Here’s a more specific one: this is completely hypothetical and I’ve tried to phrase it in such a way as not to express my own view.
Suppose a litigation colleague acts for a defendant and a settlement is agreed. The settlement money is on our client account and let’s suppose it’s fairly substantial, say £100,000. Then, when we are ready to make the payment to the plaintiff’s solicitor, we learn that the plaintiff has died. In that circumstance do we need to demand a grant of representation to the plaintiff’s estate to protect ourselves as a firm &/or our defendant client? Or can we safely pay to the deceased plaintiff’s solicitors?
Any resources where I can read around the subject would be appreciated as much as a specific answer.
Andrew
I think much depends on the terms of the settlement and whether your firm is under any obligations itself. Absent that, you are presumably holding the client funds to the order of your client and so can/must act on their instructions. If the settlement requires payment to the Claimant (and this obligation was merely to be implemented by payment to their solicitors), then i suspect your client would have to insist on a grant in order to pay it to the right person. If the settlement expressly requires payment to the Claimant’s named solicitors (and they are willing to accept it) then you might follow this as it is a binding obligation and your client could be in breach of contract if they did not.