SRA Standards and Regulations

Interest

In respect of any grants made under rules 3, 6 or 7 the SRA may make a supplementary grant by way of a sum in lieu of lost interest on the loss underlying the principal grant. Such interest will be calculated by the SRA in accordance with prescribed rates. Where the application for the principal grant is in respect of a failure to redeem a mortgage, the SRA may also make a grant in respect of...

Maximum grant

Unless the SRA is satisfied that there are exceptional circumstances in the public interest that justify a higher sum, the maximum grant that may be made is £2 million.

Conduct of the applicant and contribution to loss

A grant may be refused or reduced to take account of any act or omission by the applicant or anyone acting on their behalf that has contributed to or has failed to mitigate the loss.

Foreign lawyers

The SRA shall not make a grant in respect of any act or omission of an REL, or the employee of an REL, where such act or omission took place outside the UK, unless the SRA is satisfied that the act or omission was, or was closely connected with, the act or omission of a solicitor or the employee of a solicitor, or that the act or omission was closely connected with the REL's practice in the...

Fund of last resort

The SRA may refuse or reduce a grant where the loss or part of the loss is, or was, capable of being made good by some other means.

Application and time limit

An applicant must make an application for a grant in the prescribed form, and within 12 months of the date they first became aware, or should reasonably have become aware, of the loss. The SRA may extend the 12 month period in rule 16.1 if satisfied that there are circumstances which justify the extension of the time limit. The applicant must provide information, documents and evidence...

Recovery and subrogation

Where the SRA makes a grant otherwise than by way of loan or if by way of loan repayments of the loan is waived or otherwise the borrower has failed to repay part or all of the loan, the SRA shall be subrogated to the rights and remedies of the person to whom or on whose behalf the grant is made to the extent of the amount of the grant. Where rule 18.1 applies, the recipient must if required...

Refusal of an application

If the SRA refuses to make a grant of either the whole or part of the amount applied for, the applicant will be informed in writing of the reasons for the decision. The fact that an application has been rejected does not prevent a further application being submitted provided that material new relevant evidence or information is produced in support of the new application.

Costs

Where an applicant intends to or has already instituted proceedings for recovery of their loss and wishes to apply for a grant in respect of the costs of the proceedings, the SRA will only consider such costs where: they can be shown to be proportionate to the loss and the amount likely to be recovered; or the proceedings were necessary for the making of an application to the Fund. Where a...

Client money

"Client money" is money held or received by you: relating to regulated services delivered by you to a client; on behalf of a third party in relation to regulated services delivered by you (such as money held as agent, stakeholder or held to the sender's order); as a trustee or as the holder of a specified office or appointment, such as donee of a power of attorney, Court of Protection deputy...