subject: Conveyancers Urged To Change If They Wish To Withstand Recession [print this page] Conveyancing solicitors have been warned by the Law Society, that they must consider radical changes if they are to survive during the financial downturn.
The organisation has urged the sector to increase their liability if they are to ensure their sustainable commercial role in the property market.
Chief executive Des Hudson, from the group, questioned whether the market would continue to pay lawyers rates for work related to the transfer of title.
Hudson told delegates at the Societys property section conference: Were looking at what [we] can do to create a sustainable commercial role for conveyancing solicitors in the rapidly changing climate of the 21st century property market.
One option, he suggested, might be for solicitors to take on more liability by increasing the role they played in certain due diligence aspects of the conveyancing process, which he said would make them vital to the Land Registry and to lenders.
He furthered: There is a lack of clarity regarding a solicitors duties to the Land Registry and others in respect of identification and other conveyancing issues. It seems to me that this a need the market wants to see addressed.
Rather than simply assume we do not want to increase our liability, one option would be for solicitors to take on a greater role in these aspects of the process, he stated.
Hudson noted that it was a difficult task, which would require detailed consideration and planning: It is clear however that taking on additional risk cannot be considered without appropriate compensation.
He said the Society, which has just published the findings of its consultation on improving the homebuying process, is also looking into whether there should be separate representation for buyers and lenders.
Further improvements needed
It has also been revealed that solicitors have made it crystal clear that they are keen to help conveyancers improve the system.
The consultation also revealed vast support for revision of the existing TransAction conveyancing protocol and the introduction of a new protocol.
These changes will probably witness dramatic improvements within the industry and reforms to the conveyancing process.
The target is to establish ways to improve the process to benefit buyers and sellers. It asked whether there were significant changes needed to the role of solicitors or to the duties of buyers and sellers.
It also asked whether there was support for a scheme to assist solicitors achieve higher standards of service.
The Society is suggesting that refreshing its highly regarded and well established protocol and forms into a bespoke membership scheme would meet the modern requirements of consumers.
More than fifty five individuals, organisations and firms supported the idea.
Paul Marsh, lead Law Society spokesperson on property issues, said: The professional integrity and legal skills which solicitors traditionally bring to the housing market are just as key now as they have always been and probably more important than ever.
Also the professions unique ability to embrace change means that our traditional values can be used to bring improvements to the process, he stated.
