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Legalbrief   |   your legal news hub Saturday 05 October 2024

Lawyers turn to High Court to halt RAF payment changes

The Law Society is to launch an urgent court action this week, challenging changes to the Road Accident Fund payment measures. The society said the changes would leave the public worse off - but the fund claims lawyers are upset because the system will cut into their fees, says a Sunday Times report.

From Friday, compensation due from the fund will be paid directly to accident victims and not their lawyers. This will reduce the security attorneys have for payment of their fees and expenses and they will now have to claim it directly from clients. Specialist personal injury lawyer Michael de Broglio said this would effectively deny justice to the poorest of the poor, who, because they have no assets, are considered a high risk. Lawyers would stop taking their matters on a contingency basis, he said: 'As long as the client has money, there's no problem in representing them, but that is why we say this is going to prevent access to justice for the poor - we won't be able to represent them.' The society is to ask the court to review the fund's decision to make direct payments. But the fund's chief executive, Jacob Modise, said lawyers were not happy with direct payments because it prevented them getting 'double pay'. He said attorneys claimed contingency fees in addition to the fees the fund paid directly to them - which amounted to a third of the fund's R6bn income over the past year. He said lawyers took 'as much as 50%' of their client's compensation. Full Sunday Times report See also a report in Beeld Read the LSSA's press release on the Legalbrief site

The SA Association of Personal Injury Lawyers (Saapil) will join the Law Society in the High court action. Ronald Bobroff, deputy president of Saapil and board member of the Law Society of the Northern Provinces, said the urgent interdict application would be submitted 'as soon as possible'. He added, according to a Weekend Witness report: 'If those measures become effective, every South African will have to pray that after Friday he or she does not become injured as a result of the negligence of another road user. It will be a dark day for road users.' The new measures stipulate that the RAF will no longer cover the medical expenses of people injured in road accidents if they are treated in private clinics and by private doctors. In addition, a limit of R9 000 a month will be placed on the amount people who are permanently disabled following a road accident may claim. Another 'disturbing' measure is that the RAF will recognise claims for pain and suffering as a result of 'serious injuries' only Full Weekend Witness report See also a report in Beeld