If the advice was so bad that it was an error no reasonable advisor might also have made, then you probably may be entitled to compensation:

X      A poor quality service causing you inconvenience in not enough.

X      A mistake or wrong judgement, where a different but reasonable person (with the same qualifications) might, in the same circumstances, have made the same error. This is also not enough.

X      A wrong judgement that would at the time have been considered correct by other advisors. This is usually not enough for a claim as it is only now, with the benefit of hindsight, that views of reasonable advisors have changed.

✔       Wrong advice that is so wrong that no reasonable advisor (with the same qualifications and knowing what was known at the time) would have made the same mistake. This is likely to be negligence – so you can claim.

✔       The mistake was one that no reasonable person (of the same trade, industry or profession) would have made it in the same circumstances. This is likely to be negligence – so you can claim.

✔       The expert made the error after failing to follow the common standards of practice of their field. This can be the basis of a successful claim for negligence.

Then your compensation will cover your financial loss (or harm) suffered as a direct result plus any reasonable losses and expenses you have suffered.

The area of law is known as professional negligence.

Did you pay by Credit Card?

1: The advice or mistake was so bad that it fell below the reasonably acceptable standard for the particular trade, industry or profession of the advisor.

2: That you have suffered a financial loss (or other harm such as lost time, lost opportunities or even injury).

3: That your loss was caused as a direct result of the bad advice (and was not a loss you would have suffered anyway).

1: Proof that the other person was providing advice that you would be expected to rely on – perhaps a report or email setting out their advice.

2: Proof the advice was wrong – perhaps a report from someone else in the same profession or industry (of at least the same standing).

3: Proof of the financial loss (or harm) caused to you.

Financial compensation – to put you in the position you would be in if you had not followed bad advice.This can be financial losses, lost time and lost opportunities. They can include future losses. It can therefore cover:

✔      Financial losses you have suffered as a result of the advice or actions of the professional.

X      Financial losses you would have suffered anyway – these cannot be claimed.
✔      Missed opportunities – where you can prove you would have taken the opportunity if you had received the correct advice. You then can claim the financial value of your lost opportunity. Examples include:

• the lost financial value of  an investment
• the lost profits of growing a successful business (perhaps it has been set back several years by the negligent advice).

X       Missed opportunities where you cannot prove that it is ‘more likely than not’ that you made this financial loss because of the bad advice or mistake.

• Perhaps there is evidence you would not have made the investment anyway (for other reasons – such as not being able to raise the money) you would have taken this opportunity.
• Perhaps there is evidence that your business would not have been successful or grown even if you had received good advice.
• Where it is decided you only had (for example) a 60% chance of benefiting from the missed opportunity, then you will only be awarded 60% of the financial loss.

✔      Wasted time and inconvenience – especially if it has made you unwell. But the amount that the court awards is limited.

X      The value of the time you spend in preparing your claim.

✔      Repayment of expenses you have had to pay because of the negligence – but these will be limited to what it is felt was reasonable for you to have paid.

X      Losses and expenses that are considered excessive. For example if the negligence meant you lost or cannot use your property then it may be reasonable for you to rent a replacement. However if you rent a very grand alternative property – that is better than the one you lost or cannot use, you will only be able to claim for the cost of equivalent property.

X      Your legal costs and expenses – if your successful claim results in a settlement or award of £10,000 or less. Claims under this amount are treated as a small claim and only very limited legal costs can be recovered.

✔      The bulk of your reasonable legal costs and expenses – if your claim is successful and results in a settlement or award to you of over £10,000. There are complex rules covering what legal costs you opponent must pay on top of your compensation – we can advise you so you get back all that you are entitled to.

Usually 6 years from the date you first suffered loss or harm (3 years if you suffered a physical injury).

But this can get very complicated if you did not realise there had been bad advice or a mistake when you first suffered a loss. You might be entitled to a 3 year extension but it is important to take advice as soon as possible.

• Accountants – wrong tax advice or missed fraud
• Architects – design errors & extra building costs
• Barristers – a key witness not being asked questions
• Dentists – failure to look after your teeth
• Doctors and other medical practitioners – mistakes in your treatment
• Engineers – design faults
• Estate Agents – not getting the right price for your property
• Financial Advisors, Banks and Insurance Brokers – wrong financial advice
• Insurance brokers – leaving you unprotected
• Property Letting Agents – losses due to not checking references
• Solicitors and other lawyers – missed deadlines or not getting you the right compensation.
• Surveyors – missed property defects
• Vets (veterinary surgeons) – mistakes in your pet’s treatment
• Will writers – mistakes so the will is not valid or leaves someone out