LCF In The Media April 2022

IN THE MEDIA APRIL 2022

FIRM WIDE

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Law firm tunes into community choral event in Ilkley

AN Ilkley law firm is supporting a grand concert in Ilkley by sponsoring the musical director, Jennifer Sterling of the Ilkley and Otley Choral Society.

“We are very grateful to LCF Law and Ilkley Town Council for supporting us with their sponsorship which will help with the staging of the concert.”

LCF Law is backing the concert, which is taking place at St Margaret’s Church in Ilkley at 7pm on Saturday 21st May, as part of its ongoing community support programme in the town.

Partner, Ann Christian, from LCF Law said: “Our local community is very lucky to have such a group of talented musicians perform. It’s a great way to kickstart the celebrations for the Platinum Jubilee in Ilkley too. LCF Law has been part of the Ilkley business community for over 70 years, with most of our team that work in our Ilkley office living locally. Under the leadership of myself and fellow partner, Rachel Spencer Robb, we are invested in the community in so many ways and we are proud to support what will be a wonderful concert.”

The concert will pay homage to the Platinum Jubilee, which is being held two weeks later. Adrian Heeley, Ilkley Choral Society Chairman, said: “This concert will be a tribute to Her Majesty the Queen, and we will be singing Parry’s ‘I Was Glad’ and Dvorak’s ‘Te Deum’ accompanied on the organ by St Margaret’s director of music, Christopher Rathbone. We will also devote half of the concert to Brahm’s ‘German Requiem’, and the choirs will be accompanied by the acclaimed Yorkshire Chamber Ensemble.

“We anticipate a full audience at St Margaret’s Church, and it will be a real delight to have Ilkley and Otley Choral Societies singing together to create a wonderful sound under the leadership of our musical director, Jennifer Sterling.

The choirs will be joined by soloist soprano Charlotte Trepess and baritone, Oskar McCarthy.

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Jennifer Sterling is a highly experienced choral workshop director, and recently worked for Opera North in their community and education department. She is director of both Ilkley and Otley Choral Societies and assistant director of Music at St Martin’s-in-the-Field, located in Trafalgar Square, London.

ALSO APPEARED IN • Ilkley Chat • Rombalds Radio • Bradford Zone • Wharfedale & Airedale Observer • Gazette & Observer • Bradford T&A • Yorkshire Post READ ARTICLE ONLINE

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Harrogate Advertiser Excellence in Business Awards sponsorship

Previously, hopeful candidates had until tomorrow (Friday, April 29) to get their nominations in, but they will now also have the weekend to finalise their entries.

Another of the judges, Harrogate BID Manager Matthew Chapman, said: “It’s an absolute honour to be invited to be part of this year’s Harrogate Business Awards judging panel.

The extension has been granted because dozens of entries have been started online but have been left unfinished, and those entrants are now being urged to complete their nominations before the new deadline falls on Monday (May 2). The website is also still open to new entries.

“Harrogate and the wider district is home to a wealth of superb businesses, and I’m delighted to say a good number are located within the BID area.

The awards, which are in their 17th year, are open to businesses based across the Harrogate District, Wetherby, Tadcaster, and surrounding areas.

There are 14 categories, and entering is easy - just go to www. harrogatebusinessawards.co.uk and follow the links.

The awards judges, headed by Simon Eyles, managing director of Bettys, will convene next week, and a shortlist for each category will be revealed in a special edition of this newspaper on Thursday, May 19.

“The last two years have been challenging for business, but a mixture of determination, creativity, customer loyalty and ‘Yorkshire grit’, saw many not only come through the other side, but come through stronger and better equipped to meet other unexpected challenges head on.

“I’d like to thank the Harrogate Advertiser Series for its continual support of the district’s businesses community, and letting them shine through the medium of these awards.”

The winners will be announced at a glittering gala awards ceremony hosted by Yorkshire broadcasting legend Harry Gration MBE, best known for fronting BBC regional news programme Look North.

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The black-tie event will be held on Thursday, June 30 at Pavilions of Harrogate, the indoor event venue at the Great Yorkshire Showground.

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It has long been regarded as one of the highlights of the region’s business calendar and will include a meal, music and drinks reception sponsored by prestige Harrogate spirits brand Slingsby Gin.

• Harrogate Advertiser

To book tickets for the Harrogate Advertiser Business Excellence awards ceremony on June 30, go to www.eventbrite.co.uk/e/harrogateexcellence-in-business-awards-2022-tickets-288564352747 The awards are made possible by a wide range of corporate supporters, led by headline sponsor Ignition Group plc, the Knaresborough-based electric heating specialist.

Each category also has its own sponsor, including Berwins Solicitors, tourism body Destination Harrogate, hospitality company HRH Group, Impression Recruitment, Ison Harrison Solicitors, LCF Law, estate agents Nicholls Tyreman, Rudding Park and apprenticeship provider VQ Solutions.

However, there are still category sponsorship opportunities available contact julie.hainsworth@jpimedia.co.uk for details.

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CORPORATE

Free webinar for business owners

A free webinar offering advice and guidance to business owners on how to sell a company to its employees via an Employee Ownership Trust (EOTs) is taking place on 27th April.

Run by leading law firm, LCF Law and accountancy firm, Sagars, EOTs have become an increasingly popular method for business owners to exit a business in recent years.

The webinar will run from 9am to 10am on Wednesday 27th April.

Cathy Cook will explain how to structure and plan an EOT and the risks involved. Sagars’ business tax partner, Kate Naylor, will explain the tax rules and share thoughts on succession planning and funding, and senior associate, James Austin, from LCF Law’s employment division, will explain how an EOT distributes profits and pays bonuses. There will be a 15-minute Q & A session at the end of the one-hour presentation.

Partner, Cathy Cook from LCF Law’s corporate division, said: “EOTs are tax efficient and can engender staff loyalty, but they are complex and not right for every business. There are many legal and tax implications, but when they’re done well, they can be hugely successful, and we’ll explore the main issues during the webinar.”

Susan Clark, partner and head of corporate at LCF Law, said: “We have hosted numerous successful webinars providing free guidance for businesses over the last few years, which have attracted hundreds of attendees. This one on EOTs is bound to be popular, so we’d urge anyone interested to register now to secure a place.”

