Following from the technical issues being experienced by NatWest and RBS Banks, the CLC has today issued guidance for all licence holders undertaking transactions that may be affected. The guidance is set out below:
Some CLC practices will be adversely affected by the computer system problems currently being experienced by Nat West and RBS banks.
There is a risk that client accounts could be overdrawn because licence holders have been unable to satisfy themselves that monies have been received in order to complete conveyancing transactions.
NatWest and RBS are working to resolve these problems and recognise the difficulties being caused to CLC practices and their clients.
The banks are offering an undertaking so that transactions can be completed.
These can be obtained from the practice’s relationship manager or principal contact at the bank.
CLC licence holders are reminded of the importance of keeping detailed records of contacts with lenders and buyers lawyers (to include the date and time of the conversation, with whom they spoke, the amount transferred and any other matters discussed). It is also advisable to confirm those details immediately by email.
The CLC appreciates that the current difficulties may inadvertently result in breach of the CLC regulatory arrangements.
The primary objective remains to safeguard the interests of clients.
Provided that licence holders are able to satisfy the CLC on this point, we do not anticipate that disciplinary proceedings will be taken.
For further guidance, licence holders can contact their Legal Practice Inspector on 01245 349599 or email them directly.