” (1) You must not act if there is a conflict of interests (except in the limited circumstances dealt with in 3.02).

(2) There is a conflict of interests if:

(a) you owe, or your firm owes, separate duties to act in the best interests of two or more clients in relation to the same or related matters, and those duties conflict, or there is a significant risk that those duties may conflict; or

(b) your duty to act in the best interests of any client in relation to a matter conflicts, or there is a significant risk that it may conflict, with your own interests in relation to that or a related matter.

(3) For the purpose of 3.01(2), a related matter will always include any other matter which involves the same asset or liability.”

Hope this clarifies the point!

Gemma

There are certain circumstances in which a solicitor is not allowed to act for both parties. They can only do so if ;-

the conditions set out in 3.10 below are satisfied and one of the following applies:

(a)
both parties are established clients;

(b)
the consideration is £10,000 or less and the transaction is not the grant of a lease; or

(c)
seller and buyer are represented by two separate offices in different localities.

In order to act for seller and buyer under 3.09 above, the following conditions must be met:

(a)
the written consent of both parties must be obtained;

(b)
no conflict of interests must exist or arise;

(c)
the seller must not be selling or leasing as a builder or developer; and

(d)
when the seller and buyer are represented by two separate offices in different localities:

(i)
different individuals (either solicitors or RELs qualified to do conveyancing under regulation 12 of the European Communities (Lawyer’s Practice) Regulations 2000 (SI 2000/1119) who normally work at each office, conduct or supervise the transaction for seller and buyer; and

(ii)
no office of the firm (or an associated firm) referred either client to the office conducting the transactions.

I do not know if all these conditions have been met in your particular case, but if not, then the solicitor should not be acting on behalf of both of you any way. I have however seen firms in my own area flout these rules.

Therefore, I feel it is usually better for clients to have separate representation. You can find more information about the requirements for acting on behalf of both parties at;-http://www.sra.org.uk/solicitors/code-of-conduct/213.article#r3-07

Thanks