An EOT is an employee benefit trust established by the company for the benefit of the company’s employees, which then acquires the shares in the company from the selling shareholders. In order to qualify for the tax benefits, the EOT must meet specific criteria, both at the time it acquires the shares, and afterwards, once it is in control of the company’s shares.

To register click here: https://www.eventbrite.co.uk/e/what-is-an-eotand-would-it-work-for-you-tickets-294663064157?keep_tld=1 or call 01274 848 836 or email events@lcf.co.uk

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ALSO APPEARED IN • Bradford T&A • Harrogate Advertiser • Yorkshire Post READ ARTICLE ONLINE

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Shortlists revealed for South Yorkshire Dealmakers Award

South Yorkshire’s corporate finance community will gather again on 9 June to celebrate the sterling work of the region’s dealmaking community.

Returning to the Mercure St Paul’s Hotel & Spa in Sheffield, South Yorkshire Dealmakers will honour deals and individuals in ten categories, including the Lifetime Achievement Award.

Castle Square Corporate Finance was a big winner last year, scooping a string of awards including Deal of the Year (up to £2.5m) for the management buyout of Castings Technology International (CTI), Corporate Finance Advisory Firm of the Year, Emerging Dealmaker of the Year, and Dealmaker of the Year.

DLA Piper won Corporate Law Firm of the Year, and Bank of the Year was awarded to Santander.

The sponsors of this year’s awards are BHP Corporate Finance, Castle Square Corporate Finance, Freeths law firm, HSBC UK, and alternative finance provider, ThinCats.

The shortlists for Insider’s South Yorkshire Dealmakers Awards 2022 are: Deal of the Year (up to £2.5m) Acquisition of AppToPay by Secure Trust Bank (DLA Piper, LCF Law) Secure Trust Bank acquired AppToPay, owner of a proprietary technology platform, to support its planned entry into the digital buynow-pay-later (BNPL) market, reducing the product development time required.

Management buyout (MBO) of Airflow World Group (Hentons Corporate Finance, Taylor & Emmet) The MBO of Airflow World Group, an industrial oven manufacturer, was completed by Samantha Hancock-Ridge and Gary Clark who have worked at the company for a total of 35 years.

Funding round completed by Mindtech Global (NPIF – Mercia Equity Finance, Deeptech Labs, In-Q-Tel) The Sheffield-based startup, with a platform that trains robots to recognise images, completed a £2.3m funding round in July to help build its team in Yorkshire and expand sales of its product worldwide.

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Mid-Market Deal of the Year (£2.5m to £10m) Sale of Build-Lite (UK) to EOT (Hentons Corporate Finance, Leonard Curtis Legal, Mackenzie Spencer) Build-Lite (UK) sold the shares in the holding company to an employeeowned trust formed for the benefit of its 15-strong workforce. The Rotherham-based company develops, manufactures and supplies a range of building products and architectural mouldings for the construction industry.

Acquisition of 3G Truck and Trailer Parts (BHP Corporate Finance, Knights, HSBC UK, Gordons, Schofield Sweeney) The Rotherham company was sold to TVS Europe Distribution in 2020. The transaction was subsequently voluntarily referred to the Competition and Markets Authority, which directed TVS to dispose of its shareholding. Following a competitive sale process, a joint venture between John Bruce and Peter Beaumont and commercial vehicle brake specialist Thos Winnard & Sons agreed a deal to buy back the company.

Acquisition of 3Squared by EPM Group (Shorts, Addleshaw Goddard) 3Squared is a Queen’s Award-winning transport software business that aims to enable the transportation sector to become safer, greener and more efficient through digitalisation. The acquisition will support EPM’s focus on integrated transport while diversifying its activities into the rail sector.

National/International Deal of the Year MBO of Direct Valeting (Castle Square Corporate Finance, Alcentra, Progeny Law, Capel, NatWest) The Staffordshire-headquartered valet parking company has changed hands following an MBO. It has been acquired from specialist global credit management firm Alcentra and works with more than 450 clients, including Perry’s, Renault Retail Group, PSA Group, Pentagon and Listers.

Acquisition of Lifting Gear by Axel Johnson (BHP Corporate Finance, Knights, Grant Thornton, NR Barton, Pinsent Masons) The owners of Skelmersdale-headquartered Lifting Gear UK have sold their company to the lifting solutions business group of Axel Johnson International. Family owned until the sale to the Swedish group, Lifting Gear UK is the largest privately owned lifting equipment provider in the UK. Acquisition of PEAK Pipe Systems by Simona Group (DLA Piper, Dow Schofield Watts, Mazars, Brachers) Thermoplastic product manufacturer Simona Group has acquired Chesterfield-based PEAK Pipe Systems, a polyethylene pipe system specialist, from Bridgstock, a family-run holding company.

Deal of the Year (£10m+) Acquisition of HodgeClemco by SurfacePrep (Freeths, BHP Corporate Finance, Gibson Dunn) Formed in 1959, Sheffield-based Hodge Clemco is a leader in the manufacture and supply of abrasive blasting (sandblasting) equipment and surface treatment equipment. SurfacePrep was formed in May 2020 by private equity firm CenterOak Partners, through a combination of its legacy investment in GNAP and a total of ten strategic acquisitions over the prior 18 months.

Acquisition of Hydro-X by Marlowe (BHP Corporate Finance, DLA Piper, Fieldfisher) Listed business-critical services and software specialist Marlowe agreed a £30m deal to acquire the 180-strong Sheffield-based water treatment and hygiene company. The business is said to provide attractive synergies with Marlowe’s TIC (testing, certification and inspection) division.

Acquisition of the Floow by Otonomo (Freeths, Osborne Clark, Allen & Overy, Latham & Watkins, Cavendish, PwC, KPMG) A cash and shares deal worth up to $69m (£51m) was agreed for the acquisition of the Sheffield-based telematics technology specialist which works with prominent insurers across the world. £11m fundraise by Additive Manufacturing Technologies (AMT) (Freeths, BHP Corporate Finance, Foresight Group, DSM Venturing, Midwest Additive Ventures, NPIF – Mercia Equity Finance) The UK-based provider of automated post-processing systems for the 3D printing industry, completed a $15m (£11m) Series B funding round in October. The funding, led by Foresight Group’s Foresight Williams Technology Funds, brings AMT’s total capital raised to $25m (£18m).

