:2008 (published 14/11/08) incorporates minor changes to the ISO 9001:2000 version.
Richard Hegarty, founder and Senior Partner of the firm, is responsible for the quality systems in place and comments “I am delighted that our professional approach has been recognised with our continued accreditation to ISO standard. It shows the hard work all of the staff at the firm have put into providing quality legal services to our clients. Hegarty LLP was one of the first law firms in the country to be awarded this quality standard and we are rightly proud of our ongoing commitment to and achievement of quality. This helps us give our clients the best service possible and ultimately ensures our ongoing success.”
|
|
APPOINTMENT OF ASSOCIATE EXPANDS OFFERING TO PRIVATE CLIENTS
Wealth management service at Hegarty LLP receives a boost with appointment of Associate, Joanna Scales
 Wealth planning can be a complicated area of great importance for people wishing to preserve their assets. Hegarty LLP have offered this service to its private clients for some time but with increasing demand and a range of high value cases the firm has brought on board Joanna Scales – an expert in this area of law.
Joanna’s experience, spanning the spectrum of technical expertise necessary for successful wealth management, includes mitigating Inheritance Tax through, for instance, setting up Trusts either on death or in lifetime. She provides specialist advice regarding the options available for death in service benefits and pension death benefits.
Having previously worked for a Top 50 Law Firm, Joanna’s background in private client work has most recently been weighted towards high value cases including drafting wills and undertaking planning for clients worth in excess of 5 million.
The benefits of successful planning go beyond mitigating tax and may extend to a number of protective opportunities depending on the individual’s wishes. For example, protecting the matrimonial home from care home fees and retaining capital for the immediate family.
“Many people don’t realise the options available to mitigate their Inheritance Tax position. I enjoy the challenge of high value complex cases and so am delighted to join a prominent local firm to further build on their offering to private clients in this area”, says the newly appointed Associate.
Joanna has experience of Trust creation and administration for a wide variety of Trust arrangements, including Trusts for disabled beneficiaries and children. She has also been brought in to build on the knowledge within the team at Hegarty LLP regarding care home fees and associated matters relating to the funding of care for the elderly.
“Some of my clients have worked hard to pay off their mortgage and then find they have to face the possibility of losing their home to pay for care home fees. I assist my clients in planning towards protecting their family home so they have a legacy to leave” Joanna says.
“I would always recommend seeing a fully qualified, experienced solicitor every time. Estate planning is one of the most important financial acts you will take. A little investment at the start will reap rewards with a fully researched, professionally executed solution and the protection of a fully regulated and insured specialist.”
Partner and Head of the Trust and Probate team, Greg Baker comments “I am delighted to welcome Jo to the team so that we can enhance the services we are able to offer private clients.”
Joanna is a qualified Solicitor, member of the Probate Section of the Law Society, member of the Society of Trusts and Estate Practitioners and specialises in Wills, Inheritance Tax Planning, Wealth Management services, Trusts, Trust administration, Powers of Attorney, Probate and elderly client issues.
|
|
|
|
LOCAL BUSINESS BREAKFAST BRIEFING
Pictured (from left), Tim Thompson, Kevin Woodthorpe, Ken Craig and Andrew Heeler.
Two of the city’s leading professional firms joined together to present a breakfast briefing to local business people.
Hegarty LLP Solicitors and Rawlinsons Chartered Accountants, both based in Peterborough, hosted the seminar which was attended by about 100 people.
The briefing covered Disciplinary and Grievance Procedures Update a Topical Tax Update and Trading in a Recession.
The speakers were Tim Thompson and Andrew Heeler from Hegarty LLP Solicitors and Ken Craig from Rawlinsons Chartered Accountants.
Tax Partner Ken Craig explained: “Our audience ranges from representatives of multi-national plcs to local sole-traders, so we try to provide a range of talks that are topical and relevant to those who attend. I spoke about the Budget 2009, the attack on ‘high earners’ and measures to mitigate tax increases.”
