Comment Magazine Issue 5
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COASTAL LIVING<br />
The residential property<br />
market post Brexit<br />
MANUFACTURING<br />
High tech and<br />
high value<br />
A DIGITAL LEGACY<br />
What happens to your<br />
digital assets<br />
MAKING DECISIONS<br />
Managing affairs<br />
in old age<br />
<strong>Comment</strong><br />
ISSUE 5<br />
Fuelling<br />
the nation<br />
<strong>Comment</strong> magazine<br />
meets hungryhouse CEO,<br />
Alice Mrongovius.
Welcome to <strong>Comment</strong><br />
Miles Brown<br />
Managing Partner<br />
Coffin Mew LLP<br />
milesbrown@coffinmew.co.uk<br />
023 9238 8021<br />
Welcome to the Autumn edition of <strong>Comment</strong> magazine, written for valued<br />
clients, contacts and friends of Coffin Mew.<br />
2016 has been quite a year, and one that has seen major change following the Brexit<br />
vote in the summer and the Trump election a few weeks back. In these uncertain<br />
times it is important to have strong and successful advisers to lead you through the<br />
challenges and opportunities that arise.<br />
It has been an exciting year for Coffin Mew. We have been ranked in The Business<br />
<strong>Magazine</strong>’s Solent SME 100 Growth List for the first time, and named as the 8th best<br />
managed law firm in the UK by The Lawyer magazine. Both are a testament to the hard<br />
work we have put into developing our strategy, our work with clients, our brand across<br />
the south east, and reflect the ambitious plans we have for the future.<br />
Investment in technology has continued to be a high priority for Coffin Mew, and<br />
in 2016 we launched our new website. This has reinforced the firm’s identity whilst<br />
creating a robust platform from which to communicate with our contacts and clients.<br />
Colleagues across the firm have achieved major successes in our CSR activities<br />
this year, raising over £12,000 for local charity Naomi House and Jacksplace. We have<br />
also joined forces with Marwell’s Zany Zebras art installation in Southampton. Our<br />
Zany Zebra ZZ! Top, created by artist Jenny Leonard, was one of 48 colourful artworks<br />
auctioned in October to raise nearly £90,000.<br />
We are proud that in all of our locations our clients are creating hundreds of new<br />
homes, new businesses and jobs. We are thrilled to be part of their story, supporting<br />
their success. On behalf of partners and staff here at Coffin Mew, here’s to another<br />
successful year, and good luck for 2017.<br />
@coffin_mew<br />
<strong>Comment</strong> is written and published by Coffin Mew LLP.<br />
Special thanks to Wildfire Creative & Marketing Ltd and<br />
Coast Communications.<br />
For further information about <strong>Comment</strong>, please contact<br />
Kirsty Hughes on kirstyhughes@coffinmew.co.uk or call<br />
023 9238 8021.<br />
© Copyright 2016. All Rights Reserved. Coffin Mew LLP.<br />
Disclaimer: This information has been prepared by<br />
Coffin Mew LLP as general guidance only and does not<br />
constitute legal advice on any specific matter and should<br />
not be relied upon as such. No liability can be accepted<br />
by Coffin Mew LLP for action taken or not taken as a<br />
result of this information. Coffin Mew LLP is a limited<br />
liability partnership in England and Wales (registered<br />
number OC 323868) which is authorised and regulated<br />
by the Solicitors Regulation Authority (registered number<br />
463138). Lexcel Accredited.<br />
2
<strong>Issue</strong> 5<br />
in this issue...<br />
06 At home on the coast<br />
The residential property market<br />
post Brexit.<br />
12 Fuelling ambition and<br />
feeding the nation<br />
<strong>Comment</strong> meets Alice Mrongovius,<br />
the CEO of hungryhouse, one of<br />
the UK’s leading online food<br />
delivery businesses.<br />
04 Insight<br />
News and updates from Coffin Mew.<br />
08 High tech and high value<br />
Manufacturing on the South Coast.<br />
10 Uber, the gig economy and<br />
the future<br />
What impact does the employment<br />
tribunal bought by two of Uber’s<br />
drivers have on the wider ‘gig<br />
economy’?<br />
14 The Brighton Business Pulse<br />
Coffin Mew’s survey of businesses<br />
in Brighton.<br />
16 West Pier Trust<br />
Celebrating the 150th anniversary of<br />
Brighton’s West Pier.<br />
17 Meet Mark James<br />
<strong>Comment</strong> introduces one of<br />
Coffin Mew’s recent additions.<br />
18 Property nightmares<br />