Funder of the Year Shawbrook Bank HSBC UK Santander ThinCats Corporate Finance Advisory Firm of the Year Castle Square Corporate Finance BHP Corporate Finance Hentons Shorts

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Corporate Law Firm of the Year DLA Piper Freeths CMS Knights Dealmaker of the Year Patrick Lynch, Castle Square Corporate Finance Don Gray, BHP Corporate Finance Kevin Davies, BHP Corporate Finance Andy Ryder, Shorts Paul Trudgill, Knights Emerging Dealmaker of the Year Russell Bainbridge, Knights Connor Marshall, Shorts Joe Briggs, BHP Corporate Finance Tom Haywood, Taylor & Emmet Joe Potts, Castle Square Corporate Finance To find out more about the awards dinner, click here.

ALSO APPEARED IN • Yorkshire Insider Daily READ ARTICLE ONLINE

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Supply chain failures and the importance of well-drafted T&C’s

If you are a business, then you have likely felt the effect of the recent supply chain crisis, caused by a combination of factors including Covid-19 and the new post-Brexit world of border controls and customs regulations.

It is essential that businesses understand their potential liability exposure if they are unable to supply their customers. In order to do this, they will first have to consider the contracts that they have entered into with those customers.

Key points that suppliers will have to consider include the following: • Does a failure to deliver, or a delay in delivery, actually put the supplier in breach of contract?

If the contract fixes the delivery date and provides no flexibility, then failure to meet that date clearly puts the supplier in breach. This could lead to the customer suing the supplier for damages to reflect the losses that they have incurred as a result of that breach. However, the supplier can attempt to mitigate this risk by contracting via a well-drafted set of terms & conditions that set the delivery dates as estimates only. This means that a failure to deliver on those dates will not necessarily put the supplier in breach of contract.

• Does the contract contain any limits on the supplier’s liability?

If the supplier is liable for a breach of contract, then they will need to consider whether the contract contains any limits on their liability.

Well-drafted terms & conditions will include a monetary limit on what their liability is.

• Does the customer have any right to liquidated damages under the contract?

Liquidated damages are a fixed sum (or a mechanism for determining a fixed sum) agreed by the parties to a contract to be payable on breach by one of the parties. They are a quick and easy way for customers to recover money from suppliers without having to go through the full court process to establish what losses have actually been suffered.

However, the customer has no automatic right to liquidated damages unless the contract sets this out – so you must check those terms!

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• Does the contract contain a force majeure clause?

Force majeure clauses address unforeseen events that are outside of a party’s control and which prevents that party from fulfilling their contractual obligations. A force majeure clause in the supply contract may allow suppliers to suspend performance of their obligations until such time as they are able to continue performing them. Suppliers should review any force majeure clause to see if it will assist them in arguing that their delivery obligations should be suspended. Note however that the force majeure clause may exclude actions or inactions of the defaulting party’s own supply chain, on the basis that that party will have at least some control over its own suppliers via their own supply contracts with them.

Other Points It is also worth mentioning “frustration”, which is a legal concept that occurs where a change in circumstances makes it physically or commercially impossible for a contracting party to carry out its obligations. In practice however, claiming frustration is very difficult and such claims often fail.

• Can a party pass their liability down the contractual chain to their supplier?

If the cause for delay is the fault of a party’s own supplier, that party may be able to pass any liability they may have to their customer down the contractual chain to that supplier. This depends on the contractual position and a party will clearly be in a better position if they have contracted with their own supplier upon terms & conditions which have been professionally drafted in their favour. Remember that commercial contracts are key tools to mitigate risk.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

Of course, on a practical level, warning the customer as soon as possible about a potential delay in delivery is a sensible step. Courts look favourably on parties who have tried to resolve the problem themselves, and the customer is obliged to try to mitigate their losses, which they can usually do more easily the more notice they are given.

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Your company sucks!

“Gripe” or “Suck” sites are websites created for the purposes of complaining about and/or criticising a business. In order to attract the attention they seek, gripe sites often register a domain name that incorporates the target business’s trade mark in some way. For example, in Leonard Cheshire Foundation v Drake a disgruntled former Leonard Cheshire employee registered the domain name www.leonardcheshire.com (whereas the “genuine” website for the Leonard Cheshire Foundation was to be found at www.leonardcheshire.org) and proceeded to use it as a gripe site.

Invariably the similarity between domain names coupled with the presence of the target’s trade mark or branding on the gripe site, can lead to a business’s customers, or potential customers, accessing a gripe site (where they will usually be greeted by inflammatory, and often defamatory, material about the business) instead of the target’s own website. This can inevitably cause real damage to the target business.

THE RISE OF GRIPE SITES Gripe sites are a common method for individuals to put pressure on businesses quickly, cheaply and effectively. A gripe site which attracted a fair amount of media attention was that relating to the domain name www.walmart50.com. In July 2011, Wal-Mart registered that domain name in celebration of its 50 years in business. A third party proceeded to register three very similar domain names: walmartat50. com, walmartat50.net and walmartat50.org. All three domain names redirected to the same website which included unfounded allegations about Wal-Mart’s employment practises. Wal-Mart subsequently applied for transfer and cancellation of the domain namesusing the Uniform Dispute Resolution Process (see below for further information).

What can you do about a gripe site?

There are two key options available to businesses that are being targeted by a gripe site: 1. Commence legal proceedings – Claims that may be available in these circumstances include passing off, trade mark infringement and/or defamation.

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Passing off – A successful passing off action requires the claimant to show (i) that its business has generated customer goodwill, which is being misappropriated by the defendant’s use of its branding; (ii) the defendant’s use of the claimant’s branding misrepresents to the public an association with the claimant, which does not in fact exist; and (iii) damage to the claimant, by reason of the defendant’s misrepresentation.

Demonstrating misrepresentation when the site is obviously a gripe site can be difficult.

