herts law society gazette issue 28

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issue 28 Autumn 2015 Hertfordshire Law Society Gazette Also this issue: Graham Spittle kicks off the festivities at Hatfield House - pp. 9-11 • Damned if You Do & Damned if You Don’t - Section 98(2) Children Act 1989 • Private Client Changes in the Budget • Can Crime Still Pay? • and much more... Time Gentlemen, please!

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Page 1: Herts Law Society Gazette issue 28

issue 28 Autumn 2015 Hertfordshire Law Society Gazette

Also this issue:

Graham Spittle kicks off the festivities at Hatfield House - pp. 9-11

• Damned if You Do & Damned if You Don’t - Section 98(2) Children Act 1989• Private Client Changes in the Budget • Can Crime Still Pay?• and much more...

Time Gentlemen, please!

Page 2: Herts Law Society Gazette issue 28
Page 3: Herts Law Society Gazette issue 28

Hertfordshire Law Society Gazette

issue 28 Autumn 2015

Contents

Contents

http://www.hertslawsoc.org.uk/

DISCLAIMER: the views expressed by the writers in this magazine are not necessarily those of the Hertfordshire Law Society

3 ▲

Published by: EAST PARK COMMUNICATIONS Ltd.Maritime House, Balls Road, Birkenhead, Wirral CH43 5RETel: 0151 651 2776

[email protected] CastellManaging EditorJudie Caunce

MarketingDenise Challener

DesignDavid CoffeyEast Park Studio

AccountsManoj Ahmed

Media No: 1160

Published: September 2015

Legal Notice© East Park Communications Ltd.None of the editorial or photographs may be reproduced without prior written permission from the publishers. East Park Communications

Ltd would like to point out that all editorial comment and articles are the responsibility of the originators and may or may not reflect the opinions of East Park Communications Ltd. Correct at time of going to press.

4 Council Members for 2015

4 Editor’s Comment

5 From the President

6 Damned if You Do...

8 Can Crime Still Pay?

9 Annual Dinner 2015

12 AGM Notice

13 Private Client Changes

and the Budget

14 A seller’s response always needs

expert opinion

16 LSSA's Conveyancing Portal

17 Diversity Access Scheme

18 Drainage and Water

22 Law Society Warning

26 DX Celebrate 40 Years at the top!

29 Taking AIM at Inheritance Tax

30 Book Review

Page 4: Herts Law Society Gazette issue 28

Hertfordshire Law Society Gazette

Council Listings

Council Members 2015 (until 31 December 2015)

▲ 4

PresidentRichard AtkinsTaylor Walton(Harpenden)Property

Vice PresidentClaire SharpDebenhams Ottaway(St Albans)Private Client

Hon Secretary and TreasurerLaura ColvilleDebenhams Ottaway(St Albans)Private Client

Immediate Past PresidentJeremy Chandler-SmithJCS Solicitors(Hitchin)Sole Practitioner

Members Robert BedfordMachins Solicitors LLP(Luton)Employment

Nicholas BelcherNockolds Solicitors Limited(Bishop's Stortford) Agricultural and Liquor & Gaming Licensing

David BirdCrane & Staples(Welwyn Garden City) Private Client & Trusts

Penny CareyUniversity of Hertfordshire(Hatfield)Academic

Charles DuchenneDuchennes(Bedford) Litigation

Judith Gower Hertfordshire County Council (Hertford)Local Government

Stephen HalloranLawtons Solicitors Ltd (Hatfield) Crime

Ginny HarrisonGinny Harrison Legal Limited(St Albans)Employment

Aileen Hartnett Taylor Walton LLP (Harpenden) Family

Attia HussainCrane & Staples(Welwyn Garden City) Family

Gary SmithNockolds Solicitors Limited(Bishop's Stortford) Commercial

Amanda Thurston Curwens(Hoddesdon)Family

Samantha WorthTees Law(Bishop’s Stortford)Commercial National Council Member Paul DaviesHamilton Davies(Stevenage) Employment, Family and Litigation

Law Society Eastern Regional Manager

Anna Donovan

Parliamentary Liaison OfficerJudith GowerHertfordshire County Council(Hertford)Local Government and Criminal Administrator & Membership Secretary Judie Caunce, Enterprise House,5, Roundwood Lane, Harpenden AL5 3BWTel: 01582 765006E-mail: [email protected]

Firstly, although this is our autumn edition, I would like to thank all of

you who contributed to the success of the Society’s annual dinner in June. It was a really enjoyable evening, and based on your feedback (including “the best annual dinner for some time”), we have already booked

Hatfield House for next year on Thursday 9 June. Please also see a report and photos of the evening on pages 9-11.

May I take this opportunity to thank our sponsors for their generous support of the evening: Property Search Group (PSG), AON Risk Solutions and Lexis Nexis. The Society really cannot run an event of this scale without their support.

In this EditionIn the President’s report on the next page, Richard has

focused on the need for a revised programme of training for members in the light of changes in CPD requirements. We welcome your input to help us to develop a programme of events for the coming year that meets the needs of members. Please send your comments to Richard ([email protected]) or to me ([email protected])

“Damned if you Do, Damned if You Don’t” on page 6. Council Member Attia Hussain highlights the concerns of family lawyers in advising clients to respond to requests for information without being able to assure them that this evidence will not be used elsewhere.

Thank you also to the young lawyers who have stepped up to the plate for this quarter’s magazine; to Sophie Boxall,

trainee at Debenhams Ottaway, who has written a really helpful summary of the impact of the budget for private clients; and to Dominic Green, graduate from Hertfordshire University where he has also recently completed his LPC, who gives an encouraging viewpoint of a determined next generation lawyer entering the legal profession in troubled times.

Dates for your DiarySt Albans District Supper - Thursday 29 October A popular informal evening in St Albans, it is an excellent opportunity to meet other solicitors in your area and the representatives of your HLS Council. More details will be sent to all members by email shortly. To register your interest or for further information contact: Claire Sharp [email protected] or Laura Colville [email protected] HLS Annual General Meeting - Tuesday 24 November For further details please see the Agenda in the AGM Notice on page 12.Annual Dinner – Hatfield House – Thursday 9 June 2016

Do please let me know about events for the first quarter of 2016 that you would like to share with members in our Winter magazine.

Judie CaunceAdministrator & Membership SecretaryEnterprise House, 5 Roundwood LaneHarpenden, Herts AL5 3BW

T: 01582 765006 M: 07775 652578E: [email protected] or [email protected]

From the Editor

Page 5: Herts Law Society Gazette issue 28

http://www.hertslawsoc.org.uk/

CPD CHANGES

Members will be aware of significant changes in the training

requirements which the profession is undergoing. The primary reason for this change in approach is the

introduction of the new competence based CPD regime, which replaces the present arrangement of 16 CPD hours per year.