- a knotty problem<br />
A beautiful garden can make or<br />
break the sale of a home. But what<br />
should you do if you discover<br />
Japanese Knotweed?<br />
20 Generation of silver divorces<br />
The divorce rate among the over<br />
50s has increased. Sally Pike explains<br />
why...<br />
22 Digital Legacy<br />
What happens to your digital assets<br />
when you die?<br />
24 Buying Social Influence<br />
The rise of video bloggers.<br />
25 Rates revaluation – what will<br />
it mean for your business?<br />
The revaluation of business rates will<br />
cause some businesses a real<br />
financial headache. Nick Leavey<br />
explores what might be done.<br />
26 Managing personal affairs<br />
in old age<br />
What happens if you can no longer<br />
make decisions on your own?<br />
3
Insight<br />
Bringing you the latest news from Coffin Mew<br />
Legal “Bible” recommends Coffin Mew<br />
Coffin Mew has been named by The Legal 500 as one of the UK’s leading law firms.<br />
The Legal 500,<br />
published annually<br />
and known as the<br />
“lawyers’ Bible”,<br />
seeks to rank the UK’s best law<br />
firms and individual lawyers across<br />
a number of industry sectors and<br />
specialist legal disciplines.<br />
Fourteen of the firm’s lawyers and 11<br />
industry sectors have been highlighted<br />
in the 2016 research, which was<br />
published in September.<br />
Amanda Brockwell, the firm’s Head of<br />
Corporate, and Chris Upfield, a Partner<br />
in the Family team, have also been<br />
included in The Legal 500’s Leading<br />
Lawyers list – an elite group of lawyers<br />
hand-picked from across the UK.<br />
Miles Brown, Coffin Mew’s Managing<br />
Partner said: “The firm is thriving, as<br />
witnessed by this accolade and<br />
the highly talented lawyers we are<br />
proud to employ. It is very gratifying<br />
to see our work recognised by<br />
The Legal 500, and I look forward<br />
to seeing the firm and our lawyers<br />
continue to rise up through the<br />
rankings in future years.”<br />
Visit www.legal500.com for further<br />
information.<br />
Coffin Mew’s Conveyancing<br />
team ‘Highly Commended’<br />
Coffin Mew has been highly commended<br />
at the annual and prestigious Modern Law<br />
Conveyancing Awards and the LFS<br />
Conveyancing Awards.<br />
The firm’s<br />
specialist<br />
Residential<br />
Conveyancing<br />
team was<br />
nominated for<br />
‘Property Team<br />
of the Year’ at the<br />
Modern Law Awards<br />
and ‘Regional Firm of the Year’ at the LFS Conveyancing<br />
Awards, and received the ‘highly commended’ accolade<br />
at both award ceremonies.<br />
The awards recognise those firms taking a lead in<br />
innovation and developing unique solutions for clients, and<br />
those that champion client care.<br />
Coffin Mew has one of the strongest dedicated residential<br />
conveyancing and New Homes teams in the South East, led<br />
by Partner Karen Webb. She said: “We put service excellence<br />
at the heart of everything we do – from our IT systems<br />
to new staff induction programmes – and the emphasis<br />
is always to deliver the very best client service. We are<br />
delighted that our commitment to service excellence has<br />
been recognised by these awards.”<br />
When Bands Collide<br />
Coffin Mew’s Brighton office will be hosting When Bands<br />
Collide at The Haunt on 9 February 2017. Compered by<br />
local legend Guy Lloyd of Juice 107.2 and Britain’s Got<br />
Talent fame, When Bands Collide will give Brighton’s finest<br />
corporate talent a chance to raise the roof this February.<br />
Taking to the stage will be Keep Rockin, the house band of<br />
chartered accountants and financial advisers Kreston Reeves;<br />
The Ricardo Work Band representing its namesake, global<br />
engineering consultancy<br />
Ricardo; and G59ers<br />
showcasing the talents<br />
of renewable energy<br />
consultancy, OST Energy.<br />
They will be joined<br />
by award winning<br />
accountants, Crunch<br />
Accounting, as well as<br />
Coffin Mew’s own band,<br />
Clover.<br />
Each band will perform<br />
in the hope of winning<br />
a prize for the charity<br />
of its choice – as well as<br />
staffroom glory and endless bragging rights.<br />
John Parkinson, Head of Business Development at Coffin<br />
Mew and drummer in Clover commented: “We’re off to<br />
a flying start with this line-up – who knew the Brighton<br />
business scene had so many weekend rockstars in its midst!<br />