Trade mark infringement – Provided the claimant has a registered trade mark which is identical or confusingly similar to the mark used in the gripe site domain name, trade mark infringement claims are a possibility. However, claimants will often find it difficult to demonstrate that the allegedly infringing mark has been used in the course of trade in circumstances where the defendant has registered and used a domain name simply to criticise the target.

Defamation – One of the requirements of a defamation claim is that the defamatory statement(s) must have caused or would be likely to cause serious harm to the claimant’s reputation. If serious harm to reputation cannot be established, then a statement cannot be defamatory. In addition, businesses must also be able to show that the alleged defamatory material has caused serious financial loss.

Courts have a wide range of remedies at their disposal, including the power to award damages to a successful claimant, in addition to its legal costs. However, such an award is of limited value in circumstances where the defendant has few assets.

2. Application for transfer or cancellation of the disputed domain name using the Uniform Dispute Resolution Process (“UDRP”) – In contrast to commencing formal legal proceedings, the UDRP route may be a more cost-effective and generally less public alternative (although the decision will be published). For instance, a UDRP application to the World Intellectual Property Organisation (“WIPO”) will usually be decided within 39 calendar days from commencement of the complaint, and the application fee can be as little as $1,500.

Commencement of UDRP proceedings results in the disputed domain name being “locked” until such time as a decision is reached by the UDRP administrative panel. As such, the registrant of the domain name will be unable to update its website whilst proceedings are ongoing.

There are various hurdles that a complainant will need to overcome if a UDRP application is to succeed, including: • Providing evidence to demonstrate that the respondent is the registrant of the disputed domain name; • Showing that the complainant is the registrant of the domain name that the disputed domain name is targeting; and • Identifying the registrar (the organisation which buys domain names wholesale from a registry and sells them to end users) of the disputed domain name to establish that the registrar’s standard domain name registration agreement adopts the UDRP to deal with disputes.

A complainant must also satisfy the substantive grounds for an application to succeed, which are that: • the disputed domain name is identical or confusingly similar to the complainant’s trade mark (whether that trade mark is registered or unregistered); • the respondent has no legitimate interest nor rights to the disputed domain name; and • the disputed domain name is being used in bad faith.

A complainant will need to choose an approved dispute resolution service provider that has jurisdiction over the dispute. Applications relating to “co.uk” domain names must be made to Nominet under the Nominet Dispute Resolution Service. Applications relating to all other domain names are usually made pursuant to the UDRP. If the complainant succeeds, the domain name of the gripe site in question will be transferred to it (or cancelled).

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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Manufacturers and importers warned of more red tape ahead

UK manufacturers and importers must brace themselves for further red tape and costs, as the deadline for compliance with the new quality control mark, UK Conformity Assessed (UKCA), looms.

The new mark will replace the EU’s CE mark that has been used across Europe since 1985, to show that a product complies with health, safety and environmental standards.

James Sarjantson, commercial contracts and intellectual property partner at LCF Law, said: “The deadline for compliance with the new UKCA mark, which is replacing the EU’s CE mark, has been pushed back from its original deadline to 1 January 2023, but that is less than 10 months away.

“The manufacturing industry and importers must face their frustrations and get organised in time for the deadline. Despite many hoping that leaving the single market would remove EU red tape, changes like these are in fact creating more hoops for businesses to jump through.

“As well as the introduction of the new UKCA mark, the new UKNI mark will also be used on some products in Northern Ireland, so it’s important that everyone understands what they mean and when they should be used.

“The CE acronym stands for Conformité Européene, which translates as European Conformity. Essentially the CE marking on a product shows that the manufacturer has checked that the product meets relevant EU laws and allows the free movement of the product within the European market.

“The regime only applies to those products subject to specific EU directives requiring CE marking, such as hot-water boilers, refrigerators, measuring instruments, PPE, pressure equipment and toys.

“The exact process manufacturers need to follow depends on the directives that apply to their products, but generally a relevant manufacturer is obliged to carry out a conformity assessment, issue the Declaration of Conformity (DoC), and place the CE marking on the product. Some EU directives require an authorised third party, or a notified body, to be involved in the conformity assessment procedure for CE marking.

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“Now that the UK has left the EU, a new product UKCA marking has been introduced for goods being placed on the market in England, Wales and Scotland.

“The UKCA regime covers most goods which previously required the CE marking; however, as before, manufacturers and importers will need to check the specific legislation that applies to their goods.

“To allow businesses time to adjust, CE marked goods can continue to be placed on the market in Great Britain until 1 January 2023, whilst EU and UK requirements remain the same, which is currently the case, and there are no plans to diverge – although that could change and needs to be continually monitored.

“From 1 January 2023, UK manufacturers and importers will need to use the UKCA marking rather than the CE marking, although government guidance states that the new marking should be implemented as soon as possible.

“However, the flip side of the new post-Brexit British rules, is that the UKCA marking will not be recognised in the EU or Northern Ireland.

This means products currently requiring a CE marking for sale in the EU will continue to need a CE mark.

“The position in Northern Ireland is different because it is affected by the Northern Ireland Protocol, which means that territory still aligns with EU rules. Therefore, the UKCA marking cannot be used for goods sold in Northern Ireland.

“The existing CE marking can continue to be applied to goods in Northern Ireland in certain circumstances. However, manufacturers and importers using a UK notified body to carry out mandatory conformity assessments need to apply a UKNI marking to the product to sell it in Northern Ireland. The UKNI marking cannot be used on its own and must always be used in conjunction with an EU conformity marking, such as the CE mark.

“Manufacturers and importers must act now to ensure they are ready for the deadline next year. Getting legal advice and guidance is also advisable, to make sure no laws are inadvertently broken.”

ALSO APPEARED IN • Yorkshire Business Daily • Manufacturing Week • Mondaq.com READ ARTICLE ONLINE

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On the spot with James Sarjantson

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It’s all change again for CSPs thanks to Ofcom

Telecoms.com periodically invites expert third parties to share their views on the industry’s most pressing issues. In this piece James Sarjantson, commercial, digital and telecoms partner at LCF Law, explains what Ofcom’s second wave of rule changes mean for providers of communications services.

Providers of communications services including business telecoms, broadband, mobile, pay TV and landline services, must prepare for a second wave of key rule changes from Ofcom. These rules will require further significant changes to the way telecoms providers offer their services and will mean changing their contracts with customers.

