Black Lawyers Still Underrepresented in South African Legal System

South African CourtSince the days of Apartheid, South Africa has been hailed for undergoing a complete transformation which has seen drastic improvements in racial equality. However, black groups still remain very much underrepresented among the country’s lawyers.

Those who would once have been severely restricted by Apartheid now make up two thirds of the past ten years’ law graduates. While this figure would look encouraging on its own, data from the Law Society of South Africa reveals that only 37% of the country’s practising attorneys are black. There is evidently great disparity between the number of black people who complete law degrees in South Africa and the number who go on to work as lawyers. When it is considered that approximately 79% of South Africa’s population as a whole are black, even the two thirds (66%) of graduates that are black begins to look a little low.

According to South African attorney Michael Motsoeneng Bill, “The rhetoric has been that there was room for all of us, but it created too high an expectation. The idea that you are a black lawyer and therefore your fate is sealed is wrong.” Bill himself has enjoyed success as a black lawyer, but has also seen how difficult it is for his peers to get on in the industry.

The reason for the underrepresentation of black people among South Africa’s 22,000 practicing solicitors, Bill theorises, is that 80% of law firms remain white-owned, and this figure includes many of the big players. This is coupled with the fact that corporate clients are the most lucrative and desirable ones in the legal industry, and corporations in South Africa also remain heavily white-dominated. Bill suggests that ultimately, “They often don’t have the courage to change the status quo and diversify briefing patterns.” This leaves black lawyers confined to lower-paying areas of practice such as conveyancing, and such restrictions could potentially be a disincentive to work as a solicitor at all.

For some, the issue of underrepresentation has been highlighted by the high-profile Oscar Pistorius trial. Thanks to the decision to allow the trial to be televised, it has shown a case within the South African court system to the world. The picture the world has seen has included an all-white defence team and predominantly white team acting for the prosecution. Considering the giant steps towards equality and diversity that so many other parts of South Africa have experienced in recent years, many have found this image a surprising one.

Mis-sold PPI and its Repercussions

In the past couple of years, numerous cases of mis-sold PPI have been uncovered leading to an enormous spurt in claims for PPI refunds. PPI or Payment Protection Insurance covers the credit card payments or loan payments in case of sickness, accident or unemployment. You may have also been mis-sold the policy without your knowledge.

Considering PPI Claims

If you look into the PPI basics, you will find that the policy is in essence a good one, but due to the wide mis-selling, hundreds of people are left without any cover. And this even happened in spite of paying a huge amount in monthly premiums. The cost of the insurance is large, and dwarfed the interest thus leading many people to think of it as an expensive affair.

Cause for Mis-selling

The financial providers were under huge stress to increase the sales of PPI which forced them to mis-sell thus leading to the PPI fraud. You could have avoided getting embroiled in the PPI scam if you had known whether you really need to have a PPI while taking the policy.

Standalone PPI

If you have taken a PPI policy along with a loan or mortgage, the provider should let you cancel the insurance. If you do need a PPI, you should get it as standalone insurance and cancel the PPI you purchased along with the loan to save money. A PPI calculator will help you know the exact amount of money you need to pay.  You get to save money with a standalone policy because the commission money will be reduced. With a standalone factor, you need to cover only one third amount of the cost.

If you have been mis-sold, you can lodge a PPI complaint with the concerned provider, or get assistance from the Financial Ombudsman Service. PPI help can also be obtained by approaching PPI claim companies, such as  With the High Court judgment being made in favour of the consumers, PPI claims should be dealt with in a fair manner now.

Samsung to Sue Dyson

Samsung-LogoSouth Korean electronics firm Samsung is to sue Dyson for 10 billion Korean won(£5.6 million). The lawsuit claims that the British appliance maker had “hurt Samsung’s corporate image” through past litigation falsely claiming the electronics firm was copying features of its appliances.

In August 2013, Dyson brought a case for infringement of patent against Samsung, claiming that the electronics company had copied a steering system used in some of Dyson’s cleaners. According to a statement made by Dyson chief executive James Dyson at the time “Although they are copying Dyson’s patented technology, their machine is not the same. Samsung has many patent lawyers so I find it hard not to believe that this is a deliberate or utterly reckless infringement of our patent.”

The lawsuit was later dropped in October, as the Korean company was able to show it had been using this technology before Dyson filed their patent. It was, therefore, decisively established that the company had not been copying Dyson. However, Samsung contends that this was too late to prevent harm to their image in the eyes of the public.