The new approach requires solicitors to determine the learning and development that they need to ensure that they deliver a competent legal service. They will need to demonstrate that learning and development has been considered and appropriate steps taken to ensure a proper standard of service for clients. This is all part of ensuring that solicitors comply with Principle 5 of the SRA Code of Conduct 2011 and the requirement to provide a proper standard of service by:

1. Reflecting on the quality of their practice by reference to our proposed Competence Statement for solicitors and addressing identified learning and development needs.

2. Making an annual declaration that they have considered their training needs and taken measures to maintain their competence.

3. Removing the current requirement that solicitors must undertake 16 hours of CPD annually.

Training for Local Law SocietiesTraditionally, local Law Societies have offered CPD

training to their members in a variety of formats. These changes have encouraged local Law Societies to consider their options and rethink the way that they deliver training to their members.

As a Society, we have discussed various possibilities going forward, of offering members practical relevant and cost effective training. The consensus that has been reached is that we need to organise perhaps three or four carefully-targeted, low-cost courses each year and that the topics should be of general interest – to include “soft skills”, law firm management, marketing, regulatory matters.

Going Forward Talking to Hertfordshire Law Society members, it

became apparent that different practice areas have different needs; in some practice areas there is a lot of change. In others there is little change. It is clear, for example, that a number of practice areas are already well served by external CPD courses, and to duplicate this would be counter-productive. Equally, some practice areas feel that a general update on an annual basis would be valuable.

We are therefore exploring a number of options and speakers to meet these needs. These include

approaching barristers’ chambers, liaising with third party organisations regarding possible sponsorship of our training programme and, thirdly, seeking speakers from within member firms.

Initially, we are looking to run some trial courses with the help of Nick Wild and Property Search Group (PSG) who have been one of our generous sponsors for our annual dinner for the last two years. PSG are a national provider of search services to solicitors and have agreed to provide training support to the Society under the new CPD regime.

We very much value our continuing association with Hertfordshire University and will continue to work closely with them. We are extremely grateful for the first class facilities which are offered by the University at the Hatfield Campus and their support in hosting and administering our meetings and seminars.

Meeting Your NeedsAs you will appreciate, these are early days and

we want to make sure that the training programme we deliver meets the needs of members. For this reason, I would very much welcome your thoughts and comments as to what you feel would be of most benefit to you in adapting to the new competence-based regime.

I firmly believe that the Society has a significant part to play in supporting its members in this area but clearly we have to react to changing circumstances and, equally, we need to be aware of the financial implications of any programme that we put together. As I say, we are very much committed to finding the best programme that we can offer to members. We will, of course, explore all options which are available to us including, for example, on-line resources such as webinars. Equally, the feedback I have received is that members very much appreciate the opportunity to meet each other face to face and CPD training events offer members that opportunity.

It is envisaged, therefore, that, initially at least, we will develop a programme of face to face training meetings / seminars, and this will likely take place in the early evening – thus allowing members the opportunity to attend a training event and to meet socially.

In conclusion, I believe that the new CPD competence-based regime offers exciting opportunities for the Society to support our members and to develop a variety of training courses which give far greater flexibility and deliver relevant training for all members.

Richard Atkins President; Hertfordshire Law Society

5 ▲

From the President

Editorial

Page 6: Herts Law Society Gazette issue 28

Editorial Featured Article

Hertfordshire Law Society Gazette▲ 6

Many family lawyers may

have noticed that there appears to be a steady increase in the Police seeking disclosure of Judgments and

evidence given in family proceedings by (mainly) parents.

Family practitioners are having to advise clients in Family Proceedings that if they respond to requests for information/give an account, there is no guarantee that that information will not go elsewhere e.g. to a Police Constabulary if they seek it. Nonetheless, clients are informed that this must not prevent them being able to give evidence as fully as they can - and give evidence they must, otherwise they can potentially be held in contempt of court.

Potential RepercussionsSadly, it appears that s.98(2) of the

Children Act no longer offers family practitioners the confidence it once did that their client’s evidence will not be used for anything other than where they have committed perjury. As a reminder of what the section states:

“s.98 Self-incrimination.

(1)In any proceedings in which a court is hearing an application for an order under Part IV or V, no person shall be excused from—

(a)giving evidence on any matter; or (b)answering any question put to him in

the course of his giving evidence, on the ground that doing so might

incriminate him or his spouse [or civil partner] of an offence.

(2)A statement or admission made in such proceedings shall not be admissible in evidence against the person making it or his spouse [or civil partner] in proceedings for an offence other than perjury.”

There must be real concern that s.98(2) CA 1989 is being eroded, as parents may not feel able to give the Family Court a full and frank account, even if they have been advised to do so, particularly if they are worried they will not be protected from the repercussions of doing so.

The 2005 Family Procedure Rules

could now be pointed to as an intention to allow disclosure more widely and this can be seen in 2010 Rules, specifically Practice Direction 12G (Communication of Information). This allows a party to the proceedings to communicate, for example, with a Police officer the text or summary of the whole or part of a judgment given in the proceedings for the purpose of a criminal investigation.

The Police could argue that any party (including a Local Authority) is entitled to communicate the text of a judgment, to a police officer for the purpose of a criminal investigation, with the direction of the Court (Please see Practice Direction 12G, [2.1]).

Inconsistent StatementsMore often than not, the Police apply

to have sight of the documents in Family Proceedings, and while they may have sight of it, one must question their motive for doing so e.g. seeking inconsistent statements as outlined below, and as a reminder s.98(2) clearly sets out “A statement or admission made in such proceedings shall not be admissible in evidence against the person making it or his spouse [or civil partner] in proceedings for an offence other than perjury.”

The Police usually seek disclosure in order to consider whether or not to pursue Criminal Proceedings or to use it in ongoing Criminal Proceedings. While they can see the disclosure, they have to apply quite separately for it to be adduced as admissible evidence in Criminal Proceedings.

Family practitioners should be aware that the police and CPS are likely to be interested in ‘inconsistent statements’. What does this mean? s.119 of the Criminal Justice Act 1989 states:

“s. 119 Inconsistent statements(1)If in criminal proceedings a person gives

oral evidence and— (a)he admits making a previous inconsistent

statement, or (b)a previous inconsistent statement made

by him is proved by virtue of section 3, 4 or 5 of the Criminal Procedure Act 1865 (c. 18), the statement is admissible as evidence of any matter stated of which oral evidence by him

would be admissible. (2)If in criminal proceedings evidence of an

inconsistent statement by any person is given under section 124(2)(c), the statement is admissible as evidence of any matter stated in it of which oral evidence by that person would be admissible.”

Protection for the Individual Essentially, the risk is that there is no

protection for the individual concerned and evidence he/she gives in Family Proceedings could be put to them in Criminal proceedings, on the basis of previous ‘inconsistent statements’ in family proceedings (Re X and Y [2014] EWHC 278 (Fam).