Background The 2018 European Electronic Communications Code (EECC) updated the EU regulatory framework for communications services.

Although the UK has now left the EU, under the terms of the EU Withdrawal Agreement, the UK still had an obligation to implement this EU directive into domestic law.

The EECC contained a package of measures designed to protect customers of communications services, and to ensure that customers can shop around with confidence and make informed choices. Ofcom, the UK communications regulator, has been implementing the new EECC protections through changes to the General Conditions of Entitlement, which are the regulatory rules that communications providers must comply with when providing services in the UK. Most of the changes to the General Conditions came into effect on 17 December 2021, after the original deadline of December 2020 was put back due to the Covid-19 pandemic. Communications providers that haven’t yet updated their practices and contract terms to reflect those changes must do so urgently to avoid enforcement action by Ofcom.

Further new rules will come into effect on 17 June 2022, relating to various points including the provision of contract information, and extended customer rights to exit.

Changes to the rules relating to switching and porting will then come into effect on 3 April 2023.

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New Rules from 17 December 2021 New definitions were introduced into the General Conditions for micro enterprise and small enterprise customers and not-for-profit customers.

Essentially these are small businesses or not-for-profit entities with 10 employees or less and they now have many of the same protections under the General Conditions as consumers do. As such, the distinction between business communications providers and residential or consumer communications providers is now much more complicated and requires business providers to look closely at their contract terms and in most cases update them.

Crucially, contracts with providers are not binding unless the customer has received the contract information and contract summary documents in advance of entering into the contract. Providers may therefore find that customers who they thought were bound into contracts for several years, could in fact desert them overnight.

The right to exit Providers must notify customers at least one month in advance of changes to their contractual conditions and, at the same time, inform them of their right to exit.

Other changes to the General Conditions that came into effect in December 2021 include: • A two-year maximum commitment period, or contractual lock-in period, applies to microenterprise, small enterprise and not-forprofit customers, as well as consumers, and also applies to cover bundles including terminal equipment. The aim here is to prevent customer switching being unduly hindered by long lock-in periods.

• Internet and phone providers are not allowed to extend the duration of a customer’s existing contract when they buy additional services, unless the customer gives their express consent.

• End-of-contract notifications and annual best tariff notifications sent to customers must include details of other contracts taken as part of a bundle.

Any proposed changes to a customer’s contract, where those changes are not exclusively to the customer’s benefit, are purely administrative with no negative effect on the customer, or are directly imposed by law, will give the customer the right to exit their contract, without paying extra charges. These rules apply to all customers, including both large and small business customers.

New Rules from 17 June 2022

Importantly for providers, the right to exit rules will apply to existing contracts as well as new contracts.

Upcoming changes to the General Conditions from June 2022 include specific contract information and contract summary requirements.

Before they are bound by a contract, customers must be given a detailed contract information document by hard copy or email, rather than just via a general website page. Customers must also receive a short one-page contract summary in writing, or this extends to three pages for bundles.

This summary must follow a specific format, with the aim being to give customers clear information about the relevant service, in advance, so they can make an informed decision about what’s best for them. This applies to consumers, micro enterprises, small enterprises and not-forprofit customers, unless they have expressly agreed otherwise.

If a right to exit is triggered it will also apply to any contracts with that customer forming part of a bundle.

Where a customer decides to exit, their contract must be terminated from the day before the contractual change comes into effect, unless the customer agrees otherwise.

Communications providers can still potentially include price increase clauses in their contract, provided they are sufficiently transparent and prominent to the customer when entering into the contract. In particular, price increase clauses must be reasonable, and where the clause permits a price increase at a certain time by an amount linked to an inflation index, providers must include examples of the customer’s future monthly price following the increase.

As always, the detail of the changes is considerable and extensive, and this is only a brief summary of some of them. Providers will need legal advice to make sure they are not breaching any of the conditions as this could lead to an OFCOM investigation and may subsequently lead to a fine of up to ten per cent of turnover of the relevant communications business.

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PERSONAL

PERSONAL PROMOTION

Trustees must act now with Neil Shaw PROMOTION

TRUSTEES MUST ACT NOW TRUSTEES MUST ACT NOW Neil Shaw, head of personal law at Yorkshire law firm LCF Law outlines action which must be taken before 1 September 2022

Neil Shaw, head of personal law at Yorkshire law firm LCF Law outlines action which must be taken before 1 September 2022

The rules are complex. Trustees may Anyone who is a trustee will need to seek LCF Law provides tailored advice need the help of lawyers or accountants legal advice, as more trusts than ever to ensure that clients’ wealth passes to establish whether it needs to be need to be registered with HMRC’s Trust to the people who are important to registered and to guide them through the Registration Service (TRS), ahead of the them in a tax efficient manner. LCF Law process. Those that miss the deadline will September deadline. handles submissions for many trusts, face financial penalties.

A trust is a way of protecting and guides clients through the setting The rules arewascomplex.

Trustees may up of trusts, the Anyone who is a trustee seek LCF Law provides The TRS originally created for wealthwill and need passingto assets to future initial registration and tailored advice reporting that pay UKor tax.

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A trust is a way of they protecting and guides information relating to the settlor, trustees, are created to avoid or reduce tax, legal services which meet orclients exceed through the setting The information mustfor there are to many different reasons for client expectations. n The and TRSbeneficiaries. was originally created wealth and passing assets future up of trusts, the initial registration and be confirmed annually, and any changes creating a trust, for example providing reporting that pay UK the tax.TRS The new generations in a controlled manner. ongoing management. must trusts also be updated through for family members or future generations within 90 the days. scope to many UK and wealth rules extend They are also a way or ofsafeguarding separating theagainst a risk of LCF Law has offices in Leeds, However, there are still certain trusts divorce or insolvency. some non-UK trusts, regardless of whether ownership and the control of assets Bradford, Harrogate, and Ilkley. LCF’s that are excluded from registration such as Trusts have been around since Richard there isthose taxholding to pay. that might include land, property, aim is to be the best law firm in Yorkshire life insurance and healthcare Lionheart and the Crusade and continue policies, wellregistration as bank accountsprocess, for to be relevant today. A trust can be As part of as the money and investments. working with clients to achieve their minors and vulnerable people. created during lifetime or upon death.