“When Bands Collide is shaping up to be a great showcase<br />
of local talent. I can’t wait to raise the roof of The Haunt and a<br />
nice big sum for local charities. Roll on February!”<br />
4
£12,000 for Naomi House and Jacksplace<br />
Lawyers at Coffin Mew have raised<br />
an impressive £12,000 over the past<br />
18 months for Naomi House and<br />
Jacksplace.<br />
Naomi House and Jacksplace are<br />
hospices for children and young<br />
people with life-limiting and lifethreatening<br />
illnesses. The charity<br />
provides care for people and their<br />
families across seven counties of<br />
southern England.<br />
Coffin Mew has held a number of<br />
fund-raising events including a netball<br />
tournament, an office tuck shop, a<br />
stall at a village fair, and even a special<br />
breakfast where partners at the firm<br />
cooked and served breakfast for staff.<br />
The fundraising culminated in a charity<br />
quiz night that alone raised more than<br />
£2,000.<br />
Charlotte Otter, Trusts and Major<br />
Gifts Fundraiser at Naomi House<br />
says: “Working with Coffin Mew is a<br />
standout example of how a charity<br />
partnership can and should look. The<br />
team at Coffin Mew take the time to<br />
get under the skin of Naomi House and<br />
Jacksplace, to understand everything<br />
about our charity, and to<br />
provide a tailored package of<br />
support that makes a huge<br />
difference to hundreds of<br />
children, young people and<br />
families from across the South.”<br />
Annabelle Vaughan, a<br />
Partner at Coffin Mew who<br />
has spearheaded the firm’s<br />
fundraising efforts added:<br />
“We were introduced to<br />
Naomi House and Jacksplace<br />
as a place where some of<br />
our clients receive essential<br />
respite. When we toured the<br />
hospice we were struck by the<br />
ability of the team to provide<br />
high quality care in a fun and<br />
homely environment.<br />
“We have seen Naomi House<br />
transform itself over the last 18<br />
months into the outstanding facility<br />
it is today. I am aware that the charity<br />
has exciting plans ahead and I am<br />
delighted that we have managed to<br />
raise such a fantastic amount that<br />
can be put towards a great future for<br />
Naomi House and Jacksplace.”<br />
Coffin Mew’s fundraising<br />
efforts have recently been rewarded<br />
when they triumphed at the Naomi<br />
House & Jacksplace Corporate Awards<br />
– being named the Best Business-<br />
Charity Partnership and scooping the<br />
judges’ Special Recognition Award.<br />
Coffin Mew named top<br />
graduate employer<br />
Coffin Mew’s commitment to the next generation<br />
of lawyers has been recognised by the prestigious<br />
Lex 100 graduate guide.<br />
The Lex 100 guide surveys every year the UK’s top 150 law firms,<br />
awarding medals for best practice. The guide praised Coffin Mew<br />
for its work-life balance and the future prospects it offers its trainee<br />
solicitors.<br />
The award coincides with the firm appointing nine new trainee<br />
solicitors working across its offices in Portsmouth, Southampton and<br />
Brighton.<br />
The nine trainees are Hannah Goodeve, Natalie Williamson, James<br />
Kitching, Andrew Jerrard, Charlotte Allery, Pascale Devlin, Ross Jarvis,<br />
Justina Zelvyte and Amy Clatworthy.<br />
Miles Brown, Coffin Mew’s Managing Partner said: “At Coffin Mew, we<br />
value our employees and their personal and professional development<br />
highly. To be commended by Lex 100 is an honour as we strive to create<br />
the best working environment for our employees. Today’s trainees are the<br />
top lawyers of the future, and we are proud to be nurturing their talent.”<br />
At the same time, the firm has also rolled out a new training<br />
programme for its staff who have been recognised as having high<br />
potential, irrespective of where they are in their career. Aspire II is a<br />
bespoke programme that will better equip staff to maximise performance<br />
and well-being, build industry knowledge and develop leadership skills.<br />
5
At home on the<br />
South Coast<br />
The residential property market post Brexit<br />
The old adage and TV favourite Location, Location, Location has never been<br />
truer when it comes to the residential property market along the South Coast.<br />
<strong>Comment</strong> caught up with Ian Peach, Head of Residential Property at Coffin Mew,<br />
to discuss the market and what impact the EU referendum may have had.<br />