What ‘inconsistent statement’ means can be widely interpreted, and Family clients should be asked to speak with their Criminal solicitors about the meaning of this – for example, does giving a no comment police interview but giving a statement of account in Family Proceedings count as an inconsistent statement?

Conflict with Criminal Practitioners? There has to be real sympathy for

the Criminal practitioners who would advise their clients that it is better they say nothing in the Family Proceedings - their role is of course to protect their clients’ liberty, and this will likely come into conflict with the advice Family practitioner’s will be giving.

It is important that Family practitioners, to complement the advice they already give about s.98(2), do start asking the Judiciary to give their client/s a warning as to s 98, which should outline there is no guarantee, for example, that a transcript of their evidence and Judgment will not be disclosed to the Police.

Whilst the chipping away of s.98 cannot be prevented, Family practitioners should certainly be raising objection to blanket disclosure, and the Police should be asked to confirm the purpose for which material is being sought.

Attia Hussain is a Family and Children Law Specialist at Crane & Staples Solicitors, discusses the issue of disclosure

[email protected]

Section 98(2) Children Act 1989 - Damned if You Do and Damned if You Don’t

Page 7: Herts Law Society Gazette issue 28
Page 8: Herts Law Society Gazette issue 28

Editorial Featured Article

Hertfordshire Law Society Gazette▲ 8

Dominic Green is a member of the Hertfordshire Law Society – Junior

Division. He has just completed his LPC with a distinction at the University of Hertfordshire where he also obtained his degree. He now begins his search to join

the legal profession as a solicitor to complement his work experience gained before completing the LPC.

IntroductionIn June, the Ministry of Justice announced a further 8.75%

cut in legal aid within the criminal legal system. This has led to much discussion, and even protest amongst those within the legal profession, who claim that such further cuts are simply unsustainable. The Law Society raised their concerns in the House of Lords Secondary Legislation Scrutiny Committee and barristers were prompted to withdraw labour for the first time in history.

Access to JusticeThis all makes grim reading for those who are either already

a member of the legal profession or for those who are looking to break into this particular sector. So with undoubtedly turbulent times ahead, is the legal aid sector still a rewarding area of practice to be a part of?

There is certainly much concern throughout the profession, with the Law Society continually reviewing its options, even after Lord Dyson of the Supreme Court claimed there was an “air of unreality” about the chances of an appeal from the Law Society.

That these are tough times for the criminal legal profession is more than an understatement. However, I think it would also be an overreaction to say, as some are, that this could be the end of justice available for everyone. We are still a democratic and just society, and we will continue to be. Justice may not be as easily or freely accessible but surely we are a long way from a situation where people, who simply cannot afford or are otherwise unable to defend themselves, are denied legal aid?

DiversificationIn 2013/14, there were 1,600,765 civil legal aid cases - a

drop of 504,856 cases from the previous year. Compare that to 1,320,320 criminal legal aid cases - a drop of just 41,710 compared to the previous year before. These figures do offer some hope to people looking to break into this sector of the profession.

The new cuts may mean firms might have to diversify into new types of practice, or change the way in which they

currently tender for contracts. But in a recovering economic climate no business is safe from having to diversify to prosper.

The Next Generation of Lawyers So, whilst prospective trainees may seem disheartened

by these further cuts in terms of employment prospects, there will always be ways to emerge as a vital addition to potential employers. Prospective candidates will need to be diverse in the skills they can offer by adding their commercial experience to the mix.

To be able to contribute transferable skills from outside of the legal sphere may offer hope to those candidates who may not necessarily come with a wealth of legal work experience – for example a background in sales and marketing or management experience.

Dominic [email protected]

The Future of Legal Aid: Can Crime Still Pay?

Page 9: Herts Law Society Gazette issue 28

Social Events

When not wearing my Hertfordshire Law Society Administrator’s hat, I am a business event organiser,

so it was a great pleasure to work on the Annual Dinner on 18 June. The Society was delighted to welcome over 130 guests to dinner this year, and to have Andrew Caplen as the guest speaker – particularly as it was his last social event before handing over the presidential reins to Jonathan Smithers in July.

Although I can organise most things, I had no control over the weather so we were fortunate to have had a glorious evening which allowed us to start the event with drinks in the pretty gardens. Responding to Graham Spittle’s ringing bell to announce dinner, guests then made their way to the Old Palace. Assembled guests stood to greet VIPs and top table guests who “walked in procession” to their seats and President, Richard Atkins then gave a short welcome to all guests before saying grace, and dinner began.

After the formal speeches and toasts, Richard Atkins announced the winners of the Charity Prize Draw in support of Macmillan Cancer Support. By making a donation to Macmillan in the little table envelopes, guests were in with a chance to win a special “activity” prize which included a helicopter flight for two, a champagne balloon flight, and a driving experience in an Aston Martin Vantage. The formalities now over, guests were entertained by the excellent “Five Star Swing” band.

The President’s Charity Prize DrawOn receiving the cheque for £1,018 from Hertfordshire Law

Society, Sue Hobley, Chairman of the Macmillan Cancer Support Harpenden Fundraising Group, added, “The local fundraising group enjoys putting on a range of fundraising events throughout the year but Macmillan needs and welcomes additional support from local businesses to help raise much needed funds for them to support more people living with cancer, and their families. We are therefore grateful to Hertfordshire Law Society for their generous support.”

On the following pages are some photographs of the event which I hope are a pleasant reminder for those of you who were at the dinner this year, and / or an encouragement to those who might like to attend the Society’s Summer Dinner at Hatfield House next year.

Judie CaunceAdministrator

http://www.hertslawsoc.org.uk/ 9 ▲

Annual Dinner 2015 – Hatfield House

HLS President, Richard Atkins, presents a cheque from the Society to Sue Hobley, Chairman of Harpenden Macmillan Fundraising Group

Page 10: Herts Law Society Gazette issue 28

Editorial Social Events

Hertfordshire Law Society Gazette▲ 10

Annual Dinner 2015 @ Hatfield House

Guests enjoy a glass of champagne in the pretty gardens

Alison Voyce, Taylor Walton and guests

Administrator Emeritus, Graham Spittle, calls guests to dinner Andrew Caplen, President of The

Law Society of England and Wales, and Richard Atkins,President of Hertfordshire Law Society process into the Old Palace to take their seats.

