A Manchester law firm, Barings Law, has slammed the Solicitors Regulation Authority (SRA) for a costly and time-consuming investigation after they were cleared of all allegations in a four-day disciplinary tribunal. The tribunal not only dismissed accusations of misconduct but also awarded the firm costs in their favour.
Craig Cooper, the managing director of Barings Law, and former partner Erich Kurtz were subject to accusations that they misled clients and issued claim letters on behalf of non-existent clients, specifically in relation to their legal work with payday lenders. The case, which involved high-profile lender Elevate Credit International Limited, also known as Sunny, focused on Barings Law’s efforts to fight for justice for victims of mis-sold loans.
In 2020, Barings Law was pivotal in the Kerrigan v Elevate case, which saw the High Court rule that the payday lender had breached regulations by offering loans without proper borrower assessments. However, the SRA launched a disciplinary inquiry into the firm, accusing them of failing to comply with the 2017 UK Money Laundering Regulations. Despite Mr Cooper’s defence, which showed that he had relied on guidance from the Law Society, the allegations remained, leading to the tribunal.
Mr Cooper expressed frustration over the resources wasted, stating that the investigation had distracted from important legal work and caused unnecessary stress. “The allegations against me have been unfounded, and this whole process has been a massive waste of time,” he said, adding that the experience had been detrimental to both him and the firm’s clients. He also criticised the SRA for a lack of accountability in its enforcement approach.
The decision to award costs in Barings Law’s favour highlights the absence of merit in the allegations and underscores the potential financial consequences for regulatory bodies that pursue unjustified claims. The case follows a string of high-profile losses by the SRA at the Solicitors Disciplinary Tribunal (SDT), which has raised questions about the efficiency of the regulator’s enforcement methods.
Barings Law, known for its consumer claims work and pioneering legal technology, has been a strong advocate for consumer rights, particularly in cases involving mis-sold loans, pensions, and business energy claims. The firm is also at the forefront of data protection, representing thousands of individuals impacted by data breaches such as the Capita cyber-attack.
Mr Cooper, who took over Barings Law in 2013, has focused on using digital solutions to streamline the claims process, ensuring quicker and more accurate results for clients. The firm recently marked its 15th anniversary and has won several landmark cases, including a historic test case in Business Interruption claims against insurers.
In response to the SRA’s approach, Mr Cooper stated that while they understood the regulator’s challenging role, he believes more effort should go into vetting accusations before they reach the SDT. “We continue to work with the SRA and keep them informed of our technological advancements,” he added, emphasising that Barings Law would remain committed to helping their clients secure justice, regardless of the challenges.