Hampshire, West Sussex and East<br />
Sussex offers home buyers a wealth<br />
of attractions. From world-class<br />
sailing, the beauty of the Meon<br />
Valley and the South Downs National<br />
Park, vibrant and historic cities and<br />
towns to first class infrastructure, it<br />
is perhaps understandable why so<br />
many people choose to call it home.<br />
But its popularity can make it difficult<br />
to get on to the property ladder, and<br />
a challenge for those wishing to move<br />
up. It is a story that is echoed across the<br />
South East.<br />
Ian Peach has led Coffin Mew’s<br />
Residential Property team for almost three<br />
years, and has been involved in the South<br />
Coast residential market for well over 25.<br />
It has always been a particularly<br />
competitive market, he says, regularly outperforming<br />
other parts of the country.<br />
The UK’s decision to leave the EU gave<br />
the property market a jolt, but seemingly<br />
no permanent damage.<br />
“The Brexit decision certainly did have<br />
an impact on the residential market,”<br />
says Ian. “After the 23 June referendum<br />
we saw an almost immediate blip with<br />
transaction numbers.<br />
“Overseas buyers and investors were<br />
particularly nervous, perhaps concerned<br />
over currency fluctuations, with some<br />
pulling out of purchases altogether. We<br />
also saw some domestic buyers attempt<br />
to use Brexit as a reason to renegotiate on<br />
previously agreed purchase prices. Some<br />
were successful, but most were not.”<br />
The Royal Institution of Chartered<br />
Surveyors (RICS) reported the same<br />
reaction across the country, with buyers<br />
falling away. But by September it had<br />
reported a return of confidence to the<br />
UK housing market.<br />
“It appears to be back to business as<br />
usual,” says Ian. “The fall in late June and<br />
July was followed by a decent recovery<br />
in September. Like-for-like activity in<br />
September and October this year is 11<br />
per cent up for us on the same period in<br />
2015. This year alone, our team at Coffin<br />
Mew has transacted homes with a total<br />
value in excess of £750 million. People<br />
still want to buy and own their own<br />
home here on the South Coast.”<br />
6
It is a view echoed by Mark Gilbert,<br />
the Managing Director of Pearsons<br />
Estate Agents, which operates across<br />
South Hampshire.<br />
“We hold regular auctions throughout<br />
the year, and the one immediately after<br />
the Brexit referendum was particularly<br />
tough,” says Mark. “Attendees were<br />
down, and our auctioneers had to work<br />
exceptionally hard to secure sales. Later<br />
auctions, by comparison, have been<br />
exceptional.”<br />
One of the biggest challenges facing<br />
the housing market is not the UK’s future<br />
involvement with the EU, but a shortage<br />
of supply. “Whether it is first time buyers,<br />
those moving up the ladder, or those<br />
down-sizing, there is a real shortage of<br />
supply,” explains Mark.<br />
“With interest rates at an all time low,<br />
now has never been a better time to<br />
borrow money to buy. And whilst there<br />
are plenty of people looking, far too few<br />
people are putting their own homes<br />
onto the market. Many would-be sellers<br />
believe they will be pressured into<br />
making a move and find it easier to just<br />
sit tight.”<br />
“The new homes market remains<br />
very active,” adds Ian, “and the major<br />
developers have significant land banks<br />
across the region and have major<br />
strategic land sites continuing to be built<br />
upon. Their main challenges, however,<br />
remain the planning process and<br />
availability of materials and skilled work<br />
force in the construction industry, rather<br />
than the availability of land itself.”<br />
There are major developments across<br />
the south coast including in Shoreham<br />
and Durrington, Waterlooville, Whiteley<br />
and Boorley Green, by all the major<br />
developers including Persimmon Homes,<br />
Linden Homes, Taylor Wimpey, Bellway<br />
Homes, Bovis Homes, Bloor Homes, and<br />
Barratt David Wilson. That will bring<br />
forward much needed homes for first<br />
time buyers and growing families.<br />
“The top end of the market will also<br />
continue to perform well, as those<br />
looking to move out of London often<br />
head for the South Coast,” says Ian. “It<br />
seems that no matter what is thrown<br />
