Associate
- Joined
- 20 Oct 2002
- Posts
- 610
- Location
- Glasgow
I think I've just been the victim of some very sharp practice by a firm of lawyers who specialise in employment law. I was recently made redundant and had asked this company to review my CA (compromise agreement). You can get this done online for set maximum fees of around £250 to £350. My previous employer had agreed to pay £250(+VAT) towards legal fees, estimating that it wouldnt cost more than that. I engaged this company who agreed that they would cap their fee to £250 based on the work needing done taking no more than two hours, after which it would be £195 per hour (!!! I thought, wut?) but agreed verbally over the phone that it shouldnt take more than this time. I specifically went with this firm because they were local and I explained why I was chosing them at the time and the price I expected to pay. So, to cut a long story short I've received an invoice now for over 700 quid (this is after the employer's contribution has been deducted from the bill - yes, they expect over a grand for reviewing a compromise agreement). I havent managed to speak to anyone from the firm yet but wanted to cool down and maybe get some independant advice before an angry phone call.
Initial contact: Explained situation, and was asked to send in the CA (compromise agreement)
They then emailed me with "terms of business" which did not include a set fee, and a letter stating capped fee of £250 + VAT to be invoiced directly to employer for first two hours of work. Next line reads "Any additional work beyond this will be charged at my normal hourly rate". I did say over the phone "hah, yeah, and if it gets anywhere near two hours, you'll let me know, right?" - they never did. The invoice they've sent me claims 5 hours work was recorded on "my file". There was one insertion into the agreement itself and one amendment done by email, and I went to their offices to sign the actual final agreement. I thought it strange that they laboriously kept me there going through the whole thing "one last time" but thought nothing of it at the time other than that they were being thorough. Even so, I wasnt there more than 40 minutes, and that was waiting for the solicitor to finish something else off for 10-15 mins. I estimate that the actual work done in total including me signing the agreement would not have taken more than 2 hours, realistically, but Im sure they will be able to "break it down, showing exactly when and where the time was spent" when I call. i.e. they will just say what they want. I feel that if they were going to screw me this much, they should at least have bought me dinner...
They just appear to have written themselves a large number on a blank cheque.
Anyone have any advice or similar experiences? The amount they are after is a hefty chunk of what is effectively statutory redundancy plus a small token payment. Really quite frustrated and saddenned. Bad enough being made redundant without being made to pay out this kind of money.
Help?
Initial contact: Explained situation, and was asked to send in the CA (compromise agreement)
They then emailed me with "terms of business" which did not include a set fee, and a letter stating capped fee of £250 + VAT to be invoiced directly to employer for first two hours of work. Next line reads "Any additional work beyond this will be charged at my normal hourly rate". I did say over the phone "hah, yeah, and if it gets anywhere near two hours, you'll let me know, right?" - they never did. The invoice they've sent me claims 5 hours work was recorded on "my file". There was one insertion into the agreement itself and one amendment done by email, and I went to their offices to sign the actual final agreement. I thought it strange that they laboriously kept me there going through the whole thing "one last time" but thought nothing of it at the time other than that they were being thorough. Even so, I wasnt there more than 40 minutes, and that was waiting for the solicitor to finish something else off for 10-15 mins. I estimate that the actual work done in total including me signing the agreement would not have taken more than 2 hours, realistically, but Im sure they will be able to "break it down, showing exactly when and where the time was spent" when I call. i.e. they will just say what they want. I feel that if they were going to screw me this much, they should at least have bought me dinner...

Anyone have any advice or similar experiences? The amount they are after is a hefty chunk of what is effectively statutory redundancy plus a small token payment. Really quite frustrated and saddenned. Bad enough being made redundant without being made to pay out this kind of money.
Help?