Two solicitors have each been fined £11,250 by the Solicitors Regulation Authority over ‘disregard’ for their obligations while acting for a client under a lasting power of attorney.

Richard Simon Walford and Richard Alistair Heron, of Exeter-based firm Gilbert Stephens, each agreed to the fine and to pay investigation costs of £600.

An SRA investigation found that Walford and Heron, who admitted breaches, were acting as attorneys for Mrs H, a client, when they failed to ensure that conditions of the home insurance policy relating to her property were met.

They also used £16,220.02 of her funds to pay for the cost of repair work to the property. The damage was caused by a burst pipe and insurance cover was unavailable due to a lack of compliance with policy conditions.

The SRA added that, despite there being a conflict of interest from 12 March 2018, they continued to act for Mrs H until an interim deputy was appointed on 26 March 2020.

The firm paid the client’s estate £20,000, the agreed loss in relation to the water damage to the property. The reimbursement was made immediately after service of a demand for payment by solicitors acting for Mrs H’s personal representatives.

Both Walford and Heron accepted that when Mrs H left her property, it was a mistake not to drain the heating system, which ultimately led to the burst pipe and damage to her property.

The regulator said the pair had, at certain times, breached a number of the SRA principles.

The SRA said: ‘The conduct showed a disregard for their regulatory obligations and whilst the breaches have been rectified the misconduct continued for longer than was reasonable.

‘There was no lasting significant harm to Mrs H or third parties, but it was nearly five years after Mrs H’s money was used to address the loss and damage to her property that Mr Walford and Mr Heron agreed to pay £20,000 by way of restitution.’

 

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