Calibre hit by ‘no win, no fee’ changes
ADMINISTRATORS handling personal injury law firm Calibre Solicitors said its demise was partly caused by proposed changes to the funding of personal injury claims.
Administrators were appointed to Salford-based Calibre, which traded as Legal Gateway, on February 8 from two firms, Harrisons Business Recovery and Blue Gate Capital.
It has since closed and all 14 staff have been made redundant.
A statement from Harrisons said the firm had suffered period of poor trading, compounded by imminent changes to personal injury cases. From April claimants, instead of defendants, will have to cover up to 25% of lawyers’ fees from their compensation.
Wake Smith, a Sheffield-based law firm, has been appointed by the administrators to ensure that all client files are protected and, where possible, transferred over to them. Administrators were appointed by Justice Capital, a Harrow-based lender specialising in the solicitor disbursement funding market.
Harrisons director Tony Murphy said: “It was not feasible for the administrators to continue to trade the business. Regrettably, this has resulted in the closure of the practice and the redundancy of the company’s employees. Our top priority is to ensure that the affairs of the clients are dealt with properly and promptly.
“We are confident that we were right in choosing Wake Smith as our agent to ensure the interests of the clients and the assets of the company alike are safeguarded.”
According to Companies House, Calibre’s sole director is Edward Johnson of Stockport, and the only shareholder is Joanne Clarke of Eccles. She resigned as a director in October 2008.