The new lawsuit was filed at Seoul District Court last week, and the reasons behind the case were explained in a statement to the Korea Times. The company originally stated an intention to assess the damage that had been made to their image at the time that Dyson’s lawsuit was dropped. They said they would then decide whether they should take action of their own, and it seems this decision has now been reached.

The sum that is initially being demanded may not be the full extent of the lawsuit. According to the statement a spokesperson for the company made to the Korea Times; “We are initially seeking 10bn won from the UK-based manufacturer. However, the amount will increase depending on how the court proceedings go.” The spokesperson went on to say that “Samsung’s marketing activities were negatively affected by Dyson’s groundless litigation, which is intolerable.”

According to a spokesperson for Dyson, the company is “not apologising.” The spokesperson went on to claim that Dyson have not yet been provided with a copy of the complaint made against them.

Responding to the new litigation from Samsung, James Dyson called it “surprising” that Samsung was “so worried.” Of the original lawsuit for patent infringement which started the trouble, Dyson said simply “We patent our technology, and naturally defend it.” He then went on to suggest that the judgement of the original case suggested the protection afforded by the patent system is “not enough.”

British Courts Give Most Generous Payouts for Divorces

A new report has revealed that courts in England and Wales award the most generous maintenance payouts in divorce cases when compared to other jurisdictions around the world. As a rule, British courts award larger payments which are sustained for a longer period of time when compared to other countries.

London has been nicknamed “the divorce capital of the world,” partly due to the generosity of maintenance payouts. This has not gone unnoticed by the world at large, and some couples from other jurisdictions have chosen to conduct divorce proceedings with the UK for this reason.

1This practice has divided opinions. Those who take a more negative viewpoint suggest it gives some spouses greater opportunity to secure higher payouts than they should really be entitled to. However, many also maintain that it makes for a fairer system, and gives greater protection to spouses who may be left financially vulnerable following a divorce.

The international law firm who compiled the report supported the latter view. The conclusion of the report stated that “England has an international reputation as an attractive divorce forum for the financially weaker spouse, and we should be proud of the courts’ efforts to reach a fair result in each and every case.”

According to the report, one of the key reasons for the generosity of settlements made in British courts is that UK judges are given a greater freedom regarding these details. Overall, the report looked at 15 countries including New Zealand, the US, South Africa, and a number of mainland European countries. It determined that the degree of “judicial discretion” given to British judges was greater than that given to their counterparts in any of the other countries studied.

Another key factor was the concept of fault, which is treated very differently in different countries. In some countries, this is considered a key factor in the case, and factors like adultery and abandonment can seriously affect one spouse’s financial entitlements. In other countries, fault is more of a discretionary point and not a key aspect of the case. The UK places considerable emphasis on the concept of blame, meaning that spouse’s may receive higher payments if the blame is deemd to lie with the other party.

The Law Commission is currently set to review all areas of family law, including the issues surrounding divorce settlements. This review is part of an ongoing effort to ensure fair practice. The report notes that it will be interesting to see whether this will have an effect on the generosity of maintenance payouts.

Chancellor confirms LLP tax clampdown

In the autumn statement chancellor George Osborne revealed that controversial measures to stop employees claiming partnership status to avoid tax, will be implemented in due course.

This year’s Autumn Statement was held on 5th December 2013. The most expected announcement, as a result of the summer consultation, concerned the proposed controversial legislation which affects fixed share members and the taxation of corporate members.

1The chancellor declared that he is determined to guarantee that tax advantages of partnerships are not abused. Furthermore, he revealed that changes proposed in the draft National Insurance Bill earlier this year will be applied soon.

The requirements postulated in the new rules are for many members of limited liability partnerships to be obliged to pay higher national insurance contributions by removing an automatic exemption. This is a result of a government announcement in the budget that the government would remove the assumption that LLP members are self-employed rather than employees.

However, the Law Society made a warning that these proposed measures would have serious implications for the legal and business community, and posed a risk to UK’s reputation as an attractive business location.

Chris Grayling Says Court Might Increase Small Claims Limit in the Future

UK Justice Secretary Chris Grayling had said that it is possible that courts might decide raising the small claims limit in the future despite refusing to increase it today. According to Grayling, he had listened to the observations of the House of Commons transport select committee and their opinion on retaining the £1,000 threshold regardless of complaints.