Tim Thompson, Employment Partner at Hegarty LLP Solicitors, said: “We are delighted by the success of the seminar and the positive feedback we have received. We look forward to repeating the seminar next year.”
If you would like further details on the topics covered or are interested in receiving an invitation to forthcoming seminars, please contact Angela Mann at Hegarty LLP Solicitors on 01733 295618 or Carolyn Lake at Rawlinsons Chartered Accountants on 01733 568321.
|
|
NEW STARTER IN CRIME
Amanda Jackson has joined Hegarty LLP Solicitors’ leading criminal team in the Peterborough office. Amanda started her legal career working for the Police as a Drugs Worker. This gave her the insight to substance abuse and its close connection to the Criminal Legal Field within the Peterborough area.
Amanda then moved into the legal defence arena and has worked for two other local law firms that offer criminal defence services. Amanda is a Paralegal and Hegarty’s Accredited Police Station Representative, which means she represents clients at the Police Station and in Crown Court. Her previous experience means she builds a rapport very easily with the clients, as she understands their motivations and the obstacles they face.
Amanda comments: “I am delighted to join the Criminal team at Hegarty Solicitors as one of the leading Criminal Practices in the Country.” Sarah Acres, Associate and Head of the Criminal department is “very happy to welcome Amanda to the Criminal team and I believe she will be a valuable addition”.
|
|
|
|
HAS THE ECONOMIC MELTDOWN AFFECTED YOUR WILL?
Much (probably too much) has been written about the effects of the recession with which we are faced.
The credit crunch is affecting the availability of credit to both businesses and personal customers and with the lack of available finance businesses are closing their doors. Interest rates are at their lowest on record, property prices have fallen considerably and stock market values have taken a similar hammering. Many people, particularly those who are retired and are dependent upon their savings income, are finding that they are eroding their capital to maintain their lifestyle.
Very little has been written about how this may impact upon Wills which may have been written in healthier economic times but which now may have become out of date and be in need of updating.
It is not uncommon for parents to leave a property or shareholdings to one child and to leave other assets (such as savings) to another child or children to balance the distribution between them. Further business interests may be left to a child who is involved in a family business and other assets of a similar value may be left to another child to balance the equality. In recent times the value of the property, the shareholdings, the business or the savings may have been affected considerably and the proposed equality between the children may now be out of line. An example as to the possible effects is shown at the foot of this article.
It is important that anyone with a Will who has not updated it recently should consider reviewing it and, if need be, change it to reflect their current financial position.
It is recommended that anyone who finds themself in this position should arrange to see their solicitor to review the Will. A solicitor is best placed to provide advice as to any amendments that may be needed and can offer advice as to possible ways to mitigate any potential exposure to Inheritance Tax. In the current economic climate it is particularly important to reduce any potential tax exposure.
For those who do not already have a Will now would be a good time to consider making one particularly bearing in mind that changes were made to the Intestacy Rules (which apply when there is no valid Will) effective from 1 February 2009 and the Law Commission is currently reviewing the rules with a view to recommending further changes.
Example:
Mr and Mrs A are retired and made Wills in July 2007. They have a son (S) who has left the family home and a daughter (D) who lives permanently with them. At the time in their Wills on the survivor’s death they leave their home worth £400,000 to D and cash savings of a similar value to S. Their home is now worth £300,000 but their savings are still worth £400,000 as their pension income maintains their lifestyle. The son would now benefit £100,000 more than the daughter. They may wish to review their Wills to balance this inequality.
Greg Baker is a Partner and Head of the Trusts and Probate Department of Hegarty LLP Solicitors and is a member of the Law Society Probate Section Executive Committee.
|
|
|
|
CRIMINAL TEAM AT HEGARTY SOLICITORS AMONG THE BEST IN THE COUNTRY
Hegarty Solicitors Crime department achieves Excellence (1) Peer Rating
Crime Solicitors at Hegarty LLP are among the country’s finest as they have been awarded an Excellence (1) rating in an independent report (the Peer Review) – only 2% of the country’s law firms’ criminal departments can boast this achievement.
