The Law Society is engaging with stakeholders from the legal profession, regulators, government and insurance industry to investigate possible solutions to address the community’s concerns about claims farming.

President of The Law Society of NSW Doug Humphreys said the Law Society was always prepared to explore possible avenues of reform to protect the public from unacceptable practices.

Mr Humphreys said there were concerns that unchecked growth in claims farming, could at its worst, encourage unmeritorious claims and potentially escalate premiums.

“An increasing prevalence of claims farming particularly via online platforms poses serious questions for governments, insurers and legal practitioners,” Mr Humphreys said.

Mr Humphreys said it also posed serious concerns about the professional standards of legal practitioners.

“Informing the public about their legal rights and facilitating access to justice is a critical role of solicitors,” he said.

“But we must question whether our professional ethics should permit financial gain where it results from the sale of private information by a third party or at the expense of potential intrusions on a client’s privacy, forceful sales tactics or undue influence.”

Mr Humphreys it was important that solicitors reminded themselves of their professional duties and obligations including the need to conduct oneself with integrity at all times.

“Our relationships with our clients are sacrosanct, built on trust and transparency,” he said. “Solicitors must protect their clients’ confidentiality, privacy and their interests.

“Our professional rules prohibit conflicts of interest, require the disclosure of commissions or interests and address the required standards of advertising.

“Solicitors must also remember that clients are often vulnerable and potentially open to oppression, undue influence or disadvantage. Our advice should never be influenced by our relationships with third parties.”