1The raising of the small claims limit was the first step in lowering the premiums of car insurance, which was triggered by fraudulent car accidents claims with “ghostly” injuries, namely whiplash injuries, which pay out greatly because it causes severe pain without physical manifestation.

Car insurance companies said that the disproportion of insurance claims to the number of car accidents authorities record is a sign that many fraudsters are taking advantage of the system, which leaves out those who really need their compensation.

According to the House of Commons transport select committee, now is not the time to raise the small claims limit because it will truly make it difficult for those genuinely in need of the insurance and can make it easier for fraudsters to again take advantage of the small claims courts despite having a smaller payout.

Medical Inspection and Check Up

Grayling mentioned that he wanted to make sure insurance companies will encourage their customers to get a medical survey before they get their compensation and share their data on suspected fraud cases to solicitors and lawyers to carry out more effective checks with their clients.

Experts said that by 2014, the UK will have its own independent specialist medical panels that would inspect whiplash cases and other car injuries involving soft tissue injuries. As soon as the government finally consults all concerned health bodies it would make a standardised form of reports and publish the scheme of the new system.


Lifting the small claims limit will allow insurers to challenge the claimant’s case in court. Grayling also mentioned that the court might lift information fees from lawyers, solicitors and insurance companies in an attempt to bring down the legal costs of challenging a claim.

Many insurers just recompense their customers because legal costs for challenging suspicious claims are more costly than the lump sum repayment they can provide. For more information about the claims process in the case of injury, click here.

Judge compromises over niqab for Muslim woman in dock

 A judge who earlier in the month refused to allow a Muslim woman to wear her veil which covered the whole of her face has now made a compromise allowing the woman to wear it apart from times where she is giving evidence to the court. The compromise ruling made by Judge Peter Murphy is a first and has set a precedent on the wearing of a niqab in court during criminal proceedings.

The woman in question who has been named as only D in the case has pleaded as not guilty to accusations of witness intimidation while wearing the religious veil. She said that it is contrary to her religious beliefs to show her face to the public and so the judge made special arrangements which involve screening her from public view when she is asked to reveal her face during the proceedings.

The trial which is set to take place in November at Blackfriars crown court includes directions which will ban court room artists from drawing or sketching the defendant when she is not wearing her niqab. The only people who will be permitted to look at the woman’s face are the jury, legal counsel as well as the judge only when she is giving evidence.

The judge who accepted submissions both from the defence and the prosecutor stated that there was not clear precedent in existence which would bring a resolution to the matter. The judge commented at the uncertainty and reluctance to deal with the issue by saying that the religious veil had become “the elephant in the courtroom”. He took a stance on the religious garment by saying that women had a choice whether or not to wear the veil but this choice should nevertheless be respected by the judiciary as is the persons religious belief.

The issue in the circumstance which the judge had to address was striking a balance between the defendant’s right to a religious belief as protected by Article 9 of the European Convention on Human Rights and the public interest which is involved in criminal cases. In the judgement it was made clear that the court has the right to impose restrictions on religious freedoms which are deemed to be necessary as was done by the European Court of Human Rights when they upheld a judgement banning a worker from wearing a cross at her place of employment on health and safety grounds.

Justice Minister promotes Magistrates Courts

Up to 40% of those sentenced at the crown court could equally have been dealt at an earlier stage by the magistrates court says Damian Green, Minister for Policing and Justice. Figures have been published stating that every 4 in 10 people could have been handed a sentence at a magistrates thus saving money and valuable time according to a speech due to be read this Wednesday by the justice minister. In his speech which is addressed to the magistrates, Mr Green is to state that a greater effort is needed from their behalf to ensure that cases are dealt with in the correct court and not be meaninglessly transferred. This event will kick off a further three scheduled events prior to a consultation which will take place assessing the role of the magistrates later in the year.


The plans are set to contribute towards a change in the criminal system and the way the courts operate. The overhaul will aid the magistrates by easing them off workload such as minor traffic offences which will be resolved outside the normal process in addition to introducing new powers for magistrates in order to deal with reoffending figures. Prior to making the speech the justice minister stated that magistrates are vital in the English legal system and are an example of a good citizen. In saying that the system is privileged to have such individuals he gave magistrates the credit for dedicating their time, skills and expertise against no cost. In his latest statement he did not hesitate to comment on the statistic by saying that 4 out of 10 people who were given a jail term in the crown court could also have been given the same by a magistrates. He explained that the government will look into why this is a common occurrence and if need be, do more in order to fully benefit from such volunteers.

