Solicitor transfer cost

[frini]

We were selling a property last year, but it didn't happen.
We still received a bill from our solicitor for the work they did ( for over $800!) which we paid.
Recently, our solicitor has advised us they are moving to a new firm and sent us a form to sign advising the old firm that we would like our solicitor to take the file with her.
We then received another bill from the old firm, for nearly $200 for "admin fees" for transferring the file.
I feel it is a big rip off by them. They hold more than that of ours in their trust account, that they expect to take their admin fee out of.

I have had sales files moved before and was never charged a fee.
Is this normal practice?

 

[frini]

Solicitor transfer cost - rip off!

We were selling a property last year, but it didn't happen.
We still received a bill from our solicitor for the work they did ( for over $800!) which we paid.
Recently, our solicitor has advised us they are moving to a new firm and sent us a form to sign advising the old firm that we would like our solicitor to take the file with her.
We then received another bill from the old firm, for nearly $200 for "admin fees" for transferring the file.
I feel it is a big rip off by them. They hold more than that of ours in their trust account, that they expect to take their admin fee out of.

I have had sales files moved before and was never charged a fee.
Is this normal practice?

 

[Terry_w]

We were selling a property last year, but it didn't happen.
We still received a bill from our solicitor for the work they did ( for over $800!) which we paid.
Recently, our solicitor has advised us they are moving to a new firm and sent us a form to sign advising the old firm that we would like our solicitor to take the file with her.
We then received another bill from the old firm, for nearly $200 for "admin fees" for transferring the file.
I feel it is a big rip off by them. They hold more than that of ours in their trust account, that they expect to take their admin fee out of.

I have had sales files moved before and was never charged a fee.
Is this normal practice?

They did do work for you.

What does your disclosure agreement say?

 

[frini]

Thank you Terry. The disclosure doc had an item " file retrieval -$50 "
They actually did no work, our solicitor was only with this firm for a few months , and while there, there was nothing happening with our file. Previous work was done while file was at another firm.
Don't get me wrong, I have no problem paying professionals when work is carried out, but I hate it when they just make up fees and send you a bill for doing nothing, and expect that because they are a lawyer, they are always right.

 

[frini]

I have sent them a reply agreeing to pay $50 only, as per the agreement.

 

[Terry_w]

The first thing to do would be to write to them and dispute the costs and to ask for an itemised bill.

 

[AXXO]

I'd check the wording of the form you signed or the terms of engagement with the old firm which could refer to these transfer fees.

But it's usually because the old firm that lose the client is pee'd off with losing them. Maybe something underhanded has happened.

I've come across this in my line of work when gaining a new accounting client. The old firm after receiving the ethical letter have charged fees for handing the file over, eg admin, copying, etc fees. It's not common though.

I've also experienced this situation with an old real estate agent of mine who was managing my rental properties. When I gave them the flick, the principal was really pee'd off and charged me backdated costs for monthly postage & petties per property as he only charged one monthly fee in the past for the multiple properties.

 

[lizzie]

One reason I left my old accountant is that they'd charge near $200 to forward me an ASIC bill ... now that was a rip off!

 

[AXXO]

One reason I left my old accountant is that they'd charge near $200 to forward me an ASIC bill ... now that was a rip off!

That's standard in the accounting profession. It's to have the company registered office c/- the accountant's address & maintaining ASIC registers, change of coy business address, change shareholders, directors, etc.

I you don't what to pay the $200 have the registered office c/- your address, especially if there are never any changes to ASIC registers to be done.

 

[lizzie]

My new accountant just forwards the bill - doesn't even charge postage

 

[frini]

Well, I sent a complaint email to this solicitor, and they sent me a long winded legal jargon crap email back explaining her costs, so I replyed back saying these costs were not on the Fee Disclosure Statement, and if she took anymore funds out of the trust account other that the $50, I would take it further.
I received a reply with her backing down and agreeing to not charge for holding file etc.
Solicitors feel they can bully anything they want sometimes, you have to stand up to them sometimes

 

[Terry_w]

Good on you.

This seems to be a duplicate thread, here is the other.
http://somersoft.com/forums/showthread.php?t=85099

 

[Raddles]

Hi there
you need to check cost agreements and disclosure to see whether this fee can be charged, if not make a complaint to the firm, if they still don't refund your money, make a complaint to the Legal services commissioner
thanks

 

[Raddles]

I think you will find it may not be cost effective to ask for an itemised account given the small amount involved, if the firm does not back down about the fee cause it is not in any cost agreement or disclosure, make a complaint to the Legal services commissioner
thanks