Associate at Hegarty Solicitors and Head of Crime, Sarah Acres, comments “I am extremely proud of my team. We work very hard on behalf of our clients and I am delighted to have received external recognition for our efforts, especially as only a few firms in the country have achieved the highest score.”
Senior Partner, Richard Hegarty said: “I am delighted that our Crime team has received the recognition they deserve. This is a significant achievement for Hegarty LLP and further cements the firm as a leader in the provision of quality legal services for all.”
Picture shows some of the team of the Criminal department at Hegarty Solicitors from left to right:- Sam Cornforth, Rachel Davis, Sarah Acres and Sara Young
|
|
|
|
GREG BAKER ELECTED ONTO EXECUTIVE COMMITTEE OF PROBATE SECTION OF LAW SOCIETY
The Law Society Probate section was established in 1997 to provide best practice information and support to professionals working in the area of wills, financial planning, Court of Protection and estate administration. Greg Baker, Partner at Hegarty Solicitors and Head of the Wills, Trust & Probate department, who was elected onto the Executive Committee of this section in July, is the only Executive Committee member in the Peterborough & Stamford region.
By sitting on the Committee, Greg will be aware of potential developments that affect practising within this area of law and will have the opportunity to have some influence over its direction. He comments: “My motives for joining the Probate section Executive Committee are varied. I should like to be involved in considering the effects of the changes which are taking place in the legal profession following the Clementi review of legal services, and particularly how they affect probate work. I hold a firm opinion that it is in the interests of the public for will writing to be properly regulated”.
|
|
ANNUAL PROPERTY EVENT GOES WITH A BANG!
The annual “Bangers & Beer” event hosted by Hegarty Solicitors for property agents and businesses in the Peterborough area was a very successful evening. This year’s event which took place on Wednesday 12th November at The Brewery Tap in Peterborough attracted almost 80 of the most influential contacts in the local property market to network, talk shop and enjoy the local ales.
Hugh Nicholls, Partner and Head of Property at Hegarty Solicitors, commented “I was delighted to see so many familiar faces this year. These are difficult times and I hope it raised everybody’s spirits. It is more important than ever to keep in contact.”
Picture is of Richard Hegarty, Senior Partner Hegarty LLP Solicitors, serving up bangers & mash to John Wilkinson (Accent & Wilkinson) & Paul Bywater (Larkfleet Homes). |
|
COMPANY LAW DEPARTMENT APPOINTS NEW TEAM MEMBER
Hegarty LLP Solicitors in Peterborough has strengthened its Company Law team with the appointment of Jemma Carpenter as a Company Support Executive. Jemma will provide company secretarial services for small and medium size companies and will help the team with its business acquisitions and disposals work.
Partner and Head of Company Law, Andrew Heeler comments “For private limited companies the post of Company Secretary is no longer mandatory and yet most of the functions that role would fulfil still need to be met; hence some company directors may find it more cost effective and time efficient to instruct a specialist provider. It seemed a natural extension of our existing service to offer Company Secretarial services and these are managed by Jemma”.
The services offered range from one off filing requirements such as annual returns to a full compliance service.
On the firm’s business acquisitions and disposals work Andrew says “Our team is very busy acting on a number of share and asset sales and purchases for businesses and Jemma will provide invaluable support to the company team and its clients."
|
|
|
|
GOVERNMENT'S STAMP DUTY ANNOUNCEMENT GOOD NEWS FOR HOMEBUYERS
The Government’s announcement on 2nd September that the stamp duty land tax threshold will increase from £125,000 to £175,000 is a really positive step for the residential housing market, claims Hegarty LLP Solicitors.
