An investigation is underway after the sudden closure of a major law firm last week left thousands of property buyers and sellers unable to complete transactions.
Sheffield-based PM Law, which operates several firms across Yorkshire, Cumbria, Berkshire, Derbyshire and Kent, shut without warning. The group specialises in conveyancing alongside other legal services.
The Solicitors Regulation Authority (SRA) was forced to intervene in the group of firms, giving it control over client files and funds and allowing it to close the businesses with immediate effect. PM Law has been approached for comment.
The regulator said the intervention enables it to take possession of all documents and money held by the firms, including client funds.
SRA chief executive Sarah Rapson said: “We have acted quickly and decisively to protect the interests of clients.
“I fully sympathise with the clients of the firm [following SRA’s closure]. Many of those involved are buying and selling a house or dealing with personal injury claims. These matters can be stressful enough without the added complication of your solicitor’s firm closing during the process.”
PM Law’s website states the group employed more than 600 staff across brands including Proddow Mackay, Butterworths Solicitors, WB Pennine Solicitors and Angela Viney Conveyancing Services.
Several employees said they arrived at work last week to find a notice on the door stating the firms could no longer operate due to “regulatory matters”.
The sudden closure of the company has seriously affected people’s lives, but there is advice out that you may wish to share with your clients.
Kate Faulkner, founder of PropertyChecklists.co.uk, said: “For all those affected by the closure, this will be very stressful. However, it’s important for all buyers and sellers to know that a conveyancing company’s closure is rare. On the occasion it happens, the regulator and home moving industry act very quickly to mitigate what’shappened and support buyers and sellers to continue to with their move.
“The firm is now being investigated by its regulator, the Solicitors Regulation Authority. While this is upsetting and worrying, there is a clear process in place to protect clients and their money and to help them continue their purchase or sale.”
Faulkner has shared the guide below which explains what buyers and sellers can do next.
For anyone who was using PM Law Group:
+ For more information about what you can do and who to contact, visit: https://www.sra.org.uk/news/news/pm-law-clients/ and https://www.gordonsllp.com/pmlaw
+ The SRA, working with its intervention agent (another solicitor firm contracted to carry out work on this issue), will:
- Help you access your paperwork
- Work out what has happened to any money you paid
- Decide whether funds can be refunded or paid on to their original purpose (for example, a lender or a property purchase)
- This process will take time, but it is the safest way to sort things out properly.
The intervention agents will prioritise trying to identify and contact clients with the most urgent or imminent matters. Where such cases are identified, they will attempt to contact clients to advise of the need to instruct another conveyancing lawyer to progress the work.
In some exceptional circumstances where there is no time for this to happen — for example if a client is due to complete on a house sale or purchase within a few days of the intervention—the intervention agent may, at their discretion, be able to act on the clients behalf on an emergency basis.
What happens to my money?
Any money in the firm’s bank accounts at the time of intervention will be held by the SRA in its Statutory Trust Fund while it finds out who it belongs to. Once it has completed that process, it will look to return money to its owners.
If a solicitor/conveyancer was holding your money and the SRA is not able to return it to you, for example if it has gone missing, you may be able to make an application to its compensation fund. This is a discretionary fund with set criteria for making a claim and the SRA will need to prioritise dealing with urgent claims soonest.
Gordons LLP has been appointed intervention agent. The names of firms affected are:
PM Law Limited
Proddow Mackay Limited
3M Law Limited
Linkfield Claims Service Limited
Butterworths Solicitors LLP
Autonet Law LLP
Proddow Mackay (Conveyancing) Limited
WB Pennine Solicitors LLP
Proddow Mackay Solicitors LLP
PM Law (Specialist Claims) Limited
PM Property Lawyers Limited
Additional trading names
Abraxas Law
All Your Accidents
Angela Viney Conveyancing Services
Complete Property Deal
Barrett and Co Solicitors
BB Conveyancing
Bridgeview law
DAzur Law
Deborah J Hoban Law
GN Law
Gaddes Noble Law
Gaddes Noble Property Lawyers
Gaines & Wilkinson Ltd
HGA Conveyancing
John M Lewis & Co Ltd
JK Advokatas
KB Property Law
Lexelle Assist
Litkraft Solicitors
Litkraft Conveyancing
Lloyd Green Solicitors
PLA Law Limited
PM Legal Services
PM Property Lawyers
Proddowmackay.law
Proddow Mackay (Conveyancing) Limited
Valerie Holmes Law
Valerie Holmes Property Lawyer
Wilsons Solicitors
Read the orginal article: https://propertyindustryeye.com/firms-sudden-closure-leaves-thousands-of-property-buyers-and-sellers-stranded/?utm_source=rss&utm_medium=rss&utm_campaign=firms-sudden-closure-leaves-thousands-of-property-buyers-and-sellers-stranded