Graham Spittle and Mrs Pamela Atkins

Dining in the beautiful surroundings of the Old Palace

Amanda Thurston, Curwens

Dermot Carey, Managing Partner, Taylor Walton, and Michael Finch, President, The Beds Bucks & Herts Society of Chartered Accountants

Stephen Halloran, Lawtons and His Honour Judge Wilding

Page 11: Herts Law Society Gazette issue 28

Social Events

http://www.hertslawsoc.org.uk/ 11 ▲

Thank you to our sponsors:

Left to Right Richard Morgan, Tijen Ahmet and Ruth Abrams of SA LAW

Sponsors Lexis Nexis, represented by Kirsty Le Say (L) and Antonia Rickard (Far Right), present a magnum of champagne to delighted prize winner, Matthew Adamson of Debenhams Ottaway

Claire Sharp proposes the toast to “The New Solicitors”

President, Richard Atkins welcomes guests to the dinner

Andrew Caplen entertains diners with light-hearted stories of his time in office RA Savage & Co toast assembled guests

Richard Atkins announces the winner of the balloon ride charity draw prize

Surprised prize winner, past president of Hertfordshire Law Society, Graham White – pictured here with his wife Lesley

After dinner entertainment by

Five Star Swing

Page 12: Herts Law Society Gazette issue 28

Editorial News

Hertfordshire Law Society Gazette▲ 12

AGENDA1. Apologies for absence 2. To confirm the Minutes of the meeting held on

Tuesday 25 November 20143. Matters arising from the minutes 4. To receive the Annual Report of the Society 5. To receive the Accounts for the year ending 31 December 2014

and, in accordance with Rule 6.5 of the Society’s Rules, to fix the subscriptions for the coming year

6. In accordance with Rule 4.2 of the Society’s Rules, to elect the following Officers of the Society for one year from 1 January 2016:

• President • Vice-President • Honorary Secretary • Treasurer 7. In accordance with Rule 4.6 of the Society’s Rules, to elect

new Members to the Council to serve from 1 January 2016. Nominations are invited (nomination forms can be obtained from the Administrator)

8. To agree the date of the next AGM 9. Presentation of the Society’s prize to a second year law

student at the University of Hertfordshire10. Any Other Business

Notice of Herts Law Soc. AGM

Hertfordshire Law Society Gazette

Notice is hereby given that the Annual General Meeting of the above Societywill take place at 6pm,Tuesday 24 November 2015Central Committee Room (1st Floor) The MacLaurin Building, Hertfordshire University, Hatfield, AL10 9EU

Page 13: Herts Law Society Gazette issue 28

Featured Article

http://www.hertslawsoc.org.uk/ 13 ▲

The highly anticipated all Conservative summer budget began with a very

optimistic George Osborne claiming ‘Britain is walking tall again’. However, from a private client perspective, it may feel more of a let-down with pension allowances being reduced, dividend tax increased, trust rules tightened and the

nil-rate band being frozen at £325,000.

However, it was not all bad news. The nil-rate band may be frozen but the government is introducing an additional nil-rate band in relation to an individual’s main residence. Personal income tax allowances continue to rise and ISA allowances can be passed to spouses on death.

Throughout George Osborne’s speech he also discussed the Government’s move to crack down on tax avoidance and, as part of that, they will be conducting a review of the use of the popular deeds of variation.

Private client lawyers will need to be prepared for all your clients’ queries and concerns arising from the budget’s announcements, including putting them straight on some of the tabloid’s misleading reports.

Inheritance TaxInheritance Tax is always widely talked about, and this

budget was no exception. Rumour had it before (and after) the budget that the Government was going to introduce a £1m nil-rate band. Instead, the Government froze the nil-rate band at £325,000 until at least April 2021.

However, the Government did announce new plans in an attempt to keep a little more of a person’s hard earned wealth and property within their family. Mr Osborne announced the introduction of an additional main residence nil-rate band which can be utilised when a residence is passed on death to direct descendants. The additional nil-rate band will be £100,000 in 2017 and will increase by £25,000 each year until it reaches £175,000 in 2021; thereafter, it will increase in line with CPI and any of the unused nil-rate band can be transferred to a surviving spouse.

Private clients will also be pleased to know that the main residence nil-rate band will also be available when a person downsizes or ceases to own a home (after 8th July 2015) and their assets of an equivalent value are passed on death to direct descendants. However, there will be a withdrawal of the additional nil-rate band for estates with a net value of more than £2m at a rate of £1 for every £2 over the threshold.

Income TaxSome more good news for the private client is that the personal

allowance will increase from £10,600 to £11,000 from April 2016 and increase further to £11,200 from April 2017. The amount people have to earn before they pay higher rate tax (40%) will increase from current level of £42,385 to £43,000 in 2016.

Dividend TaxFurther unexpected changes included the government’s

announcement of a simpler dividend tax system that will result in those with significant dividend income paying considerably more tax. There will be a £5,000 tax-free dividend allowance which will replace the current dividend tax credit from April 2016. Although the wealthier private clients will not welcome this new plan with open arms, the government hopes that it will result in tax cuts for investors with modest income from shares.

PensionsMore bad news for the wealthier client is that the annual

allowance for pensions has been reduced for the top earners. From April 2016, the tax-free amount people with an income of more than £150,000 can pay into a pension each year will face a tapered reduction of £1 for every £2 that the individual’s income exceeds £150,000. The maximum reduction will be £30,000.

From April 2016, the lifetime pension allowance will be reduced to £1m and will be annually indexed in line with CPI from April 2018.

ISAsThe government has introduced an “additional permitted

subscription” in relation to ISAs that many private clients are still unaware of. This allows a surviving spouse to claim the deceased spouse’s ISA allowance as of the date of death and retain the tax free shelter for themselves.

TrustsFor some time the government has sought to target tax

avoidance through trusts. As part of this ongoing plan, the government clarified some of the new rules in connection with the use of multiple trusts and have simplified the calculation of tax charges on trusts. In particular, the rules prevent the use of pilot trusts to claim multiple nil-rate bands at the 10 year anniversary by restricting the allowance to a single nil-rate band.

Non-DomsLast but not least, the other important announcement for

private clients is that the government will legislate that from April 2017, inheritance tax is payable on all UK residential property owned by non-domiciles, regardless of their residence status.

From April 2017, any individual who has been resident in the UK for 15 years of the last 20 years will be considered domiciled in the UK for all tax purposes.

This summary, albeit brief, will hopefully have shed some light on the important private client changes announced in this summer’s budget.

Sophie Boxall is a first year Trainee Solicitor at Debenhams Ottaway

[email protected]

Summary of Private Client Changes in the Summer Budget 2015

Page 14: Herts Law Society Gazette issue 28

Editorial Advertorial

Hertfordshire Law Society Gazette▲ 14

A recent high court judgment underlines the clear need for homebuyers to undertake far deeper due diligence through

their conveyancer to test sellers’ responses contained in the Sellers Property Information Report (SPIF)

It was thought that a seller would be bound by their representations if made during the course of a conveyance. However in the recent case of Thorp and another v Abbotts and another [2015] the High Court has dismissed a claim of misrepresentation.

