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Boardwalk :: Forum List Areas of Practice Conveyancing and SRO Enforcement
Kerry Sin Yoong Ming
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 SRO and Waiver of Fees - 2006/06/28 13:03 We were recently discussing the waiver of fees in our Firm where upon scrutiny of the SRO, there is no mention of waiver.

Waiver of fees is, instead, found vide Circular No. 62/2004 which states that "the SRO prohibits the giving of discount. Hence any waiver that in effect amounts to a discount is prohibited."

In the Oxford (2nd Ed):

Waive : refrain from insisting on or using (a right, claim, etc); while
Discount : a deduction from a bill or amount due given, or reduce or detract.

This means that if fees are waived in the entirety, i.e. no fees collected (which means we are not deducting from a bill or reducing the effect but not collecting in total, i.e. "free" defined as "not subject to, or available without charge, costing nothing etc", we are technically not violating the SRO? This is a question which begs answers as we were unable to procure any answers from the relevant body [read "BC"].

On inquiry, we were told to refer to Circular 62/2004 which prohibits Waiver.

Our point is this, if the SRO does indeed intend to prohibit "Waiver", why wasn't this spelled out in text?
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Ong Siew Wan
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 Re:SRO and Waiver of Fees - 2006/06/29 08:09 Dear Kerry and members of the Bar

My understanding is 'only a waiver in the effect amount to a discount is prohibited' and thus BC do not prohibit a total waiver of fee in certain circumstances if the waiver is bona fide.

This is to prevent a 'non genuine waiver of fee' whereby 'waiver of fee' is used as an 'excuse' and in actual fact it is a discount.
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Kerry Sin Yoong Ming
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 Re:SRO and Waiver of Fees - 2006/06/29 11:45 Hello Ong -

Your comments are exactly our thoughts - which makes us wonder why this issue of total waiver isn't spelled out in the latest SRO. It is dangerous leaving it to "understandings" as it is open to speculation and abuse.

Perhaps the SRO Committee may want to clarify the instance of a complete "fee waiver" where the Firm is feeling overly generous but without the intention of giving "discounts" in some form or other?


Rgds
kerry

ps. Maizura from your London days (Holborn Law Tutors) sends her regards.
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Ong Siew Wan
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 Re:SRO and Waiver of Fees - 2006/06/29 14:21 Hi Kerry

'Abuse' the use of 'waiver' as discount is what I am concerning. To me the BC guildline is good enough. The circumstances where waiver may be allowed is unlimted and should not be specifically spelt out. The key is 'genuine' and 'bona fide'.

My personal view is that the Solicitors will not be feeling overly generous for no reason. The instances will be in the case involving charity organisation or some special relationship where the 'feeling of generousity' emerge from your heart. In such instances the feeling of giving total waiver of fee may be genuine and bona fide and thus such waiver may be allowed.


(send my regard to Maizura too)
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