While successive cuts to legal aid, the closure of law centres, and the proliferation of ‘advice deserts’ have hit individuals hardest, other factors have sucked businesses into the justice gap.
Increased court fees, court and tribunal closures, and the huge case backlogs, exacerbated by the pandemic, have made our justice system equally difficult for businesses to access and afford. While smaller firms are typically more sensitive to the cash-flow challenges that legal problems create, they’re more likely to be put off litigation by the significant but uncertain costs involved.
Inevitably, this is most challenging for SMEs. While bigger organisations may have in-house legal expertise or a relationship with a law firm, smaller businesses will probably be starting from scratch. The price of pursuing justice is often more difficult for SMEs, too.
In this article, Tony Buss, managing director at ARAG explains how the justice gap has become a major issue for companies in the UK, the value of legal expenses cover and what brokers can do to help.
• What is the Justice Gap?
• The problem for businesses.
• Justice delayed.
• How insurance can help.