Buying an average home (currently £149,879 in the North rising to £371,983 in Greater London*) will now be more affordable and people trying to sell their properties in the £125,000 - £175,000 bracket should find it less of a struggle. Partner and Head of Property, Hugh Nicholls, comments: “This move should make it easier for first time buyers to buy property. The market has stalled on rumours of a change to stamp duty land tax and the increased certainty should help to get it moving again. It is a shame that the reduction is only for 1 year from tomorrow but it is always open to the government to make the increase in the threshold permanent if it has the desired effect.”
Further support for the beleaguered housing market comes in the form of helping first time buyers onto the ladder via the Government’s new shared equity scheme, or a free 5 year loan up to 30% of the property’s value where the households’ income is below £60,000. “In the current economic climate first time buyers are struggling to obtain mortgages. This is the government’s way of making housing more accessible to all and will hopefully boost the property market, at least in the short term” states Hugh Nicholls.
*Source BBC online UK House Prices 27/08/08 |
|
PROMOTIONS AT LEADING PETERBOROUGH LAW FIRM
Leading Peterborough law firm, Hegarty LLP, has announced the promotion of two solicitors to the position of associate.
Vicki Chilton joined the firm in 2004 and advises on a wide range of commercial property work including sales and acquisitions of freehold premises and all aspects of landlord and tenant matters. She represents a number of private developers with sites between two and twenty plots and is involved in land acquisition, planning and setting up the site for sales. Vicki also acts for investor purchasers and advises on their property portfolios in excess of 60 residential and commercial properties
Andrew Hornsby handles primarily substantial commercial litigation matters, but also advises on personal injury and negligence issues. He joined the firm in May 2006. He attended Kings School in Peterborough, then studied law at De Montfort University and qualified as a solicitor in 1996. He is a member of many organisations including the Society of Computers and the Law, The College of Personal Injury Law and Association of Personal Injury Lawyers. Andrew is currently completing his training as a commercial mediator.
Commenting on the announcement, Partner Matthew Sidebottom, said “The promotions reflect the hard work and commitment of Vicki and Andrew. I am confident that their legal careers will continue to flourish at the firm.”
The firm, which also has an office in Stamford, now has nine partners and four associates |
|
CHAMBER TALK A SUCCESS
The first networking event of year organised by Stamford Chamber of Trade and Commerce was a great success, attracting over 30 members of the local business community.
Members of Stamford Chamber of Trade and Commerce
The event was held at Lady Anne’s Hotel, and included a talk by solicitor Andrew Hornsby from Hegarty LLP Solicitors on the potential dangers of e-commerce. In his presentation he highlighted some issues concerning emails, websites and e-commerce, and explained how businesses can take steps to protect their interests.
President of the Chamber, Tim Lee, commented, “We were delighted that so many members were able to support this event. Email, websites and e-commerce give smaller companies fantastic opportunities to work more efficiently and have access to a bigger market but there can be pitfalls. Andrew’s talk was very interesting and he passed on some tips which I’m sure we all found useful.”
Stamford Chamber of Trade and Commerce has almost a hundred members and has a schedule of events planned until the Autumn including a Budget Breakfast and a visit to Castle Cement. Anyone interested in joining the Chamber or attending the events should contact Brian Montgomery, on 01664 474189 or email secretary@stamfordchamber.co.uk
Issued: 01.02.08
|
|
|
|
GREATER PETERBOROUGH'S BEST NEW BUSINESS IDEA 2008
Hegarty Solicitors are delighted to once again sponsor the Peterborough Enterprise Programme's annual competition to find hidden talent in Greater Peterborough.
The ‘Start Doing Something New Today’ competition is organised by the Peterborough Enterprise Programme and aims to find Greater Peterborough’s best new small business idea.
The winner will win a cash prize of £2,000, free mentoring from one of Peterborough Enterprise Programme’s business advisers and the support and advice of a panel of Peterborough’s leading business figures for a 12 month period.
The best new small business idea might be either:
- an idea for the establishment of a completely new business
- an idea for a new product or service from within an existing small business (with no more than five employees)
- a new business that has been trading for less than six months
The deadline for entries is 18 February and the winner will be announced at a special awards ceremony on 7 March 2008. The competition is sponsored by Hegarty Solicitors, Athene Communications, HSBC bank, MacIntyre Hudson and the Peterborough Evening Telegraph.