Neil Shaw is a solicitor with more than details must provided, including Although there’s a perception goals. Inin doing so the firm will deliver Othersbe which fall outside of registration New legislationthat from March 2022 means 30 years’ experience advising on include those set upto under rules; many trusts will have to be registeredinformation with trusts, wills, and estate planning relating theintestacy settlor, trustees, they are created to avoid or reduce tax, legal services which meet or exceed those created under a court order to hold the TRS by 1 September 2022. HMRC The information there are many different reasons client expectations. n compensation payments or those trusts mustContact Neil launched the TRS for in 2017 to improve and beneficiaries. on 0113 244 0876 holding jointly owned assets, the transparencyproviding around ownership of assets or nshaw@lcf.co.uk. Visit lcf.co.uk be confirmed annually, and such anyaschanges creating a trust, for example family home or a joint bank account. held in trusts. for more information

for family members or future generations or safeguarding wealth against a risk of divorce or insolvency.

Trusts have been around since Richard Lionheart and the Crusade and continue to be relevant today. A trust can be created during lifetime or upon death.

New legislation from March 2022 means many trusts will have to be registered with the TRS by 1 September 2022. HMRC launched the TRS in 2017 to improve transparency around ownership of assets held in trusts.

must also be updated through the TRS within 90 days.

However, there are still certain trusts that are excluded from registration such as those holding life insurance and healthcare policies, as well as bank accounts for minors and vulnerable people.

Others which fall outside of registration include those set up under intestacy rules; those created under a court order to hold compensation payments or those trusts holding jointly owned assets, such as the family home or a joint bank account.

Neil Shaw is a solicitor with more than 30 years’ experience in advising on trusts, wills, and estate planning Contact Neil on 0113 244 0876 or nshaw@lcf.co.uk. Visit lcf.co.uk for more information

PERSONAL

Yorkshire solicitor qualifies as a specialist advisor to the elderly

A Yorkshire personal law solicitor has been recognised with a national accredited award for her expertise in supporting older and vulnerable people.

Jennifer Lee, from LCF Law, has achieved the Older Client Care in Practice (OCCP) Award, which distinguishes lawyers who provide specialist legal care and support to older and vulnerable clients, their families and carers.

To achieve the award, Jennifer completed a stringent assessment, and demonstrated an excellent understanding of the specific needs and considerations required when safeguarding and protecting older clients’ interests.

Jennifer works closely with individuals and families, helping them to manage their affairs and plan for the future, guiding them through the process of making a Will and advising on Powers of Attorney. She also specialises in probate work, supporting her clients through emotionally difficult times.

As part of the award Jennifer is now a fully accredited member of SFE (Solicitors for the Elderly), an independent, national organisation of professionals, including solicitors, barristers, and chartered legal executives, committed to providing the highest quality legal advice on specialist areas, such as Wills, Powers of Attorney and elder abuse.

Jennifer is one of four members of the LCF Law team who have achieved the coveted accreditation. They include solicitor, Kelly Edmundson, associate solicitor, Amjed Zaman and partner, Ann Christian.

Jennifer said: “I like to try and ease the burden and make things as straightforward and as stress-free as possible for my clients. Older and more vulnerable clients often have special requirements that can be complex and life changing. We must consider any potential mental and physical difficulties that might affect them and be a trusted partner – something that this award exemplifies.”

Lakshmi Turner, chief executive of SFE, said: “We recommend people always use specialist legal advice when planning for later life, and SFE is the gold standard for solicitors and chartered legal executives advising on older client law. The OCCP Award ensures lawyers provide the best advice to older people and their families, guiding them through the different legal processes sensitively.”

PERSONAL

Ann Christian, partner at LCF Law, said: “After becoming an SFE accredited lawyer myself over 10 years ago, I understand what a positive achievement it is and how it benefits clients. Getting the best possible outcome for our clients and understanding their individual needs in great depth is an essential part of what we do, and this award is a great way of showcasing Jennifer’s expertise in this area.”

ALSO APPEARED IN • Bradford T&A • The Yorkshire Times • Gazette & Observer READ ARTICLE ONLINE

PERSONAL

Start planning for care costs now

Personal Law Solicitor Kelly Edmundson looks at the governments plans for social care and gives advice on planning for care costs.

It is arguable that the Government’s long-awaited plans for a muchneeded overhaul of social care were not worth the wait.

The White Paper on social care in England and the new cap on care fees is a step in the right direction to change to our broken system. However, it is unlikely to save many people any money and does nothing to alleviate the immediate crisis facing social care.

There may be a positive difference for a very limited number of people but certainly not poorer pensioners.

The Government published its White Paper on Social Care in December, which followed the Prime Minister’s previous announcement that a new social care cap would be implemented from 2023 and no one in England would pay more than £86,000 in care fees during their lifetime.

The new 10-year vision for adult social care aims to provide greater choice for those receiving care and certainty over costs. For the first time there will be a limit on the cost of care for everyone in the adult social care system - there’s more detail on this point below.

In addition: • £300m will be spent on supported housing.

• £150m will be invested in new technologies, such as personal alarm systems and online rotas for staff.

• £500m will be put towards improving training and qualifications for staff.

From October 2023: • Those with assets of less than £20,000 will not have to pay anything towards care fees - although they might have to pay from their income.

• Those with more than £100,000 in assets - the value of their home, savings or investments - will not get any financial help from the council.

• Those with assets between £20,000 and £100,000 will qualify for council help, but will have to pay £86,000 out of their own pocket to reach the cap.

PERSONAL

The new cap on care costs will cover fees for personal care, like help with washing and dressing, but it will not cover living costs such as care home fees, food or utility bills.

Plan now for your future It is important that all of us make both a health and a wealth plan. It is time people stopped thinking of planning for the future as something to do in later life.

Day in day out we support older and vulnerable people facing issues like care home fee rises, the desire to stay in their own home and lack of access to funding for support for conditions like dementia. The earlier each of us begins planning, the more options we give ourselves when we eventually do need support.