In 2010, the Abbotts sold their house to the Thorps for £625,000. After the purchase, the Thorps were made aware of proposals for large scale developments in the area. These proposals dated back to before they purchased the property when it was still owned by the Abbotts, although these proposals were not set in stone at this stage.

In that case the seller completed the Sellers Property Information Form (SPIF) and did not provide information about a proposed development which was to take place near his home. The seller attended meetings and received a public notice, despite these meetings and notices the seller stated he had received no notice or was aware of matters affecting the property.

This was thought to create a negligent or at its highest a fraudulent misrepresentation. An inaccurate pre-contract statement may entitle the buyer to bring a claim for misrepresentation or negligent misstatement. The misrepresentation may be fraudulent, negligent, or innocent, depending on the seller’s state of knowledge at the time of the representation.

However, the High Court ruled that the seller was under no duty to disclose information about speculative development. Furthermore the proposed development had nothing to do with the property being sold nor did it affect a neighbouring property.

The case was accordingly found in favour of the defendant and dismissed.

Tread carefully and investigate further

The first presumption with any property purchase is, of course, ‘caveat emptor’ – buyer beware. The questions on the SPIF are intended to be understood by anyone and unambiguous.

But this does not mean that the buyer is automatically protected by an answer. With planning applications, such as large scale developments, the potential future impacts can be far reaching and affect life beyond the boundaries – such as traffic, noise and air pollution, loss of views, etc.

DevAssist exists to support conveyancers and their home buying clients make informed decisions on whether land use changes and potential new developments could affect the value of their asset.

We have reduced the risk for many firms of possible litigation through clear and expert opinion on the local planning regime, ahead of exchange. We go far further than relying on the SPIF or traditional planning searches by viewing land through a developer’s eye.

For more information on the DevAssist range and other products and services from PSG:E: [email protected] Tel: 01707 386 101

To contact Paul Addison and the team at DevAssist email: [email protected]

A seller’s response always needs expert opinion In association with

Paul Addison is Managing Director at DevAssist and has been involved in the residential housing industry for more than 25 years.

Page 15: Herts Law Society Gazette issue 28
Page 16: Herts Law Society Gazette issue 28

Editorial Advertorial

FR E E 2 C O N V E Y c o n n e c t s

all parties in a property chain and is developed and backed by the Legal Software Suppliers Association

The LSSA is proud to announce the launch of the Free2Convey conveyancing portal, currently in beta testing and which will go live before the end of 2015. Free2Convey has an easy to view and updated live overview of the Conveyancing Chain View, showing each stage that each person in a conveyancing chain is at and gives visibility to the conveyancing process. This will be freely available to all parties in a chain, regardless of the software package they may be using. Free2Convey also has on Online Virtual Deal Room where parties can upload documents and collaboratively work on material. All work is performed in Microsoft Word (not simply annotating a .pdf as with other systems) with the facility to track and approve/reject changes.

The system has Party Verification whereby users can see the details for each party in the chain in order to verify them and has security features built in to help protect users. Free2Convey is a more secure system than unencrypted email or post and is operated on secure UK datacentres. It is free and will remain so.

Free2Convey is backed by the Legal Software Suppliers Association (LSSA), the not-for-profit trade organisation that represents the majority of software suppliers to the UK legal profession. Collectively the LSSA provides software to around 90% of Law firms in the UK and the wealth of experience of supplying these services to this market is unparalleled.

"The LSSA is supporting this industry collaboration to provide a free to use conveyancing portal to all UK conveyancing professionals" comments Matt Lancaster, LSSA Chairman. “We feel that there has been a lot of uncertainty in this area which is damaging to the conveyancing industry so we have collaborated to offer choice to the market. It is the role of the LSSA to advance legal technology in the UK and we see Free2Convey as a perfect example of how we are able to do this. We welcome others in the software industry to join us in this initiative."

Susan Lane, Solicitor, of Cree Godfrey and Wood in London commented: "I liked what I saw with the Free2Convey system, it does everything that I want from an online Conveyancing Portal and won’t cost me a penny to use!”

LSSA companies supporting the Free2Convey initiative include:

Advanced Legal, Easy Convey, Eclipse, LEAP, Linetime, OchreSoft, The Osprey Legal Cloud, Oyez Professional Services, Quill Pinpoint, Redbrick Solutions, Select Legal, Tikit

Other companies are expected and welcome to back the initiative and may do so by contacting the LSSA at [email protected]

The LSSA is hosting four seminars in the next few weeks to demonstrate Free2Convey to interested conveyancers and legal professionals.

Seminar schedule:• Wednesday 23rd September – Hilton Birmingham Metropole• Wednesday 30th September – Hilton Garden Inn Bristol• Wednesday 7th October – Hilton Manchester Deansgate• Wednesday 14th October – Hilton London Hyde Park

Agenda for all seminars• 9:00 coffee/registration for 9:30 start.

Close at 11:00• Introduction to Free2Convey and why

the LSSA has developed it• Live demonstration of Free2Convey• Q&A session• How to request a live set and use the

system To secure your place on one of these

sessions please register at the LSSA website.

About the Legal Software Suppliers Association (LSSA)

The Legal Software Suppliers Association (LSSA) is the UK industry body for legal systems developers and vendors. Representing most of the leading UK suppliers, the LSSA sets and maintains professional standards within the legal software industry, and also manages areas of mutual interest between lawyers and software providers. The LSSA is committed to developing clear channels of communication, so that law firms can gain the maximum benefit from their selected software solutions.

The LSSA provides a highly representative and unified voice for the legal software industry and is therefore best placed to provide a strong focus in establishing standards and cooperation between suppliers, professional bodies, and government organisations. The Association has set up and actively contributes to a number of different working parties and forums, representing and lobbying on behalf of its members with HM Land Registry, HMRC, Court Service and the LAA.

LSSA announces UK’s first free conveyancing portal

Matt Lancaster

Hertfordshire Law Society Gazette▲ 16

Page 17: Herts Law Society Gazette issue 28

We are delighted to announce the eleven awardees of this year's Law Society Diversity Access Scheme

scholarships.

The Law Society Diversity Access Scheme (DAS) aims to improve social mobility in the legal profession by supporting talented, tenacious people who face exceptional social, educational, financial or personal obstacles to qualification as a solicitor. To date the scheme has supported 150 aspiring solicitors to pursue their career ambitions.

In addition to financial assistance to undertake their Legal Practice Course, the scheme offers awardees relevant high quality work experience, a professional mentor and networking opportunities. In 2015, for the first time, the Law Society is supporting one awardee - Claire Lathwell - on a training contract at North Kensington Law Centre and we will be providing a training contract place for a DAS alumni within the Society’s legal team in 2016.

