Law firms may seek to claim back ‘substantial’ sums from the Legal Services Commission following a clarification of its rules governing family fees, solicitors suggested this week.

In private law cases involving a ‘significant family dispute’, the LSC’s unified contract with providers requires firms to carry out a second meeting with their client before they can move from ‘legal help (level 1)’ to the higher paid ‘family help lower (lower 2)’.

There has been confusion over whether that second meeting needed to be face-to-face.

The Law Society said solicitors had reported being initially told by LSC staff that the second meeting was not essential.

However, in subsequent audits, lawyers have claimed that the LSC has insisted that a face-to-face meeting was in fact required, and recouped payments where it had not taken place.

On 20 December last year, the LSC’s costs appeal committee issued a point of principle (PoP), stating that the word ‘meeting’ must be widely interpreted to include substantive instructions given by telephone, video conferencing and instant messaging.

The LSC has said that the PoP applies only to assessment decisions made after 20 December, but the Law Society disputes this.

A Law Society spokesman said: ‘There may well be firms that would not have faced a recoupment, or would have faced significantly lower recoupment, had the LSC applied this revised interpretation to their files.

‘Such firms will no doubt wish to discuss with their contract managers what should happen now to remedy any injustice they have suffered.’

Christina Blacklaws, Law Society Council member for child care, said many firms could seek to have money reimbursed.

She said the difference in level 1 and level 2 fixed fees could be from £96 to £256. ‘If you multiply that by hundreds of cases, that’s quite a lot of money,’ she added.

Vicky Ling, an independent consultant specialising in legal aid, said: ‘Some firms have been asked to repay substantial amounts, of around £20,000 to £30,000, and may now seek to reclaim some of that.’

An LSC spokesman said the commission was obliged to take action to recoup erroneously claimed fees.

He added that if providers appeal any assessment made after 20 December, the new rule will apply.