Are helplines liable for legal advice? How claimants are affected by a recent court decision

Court of Appeal at the Royal Courts of Justice

The Court of Appeal recently decided that a national law firm was not liable for the initial advice given through its phone helpline.

"How did the injury happen?"

The case concerned a woman who reached out to a law firm for advice after suffering a severe leg injury on holiday. On holiday in Turkey, the woman fell down hotel stairs and sustained a serious leg fracture requiring emergency surgery. After her return home, infection and other complications developed. Ultimately, the woman’s lower leg required amputation.

Two years after her accident, the woman sought to claim compensation for her leg injury. She struggled to enforce the claim for damages because the travel operator liable for her injury had failed to correctly notify their insurer. Without this cover, the operator was unable to pay damages. The tour operator subsequently went into administration.

The injured woman had initially contacted the law firm’s helpline shortly after her accident. She argued that she should have been told to notify the tour operator of her injury at that time, or that the law should have done so on her behalf.

Although the firm subsequently followed up and requested documents in support of her claim, the woman did not formally confirm her decision to proceed with a claim until almost two years had passed.

Once it became clear that she would not be able to recover compensation even if her claim was technically successful, she pursued the law firm for damages. She argued that she had an express retainer with the firm from the date of her initial phone enquiry, and that the firm had assumed a common law duty of care towards her.

Law firm not liable for helpline advice given before taking on a client

A court decided that the firm was not liable for the claimant’s inability to recover compensation. The advice given over the initial phone call was preliminary and general, and did not mean the firm had agreed to take on her case.

No duty of care existed until the claimant formally instructed the firm, and the firm was under no obligation to take formal steps to notify the tour operator or the operator’s insurer until they had been instructed.

The Court of Appeal later confirmed these findings.

How does this decision affect potential claimants?

This decision underscores that legal helplines offer general and preliminary advice without creating a formal solicitor-client relationship.

This sad case also shows how important it is to start a claim early, as soon as you are able to do so. The court found that it was likely that the claimant could have recovered full compensation for her injuries, had she started her claim at the time of the initial call.

While legal helplines provide very valuable initial guidance and support, they are only a starting point. Whatever the circumstances of your accident, if you have decided to pursue a claim for compensation, you should proceed with formal instruction early.

Only once instructed can your solicitor act on your behalf, notifying the required parties and negotiating a settlement, while you focus on your recovery.

Read more:

Full text of the Court of Appeal's decision.

National firm not liable over ‘general and preliminary’ helpline advice (lawgazette.co.uk)

Chris Salmon, Director

Author:
Chris Salmon, Director