The Law Society of Northern Ireland’s (the Society) Compensation Fund (the Fund) is a financial safety net that helps protect people if they lose money because a solicitor, or a firm of solicitors, has acted dishonestly while carrying out legal work.
The Society’s Professional Conduct Committee exercises their discretion to consider and make decisions on receipt of applications to the Fund. The Fund exists to protect the public and to maintain trust in the solicitor profession. It ensures that if someone suffers a financial loss due to dishonesty or a solicitor failing to properly handle money, they are not left without help.
Prior to making an application to the Fund, you may wish to seek independent legal advice or appoint a solicitor to assist with making your application. Should you require advice or assistance, we have a directory of solicitors available on our website, here: https://www.lawsoc-ni.org/solicitors
There are some important limits to what the Compensation Fund can do. It does not cover:
| Negligence or mistakes | If you lose money because of poor advice, errors, or delay, this is not covered by the Fund. These cases may be dealt with through the solicitor’s insurance or by taking legal action. |
|---|---|
| Losses involving solicitors not allowed to practice | If you knew (or should reasonably have known) that a solicitor was suspended, struck off, or not properly certified to practise at the time of the loss, the Fund will not cover these losses. |
| Large organisations | Only individuals, small businesses, small charities, and small trusts (with income or assets under £2 million) can apply. |
| Work outside Northern Ireland | Losses linked to legal work carried out outside Northern Ireland (including European lawyers) may not be covered unless the work is closely connected to Northern Ireland. |
| Alternative remedies not yet tried | The Fund is a "last resort". This means you must first try other ways of getting your money back, such as insurance claims, civil proceedings, or recovery from the solicitor themselves. |
| Payment limits | No single claim can be paid above £750,000, even if your loss is greater. |
| Application costs | The Fund may cover some reasonable legal costs of applying, but not all costs will be refunded (e.g. unnecessary or excessive expenses). |
If you have any queries on the above, please contact compensationfund@lawsoc-ni.org.