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Earlier this year we instructed an accountant to help with the sale of two of my mother’s buy-to-let properties, but we are shocked at the final bill it has provided for its services.
I don’t dispute that we have a contract with the accountancy firm, but some of the fees on the invoice are vague and I am not confident the hours recorded are accurate. I don’t really want to get into a legal fight, but what are my rights to dispute the bill?Amanda, Exeter
It is completely understandable that you are unsure about your rights when challenging a surprise bill, the rules are quite complicated.
The UK has a large number of laws and regulations that relate to contracts. A good starting point with any kind of contract dispute is to ask yourself if the agreement is clear about the work the business will carry out, its obligations to you and what it will charge you for.
I would start by taking a look at the agreement you signed and the quote you will have been given for the work. Just because a business has billed you for a service, that doesn’t necessarily mean it’s satisfactory or fair.
Have a think about the price that you are willing to pay — or thought you would be paying — and separate that from the charges you are disputing. If there are charges on top of this that you don’t recognise, are vague or seem unfair, ask for a full breakdown as to what they relate to and the work that was undertaken. You can also ask the accountancy for proof of this.
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A business should not be billing you for work that you have not authorised it to undertake. Nor should it be charging for ill-defined work, especially if it’s by the hour. Assuming that it gave you an initial quote for carrying out the job in full, you have every right to appeal against excessive charges.
There isn’t a statutory requirement for the accountancy industry to have a single complaints organisation like an ombudsman. However, there are a range of professional bodies and membership schemes that you can complain to if your accountant turns down your complaint. The Financial Reporting Council, which regulates auditors, accountants and actuaries, has a full list of these organisations on its website.
Failing that, you can always go to the small claims court — which is much cheaper and easier to do than you may think. And you don’t need a solicitor.
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I asked the legal expert and fellow broadcaster Gary Rycroft for his view on how to choose a professional service such as an accountant or solicitor and how to question a bill.
He said: “Make sure they are regulated or members of a scheme before you hire them, which means they must adhere to professional standards. This includes providing transparent pricing information and letting you know if the work done is exceeding the original estimate given.
“But whether regulated or not, any person or business providing a service should keep you informed of costs and — if asked — provide a full breakdown of what is being charged. The bottom line is if you did not expressly authorise the work, they should not charge for it. A contract that lets the business bill you whatever time suits them strikes me as unfair and therefore not enforceable.”
Martyn James campaigns on everything from energy bills to cancelled flights and pothole claims. Gary Rycroft is a solicitor and partner at the Lancaster law firm Joseph A Jones & Co
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