When thinking about protecting your home when it comes to paying for the cost of care, there are a few things to consider: If you need to move into a care home, you will usually have a financial assessment to work out how much you will need to pay yourself. If you own your house and your spouse, partner or civil partner is still living there then a ‘property disregard’ could apply which means your home won’t be used to fund care costs.

However, the local authority will take income, including pensions, into account when they decide how much people will pay towards their own care. This may reduce the household income available to the spouse/ partner who continues to live in the property.

What steps can you take?

In most cases, couples tend to own a property as joint tenants so that when one partner dies the property automatically passes to the survivor.

One of the primary reasons people change this is to ensure their 50per cent share of the property passes to their children, rather than it automatically passing to a surviving spouse/ partner, which consequently means the whole value of the property could be taken into account for the costs of care of the surviving partner/ spouse.

You can sever the joint tenancy over your property by written notice and then updating the ownership position with the Land Registry.

You should then make a will to ensure that your share of the property passes in accordance with your wishes. However, as an alternative, you may consider your home as an investment to fund your care. This would give you a greater ability to choose where you would like to be cared for, close to loved ones and relatives perhaps, and how your preferences could increase your care costs.

Independent Age also has some good advice on their website and a free helpline: 0800 319 6789.

What can we do to help you?

Each individual’s circumstances are very different, so we would always recommend speaking to a specialist solicitor when considering planning for future care costs, as well as having extensive experience and knowledge, we are also great listeners and work hard to really understand your circumstances and provide the most appropriate advice and support in order to give you complete peace of mind.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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FAMILY

FAMILY

It’s full-time for the divorce blame game

This month has seen the biggest shake up of divorce laws for 50 years after the new ‘no-fault’ legislation was introduced on 6th April, which means married couples are now able to divorce more amicably, without assigning blame.

The changes to the Divorce, Dissolution and Separation Act 2020 enables couples to divorce on the grounds of ‘irreconcilable differences,’ either individually or together, and without pointing the finger of blame.

Prior to this couples had to state why they were divorcing, with the three most common legal reasons being allegations of the other’s unreasonable behaviour, allegations of adultery, or the fact that they have been already separated for two years, provided their spouse agreed.

Rachel Spencer Robb, who is a partner and head of LCF Law’s Family Law team in Yorkshire, said: “Removing the need for evidence of one party being to blame for the failure of the marriage should reduce the acrimony and conflict that often arises during a divorce, and particularly when the fault-based grounds of behaviour and adultery are contested.

“Before these changes, unless someone could prove there was adultery, unreasonable behaviour or desertion, the only way they could divorce without their spouse agreeing to it, was to live apart for five years.

“We always advise that a no conflict approach to divorce is the best way forward, especially where there are children involved, and we support our clients through their own journeys.

“We had a lot of clients who chose to wait for the changes in April, but there were still some people who were keen to push ahead to divorce right away. They wanted to have their say about why things went wrong in their marriage and found it therapeutic to do so.”

Rachel added: “Other newly introduced changes mean there is now a minimum period of 20 weeks, between starting proceedings and applying for a conditional order. This has been introduced in response to concerns that the reforms make divorce a quicker and easier option for couples and has been designed to encourage ‘meaningful’ reflection.

FAMILY

“Once the 20 weeks is up, there will then be a minimum wait of six weeks before a final order can be made, so divorcing will potentially now be slower than under the previous system. It’s also no longer possible to contest a divorce, except on limited grounds, including jurisdiction.”

ALSO APPEARED IN • Ilkley Gazette • Wharfedale Observer • Mondaq.com READ ARTICLE ONLINE

FAMILY

How to divorce with no conflict

April has seen the biggest shake up of divorce laws for 50 years.

The new ‘no-fault’ legislation introduced on April 6 means married couples are now able to divorce more amicably, without assigning blame.

The changes to the Divorce, Dissolution and Separation Act 2020 enables couples to divorce on the grounds of ‘irreconcilable differences,’ either individually or together, and without pointing the finger of blame.

Prior to this couples had to state why they were divorcing, with the three most common legal reasons being allegations of the other’s unreasonable behaviour, allegations of adultery, or the fact that they have been already separated for two years, provided their spouse agreed.

Removing the need for evidence of one party being to blame for the failure of the marriage should reduce the acrimony and conflict that often arises during a divorce, and particularly when the fault-based grounds of behaviour and adultery are contested.

Before these changes, unless someone could prove there was adultery, unreasonable behaviour or desertion, the only way they could divorce without their spouse agreeing to it, was to live apart for five years.

We always advise that a no conflict approach to divorce is the best way forward, especially where there are children involved, and we support our clients through their own journeys.

We had a lot of clients who chose to wait for the changes in April, but there were still some people who were keen to push ahead to divorce right away. They wanted to have their say about why things went wrong in their marriage and found it therapeutic to do so.

Other newly introduced changes mean there is now a minimum period of 20 weeks, between starting proceedings and applying for a conditional order. This has been introduced in response to concerns that the reforms make divorce a quicker and easier option for couples and has been designed to encourage ‘meaningful’ reflection.

Once the 20 weeks is up, there will then be a minimum wait of six weeks before a final order can be made, so divorcing will potentially now be slower than under the previous system. It’s also no longer possible to contest a divorce, except on limited grounds, including jurisdiction.

FAMILY

It is also interesting to look at divorce trends in the run up to these changes and particularly during the pandemic. Figures from the Office for National Statistics (ONS), reveal that divorce rates fell during the year of the first lockdowns, despite widespread predictions that they would rise due to the stresses and strains placed on couples by the pandemic.

The ONS states that in 2020 there were 103,592 divorces granted in England and Wales - a decrease of 4.5per cent on the previous year.

This was despite some legal firms reporting they were experiencing a 40per cent increase in divorce enquiries during the lockdowns, with couples citing financial woes and being stuck in close confinement as reasons for separation. We experienced a 25per cent increase in enquiries during 2020, but not all related to divorce.

One area that we experienced more enquiries about in particular, was in relation to the contact arrangements for children, where parties were already separated, but were unsure how to navigate the confusing and ever-changing rules around lockdown, isolation and bubbles.