One of this year's Diversity Access Scheme alumni, Nafisa Aden, was separated from her family in Somalia when she fled the civil war aged 13. She arrived in the UK with her uncle and says that:

'the solicitor we had at the time was to me a hero, having persuaded the UK government to give us a permanent right to stay. I believe I was initially drawn to law as a subject to study having seen the real power it had to transform lives, including my own.

'Having survived a civil war, and then starting school much later than most of my peers, as well as adjusting to a new language and country without family support, I really doubted if someone like me could join the profession I so admired.

'When I was an undergraduate, I found human rights and EU law most interesting. But I've also worked in a firm that specialises in family and immigration law which were very interesting in practice. If I end up in any of those areas, I think I'll be very pleased.

'The Diversity Access Scheme has enabled me to pass a financial hurdle that would have ended my ambition not because of lack of academic merit, but means. For that I am ever grateful and feel humbled to have been chosen.'

Previous alumni have experienced time in local authority care, resisted coercion into arranged marriage, escaped oppressive regimes and battled for access to university with severe physical disabilities. Other alumni faced financial and social hardship growing up in households where there was

very little money or support to enable them to pursue their studies.

Law Society president Jonathan Smithers said:

'I congratulate this year's Diversity Access Scheme awardees. They have each overcome extraordinary challenges to get to this stage in their career. I am so glad the Law Society is able to support them in taking this significant step towards realising their ambitions. The profession is lucky to have these exceptional and inspiring people in our ranks.

'DAS students represent the diverse talent in which we need to invest for excellence in the profession to thrive. I am extremely proud of the Diversity Access Scheme and very grateful for the sponsorship and support of a range of benefactors - from law firms to schools of law - that allows us to continue to support diversity and social mobility among solicitors.'

Law Society Diversity Access Scheme supports exceptional legal talent

Press Release

http://www.hertslawsoc.org.uk/ 17 ▲

Professional communications for professionals

www.epc.gb.com

Page 18: Herts Law Society Gazette issue 28

Editorial Advertorial

Hertfordshire Law Society Gazette▲ 18

When considering a property, home buyers don’t usually give the highest priority to drainage assets and water pipes. Hidden below ground and out of sight, it’s really easy to overlook their importance. A property’s value, title and maintenance costs, however, can be directly and in some cases, adversely, impacted by issues relating to these assets.

Geodesys offers the CON29DW for all properties in England and Wales, so we are well aware of the costly oversights that could have been identified, had purchasers used a CON29DW search instead of alternative water and drainage searches, commonly known as Personal or Regulated Drainage and Water Searches.

CON29DW: setting the standardThe Law Society introduced the CON29DW to provide a nationally uniform approach to the provision of property-specific water and drainage information. With 23 standard questions it is the only drainage and water search mentioned by the Law Society in its handbook and is supported by a robust and underwritten guarantee that protects home purchasers and their legal advisor(s).

CON29DW: key benefitsUnlimited liability on residential property transactions Updated as soon as drainage and water legislation changesRegular legislation and product updates keep users up to date with improvements and legislation changesMonitored by the Drainage and Water Searches Network alongside The Law SocietySwift turnaround – Personal Searches can take up to five days longer!Drainage and water expertise provided at no extra cost to investigate issues arising from a CON29DW, both pre- and post-sale

Should I choose a CON29DW or a Personal Search? Can your clients afford the cost, time and disruption to deal with drainage and water issues. Personal Searches do not tend to include answers to all 23 of The Law Society questions, and instead offer insurance to cover unanswered questions. As issues only tend to come to light once

the buyer has moved in, the new owner then has all the difficulties of dealing with the problem retrospectively.

In contrast to other drainage and water searches, choosing the CON29DW gives the FULL picture. You have all the facts up-front ensuring that transactions can proceed in the full knowledge that any risks have been properly identified.

What’s the risk?This recent case study illustrates what can to wrong and gives an idea of the costs involved.

Would you want an overflowing septic tank in your garden?

A Personal Drainage and Water search was ordered in place of a CON29DW and this search indicated that the property was connected to the public sewer. In reality, there was no sewer connection and sewage drained into an old septic tank. This was only discovered when the tank backed up causing nasty leakage into the homeowner’s garden! Resolving

the issue and connection to the public sewer cost the owner around £10,000.

At Geodesys we had a similar situation where the CON29DW had indicated a connection, where none actually existed. The home owner had the same issue when waste from the septic tank flooded his landscaped garden but, in this case, Geodesys arranged and paid for connection to the public sewer, as well as for removal of the old tank and waste.

Call in the Geodesys experts!At Geodesys, our internal experts are dedicated to producing the most accurate picture they can for you and your clients. If questions regarding the location of assets are raised either during our checking process or after you

receive the search, we do our utmost to find out what’s really going on, including visits to the property.

Above image: Underground cameras are just one example of the equipment we have at our disposal.

Geodesys offers the CON29DW throughout England and Wales, turn around 98% of CON29DW (Anglian Water area) within 24 hours and offer in-house training / CPD on drainage and water.

Drainage and Water are you getting the full picture?

For more information contact Lauren Lieser, Geodesys Client Account Executive on 07885135314 or [email protected] and start getting the full picture!

www.geodesys.com/con29dw

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Advertorial

Berkhamsted School is looking forward to an exciting academic year during which

it celebrates the 475th anniversary of the foundation of the School and will welcome a new Principal, Richard Backhouse (current Principal of Monkton Combe School in Bath) in January 2016.

Over and above 475th anniversary celebration events and the publication of an illustrated book that documents the history of the School since its beginnings in 1541, there are continuing developments at the School that will keep it firmly placed as a leading provider of education and care in the region.

At the picturesque woodland site of Berkhamsted Pre-Prep (ages 3 – 7) and Day Nursery, a new library and Reception classroom block will bring to completion the extended provision for this thriving Pre-Prep

School. New Headteacher Karen O’Connor, is looking forward to building on the success of the Pre-Prep and Day Nursery, highly regarded for their nurturing ethos which encourages children to thrive and often exceed expectations.

At the Prep School (ages 7 – 11) pupils are enjoying new facilities as part of the programme to cater for the increase in specialised teaching that takes place from Year 3 to 6. There are new Design Technology and Food Technology classrooms, a refurbished Science laboratory and a larger library. With a national rounders title under the belt of last year’s U11 girls, sport at Berkhamsted Prep is on the up with great anticipation at what the new academic year will bring.

Linking in with the 475th anniversary celebrations and the 100th year of rugby at Berkhamsted, a ground-breaking ceremony in September marked the start of the project to build a new pavilion and changing facilities at the Chesham Road playing fields. After a hugely successful sporting year in 2014-15 – included an unbeaten 1st team rugby season and three national titles, two in netball and one in lacrosse, for the U13 girls - this new facility will no doubt inspire our students to reach even greater sporting heights.

