Compensation

The CLC administers a Compensation Fund on behalf of the profession.

The purpose of the fund is set out in this Policy Statement.

See the bottom of this page for special information about Investment Property Transactions.

Do I qualify for compensation?

You can apply for compensation if you have suffered an actual loss of money or of monetary value arising out of work for which the CLC regulated Practice is legally responsible and if the Practice is unable to meet its liability in full.

You can make a claim if you have suffered a loss that was caused by

• dishonesty
• fraud
• negligence
• failure to account for money received

of a practice regulated by the CLC or of one of their employees. Each case is considered on its merits. Typically, the CLC will not respond claims relating to investment transactions.

We have absolute discretion to decide whether to make any payment out of the Fund –nobody has a legally enforceable right to a grant.

It is a fund of last resort – before we accept your claim, we may require you to recover your losses by all other means available, such as by making an insurance claim or by taking court action. The CLC will not consider making a payment unless it is satisfied that a person has taken all necessary and appropriate steps.

How do I apply for compensation?

You should contact the CLC as soon as possible if you:

• are considering making an application for a grant (applications need to be made within 6 months after you have discovered you may have a claim) or
• are considering taking legal advice (since only in exceptional circumstances will the CLC make an allowance for legal costs claimed by an applicant)

Application Forms are available by email, or you can call 020 3859 0904.

Important Notice – Closure of Compensation Fund Pool relating to ‘Investment Property Transactions’

If you were a client of a CLC regulated practice who acted for you in an investment property transaction such as the purchase of hotel rooms and student accommodation units in developments that did not complete (‘Investment Property Transactions’) and have incurred a direct loss as a result,

PLEASE NOTE THE FOLLOWING:

1) The Council for Licensed Conveyancers (the CLC) operates a discretionary fund which may alleviate direct losses in certain circumstances as set out above.

2) The CLC has created a ring fenced pool for in all claims received relating to Investment Property Transactions

3) Any applications to the compensation fund relating to this type of claim will be reviewed and determined, on their individual merits, but collectively as a distinct pool.

4) The pool will be closed for new applications on 31 December 2024.

5) Review, assessment and determination of claims will begin in 2025.

If you think you may have been affected by a speculative investment property transaction, you must submit your application to the Compensation Fund by 31 December 2024. An application form can be requested by email to compensationfund@clc-uk.org or by phone on 020 3859 0904.

Please note, if you are unsure if your claim fits into this category, we advise you contact us without delay.