at the local property market – the 2008<br />
crash, changes to stamp duty and Brexit<br />
– it absorbs and bounces back, creating<br />
both challenges and opportunities.”<br />
West Sussex East Sussex Hampshire Isle of Wight<br />
Average sale price<br />
£338,254<br />
Average detached sale price<br />
£514,232<br />
Average terrace sale price<br />
£289,654<br />
Most expensive area<br />
Rusper, with an average sale<br />
price of £717,181<br />
Cheapest area<br />
West Worthing, with average<br />
sale price of £253,578<br />
Source: Rightmove<br />
Average sale price<br />
£313,565<br />
Average detached sale price<br />
£450,760<br />
Average terrace sale price<br />
£314,199<br />
Most expensive area<br />
Poynings, with an average<br />
sale price of £1,183,125<br />
Cheapest area<br />
St Leonards Green, with<br />
average sale price of £164,649<br />
Average sale price<br />
£295,330<br />
Average detached sale price<br />
£466,761<br />
Average terrace sale price<br />
£241,129<br />
Most expensive area<br />
East Meon, with an average<br />
sale price of £872,308<br />
Cheapest area<br />
North End, with average<br />
sale price of £167,782<br />
Average sale price<br />
£223,481<br />
Average detached sale price<br />
£314,557<br />
Average terrace sale price<br />
£170,766<br />
Most expensive area<br />
Bouldnor, with an average<br />
sale price of £1,039,250<br />
Cheapest area<br />
Newport, with average<br />
sale price of £178,485<br />
Further reading<br />
Coffin Mew<br />
coffinmew.co.uk/residential-property<br />
Contact us direct<br />
Ian Peach<br />
Head of Residential Property<br />
023 9236 4313<br />
ianpeach@coffinmew.co.uk<br />
7
High tech and<br />
high value -<br />
manufacturing on the South Coast<br />
Steel works aside, recent reports of the demise of UK manufacturing have been<br />
greatly exaggerated, as Hayley Bevis explains following September’s meeting<br />
of the Manufacturing Business Leaders’ Forum.<br />
UK manufacturing is undergoing<br />
something of a renaissance. That might<br />
surprise many who could be forgiven<br />
for believing, following years of press<br />
reports on the closures of factories and<br />
heavy industry on the South Coast and<br />
the rise of a service economy, that we<br />
no longer make anything any more.<br />
The South Coast has long had a<br />
tradition of heavy manufacturing, with<br />
ship building, aerospace and automotive<br />
perhaps the first to spring to mind. And<br />
whilst it is true that some of this has<br />
relocated or moved offshore over the<br />
years, a new breed of manufacturers have<br />
taken its place.<br />
Manufacturers that have taken their<br />
production facilities offshore are now<br />
beginning to bring them onshore again<br />
due to quality control and intellectual<br />
property issues. The current fluctuation<br />
in the exchange rate is also reported<br />
to be a driver for a boost in UK<br />
manufacturing activity, with the price<br />
of UK goods seen as a benefit to those<br />
overseas.<br />
High tech, high value and low<br />
volume, and low value, high volume<br />
and highly skilled. That is how<br />
manufacturing on the South Coast is<br />
characterised, working in sectors as<br />
diverse as marine, oil, agriculture and<br />
information technology.<br />
Today, UK manufacturing contributes<br />
£6.7trillion to the global economy,<br />
employing some 2.6million people<br />
and accounting for 54 per cent of all<br />
UK exports. The UK is the 11th largest<br />
manufacturing economy in the world.<br />
Coffin Mew, together with<br />
NatWest Bank and accountants Grant<br />
Thornton, celebrate and support<br />
manufacturers along the South Coast<br />
with a regular roundtable discussion<br />
for manufacturing business leaders.<br />
Meeting four times a year, the<br />
Manufacturing Business Leaders’ Forum<br />
provides a platform for directors and<br />
senior managers of manufacturing<br />
and engineering businesses to discuss<br />
topical issues, share industry best<br />
practice and learn from other likeminded<br />
businesses.<br />
The Manufacturing Business Leaders’<br />
Forum met on 6 September and the<br />
hot topic that morning was whether<br />
today’s workforce would deliver<br />
tomorrow’s growth.<br />
Many engineering and<br />
manufacturing businesses report<br />
8
an ageing work force and a lack of<br />
skilled junior staff entering into the job<br />
market. It is, companies report, one<br />