At Sixth Form level, a new approach to the Sixth Form curriculum sees the launch of the Berkhamsted Mini-MBA, written by and delivered in partnership with Ashridge Executive Education at Hult International Business School. This new initiative is timely in an era where employers are increasingly looking at evidence of business and life skills over academic qualifications.

OPEN DAY EVENTS will take place at Berkhamsted on Thursday 1 October (Sixth Form, 5-7pm); Friday 2 October (Pre-Prep and Prep 9am-noon; Senior Girls and Senior Boys 3.30-6.30pm) and Saturday 3 October (Day Nursery, Pre-Prep and Prep 10am-noon) – call 01442 358001 or visit www.berkhamstedschool.org for more details and to book a place at an open day event.

http://www.hertslawsoc.org.uk/ 21 ▲

Celebrating 475 years of Berkhamsted School

Page 22: Herts Law Society Gazette issue 28

Editorial Press Release

Hertfordshire Law Society Gazette▲ 22

Any move towards choosing new routes for entry to the solicitors'

profession must be made following proper consultation with the profession, the Law Society warned today.

The Law Society has expressed concern over the intention by the regulator, the Solicitors Regulation Authority (SRA), to focus on one single preferred option for training to become a solicitor, without having consulted with the profession.

Prompted by the strength of feeling among solicitors, the Law Society, which represents solicitors in England and Wales, has formally responded to the SRA on their planned assessment options for entry to the profession.

Although a formal consultation is not expected until December, the Law Society is deeply concerned that the SRA has already stated its preference for 'option three'. This route would involve a series of centralised assessments for knowledge and skills against the Competence Statement for Solicitors published on 1 April 2015. There would be no approved pathways to entry and no required courses - no qualifying law degree, no Legal Practice Course and no training contract would be required.

The SRA are proposing that there would be no restrictions on the number of times an assessment could be retaken and there would be no time restrictions on the completion of all elements. This could lead to a situation where law students can effectively 'bank' elements indefinitely, which they may have no familiarity with by the time they finally manage to qualify.

Removal of approved pathways carries a significant risk of adversely affecting less-advantaged students who do not have access to those within the profession already, or to the best-informed sources of careers advice. It is likely that the financial impact of these proposed changes would disproportionately affect poorer students who would not be able to gain funding for courses as they are no longer ‘required’. It is therefore unacceptable that an equality impact assessment has not been completed on the options put forward for discussion in the engagement document before any broad indication of the preferred option has been made.

The Law Society is supportive of centralised assessment, alongside the current, robust assessment procedures, which should be maintained and improved, taking into account the content of the Competence Statement and new routes into the profession.

Law Society president Jonathan Smithers said:

'The SRA is responsible for the quality of the legal education and training undertaken by those entering the profession. Our concerns are based on the fact that there is very little detail to their proposals. This backs up what we said in July - that the global reputation of UK law would be 'under threat' if the qualification is watered down. Of particular concern to firms is the possibility that the internationally respected period of workplace learning may be abolished.

'It is simply not appropriate for the regulator to narrow the range of options on the basis of their own preference, having merely conducted a cursory and informal

engagement exercise. A proper consultation process on such a fundamental issue for the profession is essential.

'In 2013, a thorough, evidence-based review of education and training requirements across legal services in England and Wales, known as the Legal Education and Training Review (LETR), found that that the current system is not fundamentally broken.

'We are recommending that the current system be improved and that current assessment procedures are enhanced in order to provide the reassurances desired by the SRA.'

The Law Society's preferred approach on new routes for entry to the profession include:

Support for centralised assessment to assure standards for appropriate elements, such as legal knowledge and the hard-edge skills currently assessed during the LPC.

Any route to entry should encompass a level 6 qualification, as set out by the National Qualifications Framework, as a minimum standard, eg degree level - also achieved through Chartered Institute of Legal Executives (CILEx) and the incoming apprenticeships.

Work-based learning is essential and must take place within a legal workplace and under the supervision of a solicitor. The time required should be substantial - two years training is 'about right' and this should be taken into consideration.

The Law Society would like to see the SRA fully address the concerns it has raised in its paper and produce evidence to support their proposals.

Proposed changes for entry to the solicitors' profession would disproportionately affect poorer students, warns Law Society

Page 23: Herts Law Society Gazette issue 28
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For further information please contact: Gregory van Dyk Watson, Managing Director of Isokon Limited. Email: [email protected] or call 020 7482 6555. Alternatively visit www.isokon.com

Isokon was founded by Gregory van Dyk Watson in 1999. The company has invested 44,000 man hours in development of the product over the last 15 years. The company is currently the leading supplier of software for Probate and Private Client work. Isokon is used by 36% of law firms who do private client work. It is used by more than 2,000 individual users. It is used for the most complex estates, as well as basic estates. Isokon is based on an accounting database engine with an integrated Isokon case management component.

Probate Case Management or Probate Accounts

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Editorial Advertorial

Hertfordshire Law Society Gazette▲ 26

DX celebrates 40 years at the top

This September DX, the national document exchange, is celebrating 40 years in

business. Four decades on from the launch, the organisation has spread its wings from the traditional mailrooms of law firms, embracing new technology to become one of the UK’s leading B2B and B2C logistics and parcel distribution providers.

‘DX, as it is known today, was established in the wake of the 1971 postal strike, which paralysed the legal profession for seven long weeks. Pauline Lyle-Smith had experienced the benefits of a document exchange in Australia, and the postal strikes drew attention to a demand in London. Pauline developed the idea of a London-based

exchange and she rapidly found a partnership with Henry Seymour. On 15th September 1975, the DX had just two customers: it and its accountants based in a small office off Chancery Lane. On 17th December that same year, a sole practitioner became the first legal professional to embrace the system, and the company flourished.

Pauline Lyle-Smith, founder of DX, comments: “As soon as I came to the UK from Australia, I realised the legal profession had no secure document exchange, and it became my dream to establish the DX. I was bowled over by how rapidly the legal profession signed up to the DX, and how we have since developed.”

DX quickly became the preferred document delivery service for the legal sector and soon broadened its horizons to all forms of secure delivery for both businesses and consumers, email encryption for the legal sector and specialist courier services such as irregular dimensions and weight (IDW) for sectors including retail and home furnishing. A true sign of the reliability of the company’s security process is shown in the fact that DX is the preferred provider of the UK Government and Foreign embassies for identity documents and visas.

In particular, the service shines amongst competitors due its reliability for providing and adhering to next day or scheduled delivery of time sensitive, mission critical and high value items.

On the 27th February 2014, DX announced its first entry on the AIM stock market and with £200.5m became the largest corporate fundraising on that market since 2006. The group supports 5,500 colleagues and subcontractors getting sales of £300m per annum.

