Warning over lawyers overcharging army deafness claimants

Some lawyers may be trying to overcharge army deafness claimants, it was claimed today.

Defence Minister Willie O’Dea told the Dáil that his department has received 145 inquiries from victims since October about fees paid to solicitors.

Mr O’Dea said that some people had noticed that their solicitors had made reductions to their settlement cheques for fees that should have been paid by the Defence Department.

The minister, who was replying to a Dáil question, said he was in ongoing correspondence with the Law Society on the matter.

“My attitude is to help the claimants in every way and give them all the necessary information I have access to.” he added.

However Labour’s defence spokesman, Joe Costello who tabled the Dáil question, said tonight: “Lawyers may be trying to chance their arm in double charging their clients.

“This is a very serious matter and the Law Society seems to be hiding behind legislation on the issue.

“It’s pretty scandalous for a self-regulating body.

“Solicitors were recently found to have overcharged abuse victims involved in the Residential Institutions Redress Board, so this must be investigated thoroughly.”

The Law Society has referred 22 complaints involving 12 solicitors’ firms to the Solicitors’ Disciplinary Tribunal in relation to the Redress Board allegations.

Earlier, the Dáil heard that up to 40% of money paid out on army deafness claims went towards legal fees.

Taking priority questions, Mr O’Dea said his department has received a total of 16,760 claims by current and former members of the Defence Forces for alleged loss of hearing since 1998.

Some 15,605 cases have been settled and 1,155 are still outstanding.

A sum of 280.9 million euro was paid out in claims including 95 million euro in legal costs.

Mr Costello pointed out that up to 40% of the total cost of all claims went on legal fees.

“It’s quite a whopping chunk of money that goes to the legal profession,” he said.

Mr O’Dea added: “I agree it is a very hefty percentage.”

The minister also outlined that the Chief State Solicitor’s Office (CSSO) has also paid 17.8 million euro in legal fees since 1998.

A further 23 million euro has gone towards staffing and overheads related to the processing of claims in the CSSO, the Defence Forces and the Defence Department.

The State Claims Agency has managed all claims since September 2005 and has been paid 600,000 euro in fees since then.

Mr O’Dea told the Dáil: “The 145 complaints are from people whose fees were paid by the Department of Defence but who had money deducted from their settlement cheque by their solicitors.

“They want to know why that happened in view of the fact that the state paid the fees.”

He said the Law Society claimed the extra fees were for additional expenses like expert reports.

The Law Society said it is not obliged to deal with any case which was settled more than five years ago, under the Solicitors (Amendment) Act 1994, the minister added.

Mr O’Dea said that solicitors did not issue a bill of costs to clients in some cases.

Mr Costello commented in the Dáil: “The Law Society has said publicly that it is very concerned about any of its members who might be taking double payment from victims of abuse.

“That is happening in the army deafness cases and the Law Society has now resorted to legislation to try to impede that investigation.”