For an entry form and full details about the competition please call Peterborough Enterprise Programme on 01733 426500 or email: businessidea2008@cambsenterprise.co.uk.
Issued: 11.01.08 |
|
|
|
TWO NEW LAWYERS AT HEGARTY SOLICITORS
Peterborough law firm, Hegarty LLP, has recently welcomed two new lawyers, Kimberley Pender and Claire Baker, to the firm.
Photograph shows (left to right): Claire Baker, Andrew Heeler and Kimberley Pender
Kimberley Pender has been a fellow of the Institute of Legal Executives since 1997 but has worked in all areas of family law since 1990. She specialises in divorce, separation, ancillary relief and the Children’s Act matters. Kimberley has appeared on the BBC programme Newsnight to publicise the plight of parents being prevented from seeing their children, and regularly attends an advice surgery for the charity ‘Families Need Fathers’.
Kimberley said, “I’ve been helping at legal surgeries at local branches of Families Need Fathers for many years. At the surgeries I can explain the options available to people if they want to separate from their partner or indeed they have separated focussing their concerns regarding the children first and foremost.”
“It’s great to be part of a large team, and I’m looking forward to developing my career at Hegarty LLP.”
Claire Baker originally trained as a nurse, but then decided upon a career change and undertook six years studying to become a solicitor. She obtained a first in Law from Cambridge University. After qualifying as a solicitor, she spent several years at a major law firm in Portsmouth before moving back to the Peterborough area.
Claire specialises in company law and has a great deal of expertise regarding smaller businesses. Claire said, “Clients are often surprised to hear that I changed from nursing to law, but I feel it is a benefit that I’ve gained skills and experience in a different sector.“
“I think it’s important that a company solicitor does not only give legal advice, but can also provide practical assistance to clients to help them drive their businesses forward. One of the hardest aspects of starting a business is when you lack the experience and knowledge of dealing with other businesses, especially with bigger players. I can help a company to have the right terms & conditions to protect their business and put them in a stronger position for your business to succeed.”
Partner, and Head of the Company department, Andrew Heeler said, “I am delighted to welcome Claire and Kimberley to the firm. Their experience and specialist legal knowledge in the fields of company and family law will be a valuable addition to Hegarty LLP.”
|
|
|
|
EMPLOYMENT TRIBUNALS INCREASE BY 15 PER CENT
Latest statistics from the Employment Tribunal Service released this month showed that the number of claims has increased by 15 per cent says Peterborough law firm Hegarty LLP.
The statistics relate to the period April 2006 to March 2007 and show that the number of cases brought before the tribunal has increased from 115,039 in 2005/6 to 132,577 in 2006/7.
Employment Partner Martin Bloom explained, “I think the 15 per cent increase should be regarded with some caution. The increase is thought to be largely attributed is to a large number of local authority equal pay claims.”
“However, it still illustrates that many people are still deciding to bring a claim against their employers. Organisations need to protect themselves by having in place written contacts and being fully up to date with the latest employment legislation.”
According to the statistics unfair dismissal is the most common reason for bringing a claim with the average compensation awarded by a tribunal in an unfair dismissal case being £7,974.
Age discrimination was one the major changes to employment law when it came into effect in October 2006. The report shows that there have been 972 age discrimination claims passed in that period.
Mr Bloom commented, “Complying with the age discrimination legislation meant a great deal of work for those involved in HR. I suspect that many HR professionals were concerned that there might be avalanche of age discrimination claims. It remains to be seen if that is the case.”
“It should be remembered that as age discrimination came into force in October 2006, and the statistics are from April 06 to March 07, it only includes six months worth of age discrimination claims. I’m sure the number of age discrimination cases will be higher in next year’s statistics.”