of the biggest challenges they face,<br />
as well as how to retain the talented<br />
individuals that they currently employ.<br />
Yet it isn’t a challenge that has<br />
gone unnoticed. The market is<br />
responding, with a renewed interest<br />
in the apprenticeship route and with<br />
the Government set to introduce the<br />
apprenticeship levy on 6 April 2017.<br />
Eastleigh College, speaking at the<br />
Forum, currently offers some 4,000<br />
apprenticeships each year, and has<br />
just started work on a new £12million<br />
advanced technology centre to house<br />
those undertaking new engineering<br />
and manufacturing apprenticeships.<br />
Some manufacturers at the Forum<br />
also work closely with the new breed<br />
of University Technical Colleges in<br />
Portsmouth and Salisbury, where<br />
14-year-olds undertake engineering<br />
career orientated study that mixes<br />
academic qualifications with handson<br />
working experience. Students,<br />
wearing suits and ties, study from 9am<br />
till 5pm, in an environment that is very<br />
different from the traditional classroom.<br />
They work closely with industry and<br />
get hands-on experience in the latest<br />
technologies, such as 3D printing.<br />
There remains, however, more deep<br />
rooted challenges for employers.<br />
Manufacturing is still seen by many<br />
as a ‘dirty’ industry, with parents often<br />
pushing children towards university.<br />
Businesses need to be able to ‘sell<br />
the future’ to potential and future<br />
employees. This will include showing<br />
a greater degree of career progression,<br />
and rewarding staff who bring bright<br />
or valuable ideas to their employers.<br />
The idea of ‘super guru salaries’ was<br />
discussed as a way of rewarding the<br />
brightest and the best talent.<br />
Motivating staff and encouraging<br />
team work in the workplace is high on<br />
the minds of employers. The cost of<br />
looking after employees is, of course,<br />
always going to be easier and cheaper<br />
than recruiting. A common approach<br />
is the workplace forum, where<br />
information and concerns are shared.<br />
Other initiatives include family days,<br />
where employees and their families<br />
get together for games, fun and food,<br />
employee of the month schemes<br />
with simple rewards such as a priority<br />
car parking space, and regular social<br />
events.<br />
Many manufacturers continue to<br />
recruit from overseas, and that too can<br />
present challenges. Some will provide<br />
English language classes and additional<br />
training. However, the increasing<br />
tough stance on immigration and the<br />
recent EU referendum decision has<br />
created much uncertainty.<br />
Contact us direct<br />
Hayley Bevis<br />
Senior Associate Solicitor<br />
023 9236 4321<br />
hayleybevis@coffinmew.co.uk<br />
Thinking Space<br />
Thinking Space is a South Coast<br />
manufacturing success story,<br />
and a world leader in providing<br />
specialist control consoles for air<br />
traffic controllers, CCTV operators,<br />
broadcasters, recording studios and<br />
the emergency services.<br />
Based in Romsey, Hampshire,<br />
and with offices in the US, Canada<br />
and Australia, Thinking Space has<br />
developed its own bespoke extrusion<br />
process, creating truly beautiful, fully<br />
customisable furniture for specialist<br />
operators.<br />
The business was established in<br />
2002 by Wayne Palmer, whilst working<br />
as a sales rep for an engineering<br />
company in Switzerland.<br />
“One of my then clients had to throw<br />
away an almost new piece of furniture<br />
to accommodate new technology,”<br />
says Wayne. “It was then that I<br />
realised there had to be a better way<br />
for businesses with specialist furniture<br />
needs to operate.”<br />
Wayne’s first prototype was<br />
developed in his dining room from<br />
that discarded piece of furniture,<br />
followed quickly into a local farmer’s<br />
barn where the business flourished.<br />
Several moves later, and expansion<br />
overseas, Thinking Space now employs<br />
37 people.<br />
Engineering and a passion for UK<br />
manufacturing is in Wayne’s blood.<br />
He is a big fan of the apprenticeship<br />
route into industry, taking one<br />
apprentice every year, but all too<br />
often is met by opposition from<br />
parents who believe university is<br />
the only route.<br />
“We have struggled to find good<br />
apprentices,” explains Wayne, “not<br />