Most clients seeking divorce that we have worked with recently, have said that their decision to divorce was impacted by lockdown. Many found that problems in relationships that were probably there all along were brought to the forefront by lockdowns, due to the extra pressure of home schooling, no space from each other and money concerns.

Most clients were still keen to avoid a court battle where possible, which resulted in more mediation work.

The figures from the ONS also revealed a rise of more than 40% in same-sex couples divorces – rising from 822 in 2019 to 1,154 in 2020.

Of these, 71per cent were divorces between female couples.

Indeed, the number of same sex divorce cases we are advising on has increased in line with the ONS figure, and we expect to see these numbers continuing to climb as a result of the no-fault divorce law. * Rachel Spencer Robb is a partner and head of LCF Law’s Family Law team as well as being a qualified mediator and an Accredited Specialist of Resolution.

LCF Law is an award-winning full-service law firm, which operates regionally, nationally and internationally.

With more than 125 people and 22 partners across offices in Leeds, Bradford, Harrogate and Ilkley, LCF Law provides practical advice in a clear and efficient way: Visit www.lcf.co.uk READ ARTICLE ONLINE

EMPLOYMENT

EMPLOYMENT

Statutory employment payments on the rise

Every April the rates and limits change for statutory employment payments. This includes the amounts employees receive by way of statutory sick pay, redundancy pay, maternity/paternity pay and minimum wage, as well as the maximum amounts payable following successful Employment Tribunal claims.

“As a result, given the current strong jobs market, particularly in skills-shortage areas, then despite the maximum award available being increased, it is entirely possible that we will see a decrease in the level of compensatory awards in Employment Tribunals if employees are more readily able to secure alternative employment.”

Gemma Sherbourne, employment lawyer and senior associate at Bradford based LCF Law, explained: “From the 1st April this year, there are annual increases across the board, including in relation to the maximum Employment Tribunal compensatory award, which this year is increasing from £89,493 to £93,878.

LCF Law’s employment team has significant expertise in dealing with Employment Tribunal claims and advising employers on the best ways to avoid them. Gemma added: “Win, lose or draw, Employment Tribunals can be time-consuming and expensive to defend. It therefore remains sensible to take advice to ensure that a company’s policies and procedures remain fit for purpose, and to minimise the risk of claims.”

“However, it’s important to understand that this doesn’t mean that everyone winning a claim will automatically see an increase in the amount of any compensatory award made. The compensatory award does what it says on the tin – it compensates the employee for their losses – it is not designed to be punitive or to give the employee a windfall.

On 1 April 2022 the following increases will take place:

EMPLOYMENT

ALSO APPEARED IN • Business Up North READ ARTICLE ONLINE

EMPLOYMENT

Can no jab mean no sick pay?

With all the stories in the press and headlines reporting that yet another company is ‘withholding’ sick pay for unvaccinated staff, what is the legal position for employers that choose this path?

Current rules For those who have received the Covid-19 vaccine, there is no longer a requirement to self-isolate where they have been in contact with a confirmed case of Covid-19. Instead, they are advised to carry out daily Lateral Flow Tests (LFTs) for 10 days from the date of the contact and to isolate only if they develop symptoms or test positive on an LFT, or both.

However, those who have not been vaccinated are required to selfisolate for the full 10-day period following contact with a confirmed case of Covid-19. In this case, at present, they would be entitled to receive statutory sick pay (SSP) as they are isolating in line with the regulations.

Firms cutting sick pay for the unvaccinated A growing number of companies have announced that unvaccinated employees will no longer be paid company sick pay, unless they personally test positive for Covid-19 or have symptoms which mean they are unable to work.

Many press reports state these companies are ‘withholding sick pay’ from employees. However, this is not altogether surprising; before Covid-19, company sick pay would not usually have been paid to staff who are not actually unwell.

This situation is not about staff who have symptoms or test positive for Covid-19. This is about those who are otherwise completely fit and well but are not able to work purely because they are required to isolate due to their vaccination status.

For the last 18 months, many companies have agreed to pay company sick pay where staff are required to self-isolate, even where the employees in question have not been unwell. This has been fuelled by the unique circumstances of the pandemic which meant large numbers of people have had to remain away from work, despite being well, because that was the legal requirement for anyone who had been in contact with a confirmed case of Covid-19.

EMPLOYMENT

However, following the hugely successful vaccine rollout, that is no longer the case. Instead, it is only the unvaccinated who have to isolate - those who are vaccinated can attend work as normal. Many employers are therefore taking the view that if employees have made a choice not to be vaccinated, they should no longer benefit from these enhanced sick pay terms, at a substantial cost to the employer.

Other circumstance where company sick pay is not paid It is also worth noting that there are already a number of other circumstances where company sick pay is sometimes not paid to employees who are off work because of a personal choice they have made.

For example, company sick pay is often not paid to staff who have elective surgery or become injured after participating in extreme sports.

These employees are still entitled to receive SSP if they can’t work, but company sick pay would not be paid as the situation leading to their non-attendance at work is the result of a personal choice. The same could be said to be true of staff who have made the choice not to be vaccinated against Covid-19.

Are employers taking a risk with this approach?

So, is this something that employers can do, or is there a risk in taking this approach? That really depends on the specific circumstances relating to each individual employer, and the particular employee in question.

It could, in some cases, amount to a contractual change. In such cases, if employers don’t follow the appropriate procedures to implement that change, it could lead to claims for unlawful deductions from wages, breach of contract or even constructive unfair dismissal.

Equally, there is invariably a risk of discrimination claims arising if such a policy is not implemented in an appropriate way. For example, if an employee has chosen not to be vaccinated due to religious reasons, such a policy could lead to claims for indirect discrimination. Similarly, if an employee who has a disability – but who is medically able to have the vaccination – has for reasons related to their disability chosen not to do so, it could lead to claims of discrimination arising from disability or failure to make reasonable adjustments.

No one size fits all The devil, as always, is in the detail. There is no ‘one size fits all’ and employers are advised to seek legal advice on the detail of their individual policies if they wish to stop paying company sick pay to unvaccinated staff in these circumstances.

And as with everything arising from the Covid-19 pandemic, this is a constantly evolving situation, and it remains as important as ever to keep up to date with changes in the law.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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REAL ESTATE

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Here come the mods!

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