PART 3Courts and tribunals

Civil proceedings relating to personal injury

I158Rules against inducements to make personal injury claims

1

A regulated person is in breach of this section if—

a

the regulated person offers another person a benefit or is treated as doing so under subsection (4),

b

the offer of the benefit is an inducement to make a claim in civil proceedings for—

i

damages for personal injury or death, or

ii

damages arising out of circumstances involving personal injury or death, and

c

the benefit is not related to the provision of legal services in connection with the claim.

2

An offer of a benefit to another person is an inducement to make a claim if the offer of the benefit—

a

is intended to encourage the person to make a claim or to seek advice from a regulated person with a view to making a claim, or

b

is likely to have the effect of encouraging the person to do so.

3

An offer of a benefit may be an inducement to make a claim regardless of—

a

when or by what means the offer is made,

b

whether the receipt of the benefit pursuant to the offer is subject to conditions,

c

when the benefit may be received pursuant to the offer, or

d

whether the benefit may be received by the person to whom the offer is made or by a third party.

4

If a person other than a regulated person offers a benefit in accordance with arrangements made by or on behalf of a regulated person—

a

the regulated person is to be treated as offering the benefit, and

b

the offer of the benefit is to be treated as satisfying subsection (2)(a) if the arrangements were intended to encourage people to make claims or seek advice from a regulated person with a view to making a claim.

5

The Lord Chancellor may by regulations make provision as to the circumstances in which a benefit is related to the provision of legal services in connection with a claim, including provision about benefits relating to—

a

fees to be charged in respect of the legal services,

b

expenses which are or would be necessarily incurred in connection with the claim, or

c

insurance to cover legal costs and expenses in connection with the claim.