If a professional like a solicitor, accountant or architect gives you bad advice or doesn’t meet the required standard of service, you may lose money. If that happens you may be entitled to claim. This guide explains how to make a professional negligence claim in the UK and the steps involved in professional negligence claims. Knowing how to file a professional negligence claim in the UK ensures you take the correct legal steps. For expert legal support in handling professional negligence claims, Darwin Gray provides specialist advice to help you navigate the process effectively.
What is Professional Negligence
A professional negligence claim arises when a professional owes you a duty of care but fails to exercise that care and you lose money. To succeed you must prove:
Duty of Care – The professional had a duty to provide proper service.
Breach of Duty – The professional didn’t meet the required standard.
Causation and Loss – You lost money directly as a result of their negligence.
Negligent advice from a professional can often lead to disputes regarding compensation and liability. These professional negligence disputes can involve various industries, including law, finance, and construction.
How to Make a Professional Negligence Claim1. Notify the Professional
Tell the professional as soon as possible about the alleged negligence. This initial notice should include:
- Your name and the names of any other parties involved.
- A short summary of what went wrong.
- The money you lost and the financial value of the claim.
- A request for the professional to inform their professional indemnity insurers.
They should confirm receipt within 21 days as required by the professional negligence Pre-Action Protocol (PAP).
- Send a Letter of Claim
If you decide to proceed send a Letter of Claim to the defendant professional. This formal document should include:
- A summary of the facts supporting your professional negligence claim.
- A clear statement of what went wrong.
- An estimate of your loss.
- Relevant documents and important dates.
- A timeframe for a response.
This step is crucial in professional negligence claims and puts the claim in formal motion. Many professional negligence cases involve complex details, requiring careful documentation to support your case.
- Receive a Letter of Acknowledgment
The professional must acknowledge your Letter of Claim within 21 days stating they will investigate the allegations. Their professional indemnity insurers or lawyers may also respond on their behalf.
- Investigation and Response
The professional has 90 days from the acknowledgment to investigate and send a Letter of Response. This letter may:
- Admit or deny the allegations of professional negligence.
- Request more information or key documents.
- Suggest a Letter of Settlement if they accept liability.
Professional negligence disputes often arise when the defendant denies wrongdoing or challenges the extent of financial loss claimed.
- Consider Alternative Dispute Resolution (ADR)
Before going to court consider Alternative Dispute Resolution (ADR). Courts expect you to try ADR before litigation and failing to do so may result in costs penalties. Common ADR methods are:
Mediation – An independent mediator helps you and the other side negotiate a settlement.
Arbitration – A legally binding decision is made by an independent third party.
Early Neutral Evaluation – An expert gives an impartial view of the case.
ADR will resolve your professional negligence claim without the costs of going to court. Avoiding court proceedings can also help reduce legal costs significantly.
- Going to Court
If ADR does not work out then you can file a Claim Form and Particulars of Claim outlining your case and what you are looking to claim. These need to be served within the limitation period:
- 6 years from the negligent act.
- 3 years from the date of discovery up to a 15 year long stop period.
Court proceedings follow the Civil Procedure Rules and require expert evidence, witness statements and compliance with the Pre-Action Protocol.
Outcomes
A successful claim may result in:
Compensation – Reimbursement of financial loss including lost tax savings and tax relief.
Settlement – The defendant professional may pay compensation without admitting liability.
Dismissal – If the claim has no merit you may be liable for the defendant’s legal fees.
FAQs
- What is professional negligence?
It’s when a professional advisor’s negligence causes financial loss, e.g. bad advice or professional’s failure to do their job. - How long do I have to make a claim?
6 years. If you discover the negligence later then 3 years from discovery up to a 15 year long stop period. - What is a Letter of Claim?
This document sets out your allegations and the claimant’s version of events, that initiates the formal claim process. - Do I have to go to ADR before court proceedings?
ADR is not compulsory but the courts expect you to consider it. Refusing ADR without good reason can impact court proceedings and costs. - What compensation can I get?
Compensation depends on the financial loss suffered, the insurance policy and whether the professional indemnity insurers or insurance brokers cover the damages.
Conclusion
Filing a professional negligence claim in the UK means you follow the right process. Engaging a professional negligence solicitor and following the pre-action protocol increases your chances of success. Whether it’s a construction professional, healthcare professional or financial advisor, following the legal process is key to resolving the dispute quickly. Understanding professional indemnity insurance and its role in covering claims is crucial for both claimants and professionals.