Petar Cvetkovic, Chief Executive Officer of DX, commented: “The market has changed immeasurably since the inception of the Document Exchange and it is still a very important part of our portfolio of services. DX still maintains strong relationships in our traditional markets of the legal, financial and public sectors whilst targeting key growth areas such as retail, health and pharmaceuticals all of which is supported by our focus on great service to our customers. Our mission and promise to our customers is ‘Delivered Exactly’ which I and the team strive for every day. We are now looking towards the next 40 years, and the demands of businesses and consumers alike.”

After four decades of providing leading mail and courier services, DX looks back at the path well trodden and on to pastures new.

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Historically many wealthy investors have diligently saved the maximum

allowable into ISAs (and their forerunners PEPs) and have amassed significant capital sums, in many cases, upwards of £1/2m.

Individual Savings Accounts (ISAs) have long been recognised as tax efficient savings vehicles with all growth and income being virtually tax free. Most people however are not aware that since 5th August 2013 they can also be incredibly effective Inheritance Tax (IHT) planning tools!

Whilst avoiding CGT and Income Tax are often paramount in investor’s thoughts during this period of accumulation, many are now faced with the prospect of losing 40% of the accumulated value through IHT. In an attempt to avoid this, often the funds are gifted to beneficiaries and thus constitute Potentially Exempt Transfers, taking up to 7 years to be fully excluded from the estate for IHT purposes.

However, since the Chancellor removed the restriction on ISAs investing in non-mainstream markets such as the Alternative Investment Market (AIM) in 2013, it is possible to retain the ownership of your capital, maintain all the traditional ISA tax benefits AND remove the full value from your estate in just two years!

So what are the pros and cons of AIM stocks in ISAs?

Firstly, this ability to include them in your ISA portfolio makes AIM shares one of the most tax-advantaged of all investments. In most cases,

• They are exempt from inheritance tax after just two years of ownership.• Investors don’t have to pay stamp duty on AIM stocks. • If held in an ISA they are income tax and capital gains tax exempt.

A £1m ISA portfolio invested in ‘qualifying’ AIM listed stocks would be totally exempt from IHT just two years after investment.

Since this tax planning does not involve the gifting of any assets, it is extremely effective for Power of Attorney investors and those who do not wish to relinquish control of their capital.

So investing in AIM shares makes sense from a tax perspective, but what are the risks….?

The principal concern is that the listing requirements for AIM shares are less strict than for companies on the main market. For example, they can get away with a shorter track record of audited results. That makes AIM an attractive market for young, unproven companies but can increase the risks for investors.

The need to tread carefully with AIM is demonstrated by the market’s performance since the rules were relaxed….

There was a significant impact on the AIM market immediately the new rules came into force with the AIM index turning “northwards” on AIM-in-ISA Day one (August 5th) while the FTSE100 drifted downwards from that date.

Having soared over 20% from ISA day to March 2014, the AIM index subsequently fell nearly 25% in the next 7 months. This came at a time when the main market moved close to all-time highs.

To qualify for the valuable IHT reliefs, the AIM stock must meet HMRC’s Business Relief qualification criteria. Sadly HMRC doesn’t produce a list of eligible stocks; neither does the London Stock Exchange. However, there are many AIM investment managers who specialise in investing in AIM for inheritance tax planning purposes who can help investors determine which stocks qualify for the valuable inheritance tax reliefs. Investor’s Champion, an equities research business associated with specialist AIM manager Fundamental Asset Management has developed a search facility to screen for qualifying companies. This is available at http://aimsearch.investorschampion.com/.

Investors Champion considers that AIM remains very much a stock pickers market and little attention should be paid to the AIM Index which is a poor barometer. Much like the main market AIM will have its share of poor performing businesses (and the occasional scandal!) but the performance of many specialist inheritance tax portfolio managers over the past 5 years illustrates how a diversified approach to investing in AIM has rewarded their investors handsomely.

Finally, given that upmarket coffee shop chain Patisserie Valerie is a qualifying AIM stock you can actually now have your CAKE and eat it with regards to effective Inheritance tax planning with personally owned assets.

Andrew Whiteley DipPFSDirectorProvisio Chartered Financial Planners

Risk Warning

Tax treatment may be subject to change and depends on the individual circumstances of each investor. The availability of tax reliefs also depends on the investee companies maintaining their qualifying status. Neither past performance nor forecasts are reliable indicators of future results and should not be relied upon. Unquoted or smaller company shares are likely to have higher volatility and liquidity risks than other types of shares quoted on the Main Market on the London Stock Exchange.

Taking AIM at Inheritance Tax

Advertorial

http://www.hertslawsoc.org.uk/ 29 ▲

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Editorial Press Release

Hertfordshire Law Society Gazette▲ 30

Modernising Public Procurement: The New Directive

Edited by Francois Lichere, Roberto Caranta and Steen Treumer

DJOF Publishing

ISBN: 978 8 75743 385 2

www.djoef-forlag.dk

The new EU Public Procurement Directive: A Step in the Right Direction for EU Trade? The Experts have their say

Tenderers competing for public contracts in the context of European Union law will find their endeavours fraught with legalities of a particularly complex kind – a situation not untypical of the complications of EU law. Certain observers of a critical bent would comment that EU law is ‘unnecessarily over-complicated’ and therefore ‘a gift for the critics of the EU.’

These thoughts certainly come to mind when one peruses the contents of this book, which as the title indicates, focuses on the new Public Procurement Directive. To be precise, this is Directive 2014/2/EU of 26 February 2014. Its aim -- one would assume -- has been to refine EU procurement law so as to make it more relevant to the needs of twenty-first century business within the EU.

It claims to fulfill a two-fold objective, namely to make the EU rules on public procurement simpler and more flexible. But has this dual objective been achieved? This book -- a new publication from DJOF Publishing in Denmark -- provides at least part of the answer. It is the sixth volume in DJOF’s European Procurement Law series -- and in this English language version -- will be of interest to academics and practitioners across the EU.

The book presents closely argued analysis -- by a team of twelve expert contributors, including the three editors -- of the various changes and reforms wrought by this new legislation. For example, there are new rules on and what are called ‘in-house and

public-public partnerships’, as well as new award procedures implemented with the aim of fostering innovation and it is hoped, reducing or (hopefully) eliminating any possibilities for corruption.

As part of the ongoing debate on efficiency on public spending, one of the contributors, Mario E. Comba, points out that the main objective for public procurement directives should be the prohibition of discrimination, which one might gather, evolves from transparency and the elimination of trade barriers, with the end result of encouraging more cross-border trade.

Lawyers and indeed anyone seeking an analysis of the risks and opportunities presented by the new directive with its new procedural rules should acquire a copy of this book. Certainly, with its copious footnoting, list of cases and extensive bibliographies, it is a valuable source of information and research for those needing to enhance their understanding of this key development in EU law.

The publication date is cited as at 2014.

Book Review by Phillip Taylor MBE and Elizabeth Taylor of Richmond Green Chambers

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