Dennison & Others

Findings — machine-extracted (anthropic-batch:claude-opus-4-8); verify against the decision

In SDT Findings dated 14 May 2010, a firm's equity partners faced allegations arising from involvement in The Accident Group (TAG) claims scheme, referral fees to Countrywide (CPL), and Mr Dennison's undisclosed interest in Legal Report Services (LRS). Most serious allegations (sham arrangement, concealment, overcharging) were struck out or not proved; the Tribunal made an express finding of dishonesty only against Mr Dennison on the LRS allegation, finding he deliberately concealed his one-third interest from partners and clients. The Tribunal also found Dennison in breach on conflict, referral fee, interest and client-care allegations, with lesser findings against other respondents. The SDT imposed fines (£23,500 total on Dennison) plus LRS costs, with no order as to costs otherwise. On the SRA's appeal, the High Court quashed the fine and struck Dennison off the Roll, a decision later upheld by the Court of Appeal.

Duties found breached:

• Disclose referrals, commissions and benefits
• No conflict between current clients
• No improper communication with the court
• No own-interest conflict

Aggravating factors:

• Deliberate concealment of his interest in LRS from partners, clients and the SRA via a trust arrangement
• Gross breach of trust between partners
• Drew substantial dividends/salary (~£680,000) and sold his interest for a substantial sum while keeping it hidden
• Greater knowledge and central role in the TAG scheme than other partners

Mitigating factors:

• Considerable passage of time since the conduct
• Mr Dennison had already paid a substantial settlement to his former partners
• No misappropriation of client money or serious Accounts Rules breaches
• No evidence clients received inadequate medical reports / no client loss
• Tribunal's view that no member of the public would be at risk if he remained in practice
• Inordinate, unexplained delay by the SRA in bringing the case