The justice minister said that in order to have and maintain a fair and modern justice system the judiciary needs to hear the right cases in the appropriate court. Mr Green is anticipated to state that magistrates are to allocate their time on communal cases which make a greater difference to the local community. He commented that in simple road traffic offence cases where the defendant does not dispute the matter in question and where he may not even be present at the case, there is no need for 3 magistrates to spend their time looking at such a case.

The Rise of the Legal Compliance Sector

All the recent scandals in the financial world, such as PPI, LIBOR and Rate Swaps etc have had a big impact – not just for the financial institutions and the customers affected, but for the economy too.  Besides the millions that have been exchanged in compensation payouts, costs and fines, there are the changes that have emerged from the change in views towards financial institutions and their employees. New rules, regulations and regulators such as the Financial Conduct Authority (from the ashes of the Financial Services Authority) and the Prudential Regulation Authority are now in place, and there has been a real shift in focus for many finance related businesses to not only running their businesses and making a profit, but running them in the correct way too.

Hence the recent rise in what was once the more modest compliance sector and the emergence of compliance as a career path in its own right.  Graduate schemes specifically in compliance began a few years ago, though many to the sector are those who have made a move from careers in banking, accounts, audit, and indeed, law.

Those with legal education and experience are particularly able to demonstrate the skills needed for the compliance profession – namely the ability to read, understand, analyse and apply complex legal and regulatory documents. Precision is key in this field as the consequences of errors can be vast, therefore workers in compliance must be technically competent and highly skilled in a business environment too.

Despite the cutbacks that many employers are making since the recession in terms of investment and employees, compliance is the sector that is tending to withstand such pressures.  Banks in particular are reinforcing their compliance departments and raising standards, with hedge fund roles and insurance based roles showing particularly high rates of employment growth.  Salaries are likewise often withstanding the pay freezes with many who work in compliance expecting a pay rise this year – a true testament to the importance of what their role brings.

The future also looks bright for the legal compliance sector.  Recruitment agency Randstad note the growing trend in vacancies available for compliance roles, stating a prediction of more than 30,000 new jobs by the end of this decade. Compliance could definitely prove to be a promising career indeed for those with the right qualifications and skills.

The Truth Behind the PPI Claims Statistics

PPI or payment protection insurance has, over he past few years, been in the news for all wrong reasons. Introduced as an insurance plan that would cover monthly repayments following an accident, sickness or redundancy, PPI has emerged as one of the most poor value products to ever have been introduced in the UK financial market. The mis-selling of the policies and the fact that the banks made huge profits by selling these policies all made the PPI a controversial financial product. Further, the non-payment of the claims and the fact that millions were forced into buying an insurance policy they could never claim on have made this the biggest mis-selling scandal in UK history.

The sheer scale of the mis-selling, that made the banks and estimated £5billion a year for almost a decade, has meant that this is now also the biggest compensation scheme ever conceived. The title, previously held by the Miners Compensation Scheme which ended in 2004 and paid out £4.1billion over 13 years, has already been dwarfed the PPI compensation payouts which have already eclipsed £7billion over the past 2 years. Many analysts have estimated that the final bill will be in excess of £25billion – making this the biggest compensation scheme in the world, not just the UK!

The wholesale industrialised mis-selling of PPI by bank staff was driven by greed, with some reporting that they received commissions of upto 87% for selling the policy. Not only that, but they were also set very rigid sales targets which meant that if they did not push the product, their job was on the line as the banks were putting profit above all else.

To date, over 4.5million people have already made a claim for PPI compensation but according to recent figures released by the FOS, this represents just 10% of the total who may be eligible to claim.

FOS Uphold RatesThe number of complaints being rejected by the banks is also alarming, as the uphold rate at the FOS is over 75%. In December 2012, the UK’s biggest bank, Lloyds Banking Group, released a statement saying that 50% of claims they were receiving were either “fictitious or bogus”. This may well have been a misdirect designed to discredit claims management companies and put people off making a claim. According to the FOS only 3% of claims are considered fraudulent or fictitious.

The number of people turning to CMC’s such as is also dropped from 76% in 2011 to 59% in 2012 – a drop of 17%, attributed to greater consumer awareness and a joint campaign by consumer groups Which? and MoneySavingExpert and the banks to discourage people from using CMC’s.