Financial Services Bill
TO BE MOVED
[Supplementary to the Revised Marshalled List]
LORD KENNEDY OF SOUTHWARK
Page 126, line 21, at end insert—
“( ) The Treasury or the Secretary of State may by order amend Schedule 17 to FSMA 2000 to require a scheme operator acting under the Schedule to make rules relating to the behaviour of a person who has entered into an agreement with a complainant to represent the complainant with respect to a complaint under the compulsory jurisdiction, the consumer credit jurisdiction or the voluntary jurisdiction pursuant to which any fee has been, will be or may be paid by the complainant.”
LORD KENNEDY OF SOUTHWARK
Page 276, line 13, at end insert—
“2A (1) The FCA must require any body corporate established under this Schedule to make rules (“complainant representative rules”) requiring a person who has entered into an agreement with a complainant to represent the complainant with respect to a complaint under the compulsory jurisdiction, the consumer credit jurisdiction or the voluntary jurisdiction pursuant to which any fee has been, will be or may be paid by the complainant to act transparently and promptly to assist both the complainant and the ombudsman.
(2) The FCA shall allow scheme operators adequate time to undertake consultation on draft complainant representative rules, and shall specify the nature of the consultation to be undertaken.
(3) The consent of the FCA is required before any complainant representative rules may be made.”
Page 278, line 35, at end insert —
“31 After paragraph 22 insert—“Part 5 Complainant representatives Introduction
23 This Part of this Schedule applies to a complaint under the compulsory jurisdiction, the consumer credit jurisdiction or the voluntary jurisdiction in respect of which the complainant has entered into an agreement with a complainant representative.
24 A “complainant representative” is a person who has entered into an agreement with a complainant with respect to a complaint pursuant to which any fee has been, will be or may be paid by the complainant.Complainant representative rules
25 The scheme operator must make rules, to be known as “complainant representative rules”, which are to set out requirements applicable to complainant representatives and to complaints falling within paragraph 23.
26 Complainant representative rules may, among other things—
(a) require that a complainant representative disclose to the scheme operator the agreement referred to in paragraph 24 when a complaint within paragraph 23 is made;
(b) require a complainant representative to take reasonable steps to obtain from the complainant, and as appropriate to supply to the ombudsman, such information as an ombudsman might reasonably require to determine a complaint;
(c) provide for the consequences if a complainant representative does not comply with complainant representative rules or other applicable legal or regulatory requirements, including—
(i) requiring such complainant representative to pay to the scheme operator, in respect of complaints for which the complainant representative does not comply with such rules or requirements, such fees as may be specified in the complainant representative rules; and
(ii) requiring or enabling the ombudsman not to consider any complaint or to consider a complaint only if conditions specified by the ombudsman have been satisfied;
(d) enable the ombudsman to dismiss a complaint without consideration of its merits where the complainant representative has not cooperated with reasonable requests made by the respondent, including not providing adequate information as to the true nature of the complaint.
27 Complainant representative rules shall not require the disclosure to the ombudsman scheme of any material which is legally privileged.Consultation
28 If the scheme operator proposes to make any complainant representative rules it must publish a draft of the proposed rules in the way appearing to it to be best calculated to bring them to the attention of persons appearing as likely to be affected.
29 The draft must be accompanied by a statement that representations about the proposals may be made to the scheme operator within a time specified in the statement.
30 Before making the proposed complainant representative rules, the scheme operator must have regard to any representations made to it under paragraph 29.
31 The consent of the Authority is required before any complainant representative rules may be made.””