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Insurance Times: Lawyers at odds over referral fee ban

September 12, 2011 at 9:00 AM

John Spencer speaks to the Insurance Times on a personal injury referral fees ban for their article 'Lawyers at odds over referral fee ban'

Claimant firm director John Spencer said "glaring questions" hung over the implementation of any ban, threatening to derail it. However, he said Djanogly's announcement was a "powerful first step" in putting right what he described as a "dysfunctional personal injury system". He said:

"I have long argued that referral fees represent the root cause of dysfunction, and create perverse commercial incentives which add no value to claimants and help to line the pockets of many market participants such as insurers and claims management companies.

"As to whether the implementation of today’s ban will successfully achieve the goals of the reform, the devil is truly in the details. Absolute clarity must be pursued by the Government in codifying how and when a ban will be implemented in order to truly purge the marketplace of corruption and shoddy practices."

Above extract was from the Insurance Times article 'Lawyers at odds over referral fee ban'.

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