Issued: 04/09/07 |
|
|
|
EASIER TO PROSECUTE COMPANIES FOR MANSLAUGHTER
A new piece of legislation passed this week could make it easier for organisations to be prosecuted for manslaughter.
The long awaited Corporate Manslaughter and Corporate Homicide Bill was passed on 25th July and is expected to come into effect from 6 April 2008. Peterborough law firm Hegarty LLP Solicitors are alerting companies to take heed of this important new law.
Employment Partner Tim Thompson explained, “When we hear the phrase corporate manslaughter people often associate it with disasters such as the Paddington train crash in 1999 where 31 people were killed. This law is also concerned with workers who are killed in the workplace.”
Latest statistics from the Health and Safety Commission suggest that the provisional figure for the number of workers fatally injured in 2006/07 is 241. The construction sector has the highest total of fatal injuries and accounts for 31% of all fatal injuries to workers.
He continued, “Currently it is difficult to prosecute organisations for being responsible for causing death. The law requires a specific person at the organisation to be identified as being grossly negligent, which is obviously very hard to prove, especially at larger organisations. The new legislation no longer requires the identification of a single individual, director or senior manager before the prosecution of a company.”
It will be the company rather than directors who will be held liable for a breach of the duty of care by the firm.
Mr Thompson commented, “Some people feel directors have almost been let off the hook. They think that if directors are not liable then they may feel less committed to promoting a good safety culture at work.”
To convict a company the prosecution must prove that the failure came substantially from ‘senior management’. Senior managers are defined as people who have a key role in the management of the whole or a substantial part of the organisation’s performance.
There was much debate about whether the new law could apply to the death of someone in custody resulting from gross negligence in the prison service or from those controlling police cells. A clause has been included in the Bill so that this part may become operational at a later date.
The new law can impose unlimited fines and can order an organisation to take action to remedy their management failure that led to the death. Also, it can impose a publicity order where the convicted organisation must publicise the details of its conviction and the amount of the fine.
“It should be stressed that the new law does not impose any new obligations on organisations. Those organisations that have a good safety record, and have the relevant procedures in place to comply with their health and safety obligations, should not be overly worried. The new law is not meant to catch companies out, it’s aim is to protect people against organisations that recklessly ignore health and safety regulations,” said Mr Thompson.
“I think it would be wise for all organisations to use the time before April 2008 as an opportunity to review their health and safety procedures, and make any necessary improvements. Let’s hope that by this time next year we shall see an overall rise in safety standards in the workplace, and a reduction in the number of workers fatally injured.”
Issued: 27.07.07 |
| |
|
NEW SOLICITOR JOINS HEGARTY LEGAL TEAM
The legal team at Hegarty Solicitors has been strengthened with the appointment of a new solicitor.
Litigation Solicitor Andrew Hornsby has joined the firm after 13 years with a Peterborough based firm of solicitors.
Andrew, who is based at the Stamford office, will deal primarily with substantial commercial litigation matters, but will also handle Inheritance Act Claims, personal injury and negligence issues.
Andrew commented, “I feel this is a superb opportunity to develop my career at a firm that has an excellent reputation locally. My previous experience and understanding of the region will I hope be an asset to Hegarty Solicitors.”
Andrew attended Kings School in Peterborough, then studied law at De montfort University and qualified as a solicitor in 1996.
He is a member of many organisations including the Law Society’s Personal Injury Panel, College of Personal Injury Law, Spinal Injuries Association and Association of Personal Injury Lawyers.
Andrew has been involved with a number of High Court matters that were reported in the legal press. One of these cases is still the current precedent for the assessment of damages where the loss occurred overseas.
Away from work Andrew was until recently been appointed a governor of the Peterborough College of Adult Education. He is also a keen cricketer and has recently taken up golf.
