Better complaints handling starts before a complaint is made

The Legal Ombudsman has launched its Model Complaints Resolution Procedure (MCRP), Legal Ombudsman Model Complaints Resolution Procedure a framework intended to help legal service providers resolve complaints clearly, fairly and at the earliest appropriate opportunity.

Its arrival is timely. The Office for Legal Complaints is also consulting on substantial changes to the Legal Ombudsman’s case-fee regime. Taken together, the two developments place renewed emphasis on the quality of first-tier complaint handling and on a provider’s ability to demonstrate the reasonable steps it took to resolve a concern before it reached the Ombudsman.

What does the MCRP require?

The MCRP can be adapted to reflect the nature and size of a provider’s business. However, an organisation wishing to say that it uses the procedure must incorporate five core features:

1. a link to the Legal Ombudsman’s MCRP resources;
2. acknowledgement that the complaint has been received, together with an explanation of what happens next;
3. an Early Resolution stage focused on resolving the complaint through conversation or other constructive engagement;
4. a structured Full Investigation stage where early resolution is not possible; and
5. written confirmation of the outcome, whether the complaint is resolved early or following investigation.

The Legal Ombudsman has published guidance, templates and toolkits to support implementation. These cover matters including reasonable adjustments, the use of evidence, ongoing retainers, delay and communication, complaints about costs and the lessons that firms should draw from complaints.

The procedure is therefore not simply a new template complaints policy. Its focus is upon behaviour: listening, understanding the impact of the alleged failing, engaging constructively and seeking the right outcome without unnecessary formality or delay.

The proposed price of escalation

The current Legal Ombudsman case fee is £400. Broadly, it is charged where an accepted complaint is not resolved in the provider’s favour and the Ombudsman is not satisfied that the provider took all reasonable steps to resolve it at first tier.

The current consultation proposes a more extensive, staged regime. Unless the proposed waiver applies, the fee for an upheld complaint would depend upon the point at which it concludes:

• £200 following Early Resolution;
• £750 following an investigation, without an ombudsman’s final decision; or
• £1,500 where an ombudsman’s final decision is required.

There would also be an additional £400 fee where a provider has not supplied a written final response within eight weeks of receiving the complaint, irrespective of the eventual outcome, subject to the limited exception within the proposed rule.

The proposals would also make complaints dismissed under Scheme Rule 5.7 potentially chargeable. A waiver would depend not only upon the outcome, but also upon the Ombudsman being satisfied that the provider took all reasonable steps under its own procedure to resolve the complaint without the need for referral.

These are simply proposals at this stage. The consultation closes at midday on 2 September 2026. Consultation on Scheme Rules, case fees and publication of ombudsman decisions

If the changes proceed and receive the necessary approvals, implementation is anticipated from 1 April 2027.

Evidence of reasonable complaint handling

The proposed regime reinforces an important distinction: achieving a favourable outcome and handling a complaint reasonably are not necessarily the same thing.

A complaint may ultimately be decided in the provider’s favour, but the proposed waiver test would still place importance upon the steps taken at first tier. A complaints policy sitting on a website will not, without more, demonstrate that the policy was followed effectively in the particular case.

Providers should therefore consider whether their systems enable them to evidence:

• when dissatisfaction was first identified;
• when the complaint was acknowledged and what the client was told would happen next;
• the client’s account of the problem and the impact it had upon them;
• any vulnerability, communication need or reasonable adjustment considered;
• the information and evidence reviewed;
• the attempts made to discuss and resolve the concern at an early stage;
• the reasons for any proposed remedy or decision;
• the date and content of the written outcome; and
• compliance with the eight-week deadline.

Good record keeping should not be approached defensively or as a means of constructing evidence against the client. Its purpose is to create clarity, support consistency and show that the complaint and the person making it were properly considered.

Prevention remains part of the answer

The MCRP concerns the handling of a complaint once one has been made. However, firms should also examine what happens before that point.

Many complaints about legal services arise not from the substantive legal work, but from a difference between what the provider believed it had explained and what the client understood. Costs, estimates, scope, timescales, responsibilities and likely outcomes are recurring sources of difficulty.

A detailed client care letter is important, but sending information does not establish that it has been understood. This is especially relevant where a client is vulnerable, for example has a lower level of literacy, is dyslexic, is distressed or simply finds legal and financial information unfamiliar.

Providers may therefore wish to consider digital tools which can support them. The Legal Lexi® is the only digital tool on the market which considers the position from both the solicitors and the clients perspective. The Legal Lexi® presents key retainer and costs information in accessible sections, offers audio support, checks understanding and helps identify vulnerability and communication needs. It is one means by which a firm may strengthen its systems, but no technology can replace professional judgement, empathy or a genuine conversation with a client whose concern needs to be resolved.

A cultural shift, not merely a procedural one

The MCRP and the case-fee consultation point in the same direction. The emphasis is moving towards early recognition, proportionate resolution and accountability for the quality of first-tier complaint handling.

The practical question for providers is therefore not simply, “Do we have a compliant complaints procedure?” It is:

Can we demonstrate that we understood the concern, communicated appropriately and took every reasonable step to resolve it?

For firms reviewing their arrangements, that means considering the whole client journey from the clarity of the original retainer and the identification of an individual client’s needs, through to early engagement, investigation, written resolution and organisational learning.

Handled well, complaints provide an opportunity to repair trust and improve services. Handled poorly, they may now carry a considerably greater financial and reputational cost.

Book you free demonstration today to learn how The Legal Lexi® can assist you.  Email info@thelegallexi.co.uk

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