Shieldpay Ltd is one of our trusted partner organisations.
They allow us to offer an extra layer of security at our expense, in respect of any compensation monies that you may receive from time to time. We have decided not to have a client account banking facility. This means that we have outsourced this function to them. They are approved by the Solicitors Regulation Authority as a third-party managed account (TPMA) provider. As such we will provide them with all necessary information to allow them to verify you, and to make payment to you.
We are doing this for your benefit, by providing:
- Strengthened cyber security
- Full visibility of financial transactions
- Absolutely no additional cost to you – we pick up the cost
- You have the right to terminate your agreement and/or dispute any payment
This is further explained in our ‘Terms & Conditions’ which we will send to you at the onset of any claim we agree to pursue on your behalf. This states:
“Client Money – Rather than directly receive, control, hold or handle client money or retain money on account for you as explained below we have appointed Shieldpay Ltd to receive and make payments in relation to legal services for which we are instructed. This includes fees, disbursements or settlement monies”
Rather than operating their own client account many law firms use a third-party-managed account (TPMA) as an alternative to directly holding client money. TPMAs are approved by the Solicitors Regulatory Authority (SRA) which the SRA define as an account where a third party (a payment service provider) holds money on behalf of two or more transacting parties. For law firms that means a third party would hold funds for the firm, its client and other related parties in a case or transaction.
We have appointed Shieldpay Ltd to receive and make payments in relation to legal services for which we are instructed. This includes fees, disbursements or settlement monies. Whilst it would be impossible to eliminate all risk related to cybercrime, we consider TPMAs to be a more secure way of handling client money and to help the firm further reduce money-laundering risks.
Shieldpay is regulated by the UK Financial Conduct Authority (FRN: 770210) under the Payment Services Regulations 2017 and is authorised to open payment accounts and all the operations that come along with such payment accounts, as such Shieldpay can open an account for the benefit of each of our clients and all such monies received are safeguarded and segregated and will at all times be designated client funds.
As per our Client Care Letter, we will update you at certain stages of the matters we are acting for and on your behalf of the costs incurred.
Fees and disbursements form part of “client money” and accordingly, will be held by Shieldpay first, alongside any monies you may receive. Disbursements are expenses which are incurred as part of a project or matter, which are separate from fees.
We will need your permission for us to act as your professional representative to provide authorised instructions to Shieldpay to authorise such payments as are required to provide the professional services to you. Where appropriate, we shall either (i) seek your instructions in advance as to the circumstances in which you authorise us to release your funds; or (ii) advise you during the conduct of professional services that the point has been reached at which it is in your interests for you to authorise funds to be released.
Privacy
Shieldpay are required to comply with money laundering regulations and you authorise us to share information about you (which amounts to personal data for the purposes of GDPR legislation) with them so they are able to comply with their obligations and perform payment services on your behalf. You may also be requested to provide personal data to Shieldpay directly. By signing this, you will therefore consent to us passing Shieldpay the data required. We draw your attention to our privacy notice, and also Shieldpay’s Privacy notice, which can be found on Shieldpay’s website.
All communications with Shieldpay relating to professional services provided to you will remain confidential and will not amount to a waiver of confidentiality. Similarly, if any of those confidential communications are also privileged, disclosure of them to Shieldpay shall not amount to a waiver of privilege.
We are obliged to inform you that you and we both have a contractual relationship with Shieldpay, however Shieldpay is not our agent and neither are we responsible for the conduct of Shieldpay, for Shieldpay failing to deliver its services in accordance with its contractual arrangements, or for any negligent or fraudulent act or omission by Shieldpay. We are also not responsible for any error made by the bank in which the Shieldpay account is held, or for any insolvency event affecting Shieldpay or the Bank. All technological failure or delay in the Shieldpay systems or any thirdparty systems used by Shieldpay are their responsibility.
By allowing us to instruct Shieldpay, you agree that you will be also bound by the Shieldpay agreements available at www.shieldpay.com/europe/legal. If you terminate your relationship with us, your relationship may still be in place with Shieldpay, but we shall inform Shieldpay about the termination of our appointment as your professional representative.
This should be read in conjunction with our Privacy Notice.
You will see that this is something that we require you to positively consent to, otherwise we regrettably will be unable to act for you.