Partner Matthew Sidebottom, head of Litigation, said, “We are delighted that Andrew, who is already highly regarded locally, has decided to join Hegarty Solicitors. I am certain that with his enthusiasm, experience and specialist litigation knowledge he will make a valuable contribution to the firm.” |
|
|
|
INHERITANCE TAX CONCERN OVER RECENT RULING
The ruling in a recent case is causing concern for many couples that have set up Nil-Rate Band Discretionary Trusts in their Wills to help minimise inheritance tax on their estate. Couples are being recommended to take professional legal advice to check whether their tax planning steps need to be modified in light of the case.
Inheritance tax is payable at 40 per cent on chargeable estates worth more than £300,000. As property prices continue to rise, more estates are becoming liable so couples often look into tax-planning options to minimise inheritance tax.
In this case, Dr Phizackerley and his wife had bought their property as joint tenants in 1992 and later changed this to tenants in common so that they could each set up a discretionary trust under their Wills. When the wife died in 2000, her share of the property, then valued at £150,000, was transferred to Dr Phizackerley subject to him owing £150,000 to the trust.
When Dr Phizackerley died two years later, H.M. Revenue & Customs claimed that the debt owing to the trustees was not a deduction in Dr Phizackerley’s estate thus increasing the tax bill by £60,000 (40 per cent of £150,000).
The Revenue disallowed the debt in Dr Phizackerley’s estate as they claimed that as Mrs Phizackerely had not worked or contributed to the purchase of the property her husband had ‘given’ her a share of the property. The Revenue considered the arrangement was caught by an anti avoidance provision.
The Special Commissioners, who handle disputes between the Revenue and taxpayers, found in favour of the Revenue.
Greg Baker, a partner at city firm Hegarty Solicitors, has received many enquiries from clients anxious that the ruling will threaten their tax planning measures.
Mr Baker commented, “If you have already set up a Nil Rate Band Discretionary Trust in your Will and it is planned to use the debt arrangement then, if there has been a substantial gift to or from your spouse or civil partner, you should review your Wills to see if there are any revisions needed.”
“However, in our view where married couples or civil partners want to minimise the burden of Inheritance Tax and the major asset is the home it is likely that the creation of a Nil-Rate Band Discretionary Trust with a debt facility will remain the preferred option. It is, however, important that the arrangements are both set up and administered correctly.”
“The ruling highlights that H.M. Revenue & Customs are actively targeting inheritance tax planning methods. When considering tax-planning, appropriate professional advice should always be sought and arrangements made should be reviewed regularly. The cost of a review may be a couple of hundred pounds, but could save your estate thousands.”
|
|
|
|
RECORD ATTENDANCE AT ANNUAL PLANNING CONFERENCE
Over 120 delegates recently attended the 5th annual planning conference organised jointly by Hegarty LLP Solicitors and John Martin & Associates at The Haycock in Wansford to hear two eminent speakers talk on issues relating to planning and the release of land for housing development.
Keith George, Divisional Planning Director of Persimmon Homes Plc, spoke on Planning Gain Supplement (PGS) a proposal for a fixed levy on the enhanced land value after it receives planning permission. He advised that it was the Government’s intention to move forward with this new land tax if, after further consultation, it continues to be deemed workable and effective and PGS will then come into force in 2009. Mr George, who sits on various house building task forces and committees, said that the industry was moving firmly against the implementation of PGS and there was qualified support for an extended role of S106 Agreements
The second speaker was barrister Peter Goatley from No 5 Chambers in Birmingham, who spoke on the change in emphasis in planning for new housing arising from Planning Policy Statement 3 which will come into force on the 1 April 2007. He said that there was much of interest within PPS3 and the emphasis was on “delivery”, in providing sufficient deliverable land, meeting housing need and demand and improving affordability.
Senior Partner Richard Hegarty from Hegarty Solicitors commented, “The PSG will have a major influence on the land supply available for development. I think some landowners may decide to act very quickly before PSG comes into force to avoid paying, but many landowners who have thought about selling will simply keep their land and hope for a change in policy in the future.”
He continued, ”Our audience included local landowners, developers, builders and architects for whom the topics were relevant, and I think that is why we had such a high turnout and the conference was such a success.” |
|
| |
|
|
|
|