because teenagers do not want<br />
to work for us, but from their<br />
parents who want their children<br />
to go to university. There is a real<br />
misconception that apprenticeships<br />
are second rate, and that is simply<br />
not the case. An apprenticeship<br />
offers an internationally recognised<br />
qualification whilst working. Our<br />
apprentices will not have a huge debt<br />
following their studies, and get to<br />
work on some pretty exciting projects.”<br />
Apprenticeships are coming out<br />
of the university shadow, and that<br />
is thanks to businesses like Thinking<br />
Space and its inspiring founder<br />
Wayne Palmer.<br />
Visit www.thinking-space.com<br />
9
Uber, the gig<br />
economy and<br />
the future<br />
In October, two drivers at the mobile taxi<br />
hailing company Uber successfully argued<br />
that they were in fact workers and not<br />
self-employed. The case has interesting<br />
implications for the wider ‘gig economy’,<br />
says Holly Cudbill.<br />
There has been a great deal of<br />
misleading information published<br />
following the recent decision in<br />
the Uber employment tribunal<br />
case, and so it’s important to<br />
distinguish between what this case<br />
actually means and what the wider<br />
implications are.<br />
Firstly, the case technically only affects<br />
the individuals who brought the claim,<br />
not the 40,000 other individuals engaged<br />
by Uber. In addition, judgments from the<br />
Employment Tribunal are not binding<br />
on other cases. In other words, the<br />
suggestion that this is a landmark<br />
decision which will affect the hundreds<br />
of thousands of other people working<br />
under self-employed contracts is<br />
simply wrong.<br />
What actually happened in the<br />
Uber case was that the Employment<br />
Tribunal analysed the facts of how the<br />
Claimants worked for Uber, taking into<br />
account well-established law relating<br />
to employment status and concluded<br />
that the individuals were in fact workers,<br />
rather than self-employed. Assuming<br />
that the majority of Uber drivers are<br />
engaged on similar contracts and work<br />
in a similar way, it is likely that another<br />
Employment Tribunal would also find<br />
that they are workers, but that is not<br />
guaranteed.<br />
The well-established law in cases<br />
like these dates back to 1999, in a case<br />
which also concerned delivery drivers.<br />
In that case, it was found that one of<br />
the determinative factors in deciding<br />
whether an individual is genuinely<br />
self-employed or a worker is whether<br />
the individual is obliged to perform the<br />
services individually. In other words, if<br />
a driver doesn’t feel like turning up for<br />
a shift, can they simply send a friend in<br />
their place? Another key consideration is<br />
the level of control that the company has<br />
over the drivers.<br />
One key element of the Uber<br />
judgment, which was not widely<br />
reported, was the fact that the<br />
Employment Tribunal said that nothing<br />
would prevent Uber from devising a<br />
business model that would ensure its<br />
drivers were not workers; it was simply<br />
that the current model failed to do that.<br />
Uber has confirmed that it will appeal<br />
the decision, but, in any event, it and<br />
other companies operating in the<br />
so-called “gig economy” are likely to be<br />
reviewing their contracts and working<br />
practices to ensure that this decision is<br />
not repeated.<br />
The Uber case, as well as the ongoing<br />
reports of mistreatment of workers by<br />
organisations such as Sports Direct and<br />
Hermes has led to a huge focus in the<br />
media on the gig economy. This, in turn,<br />
has led to the Government launching<br />
an inquiry into the future world of work,<br />
focusing on the status and rights of<br />
people working in the gig economy.<br />
The last few years have seen<br />
significant increases in the number<br />
of temporary placements and in<br />
companies with non-traditional working<br />
practices, and there is no reason to think<br />
that the gig economy is going away;<br />
however, it is likely that over the next<br />
few years we will see an ongoing debate<br />
between the freedom of companies to<br />
make money versus the rights of the<br />
workers themselves. Further clarity, if<br />
not necessarily further regulation, is to<br />
be welcomed from all sides.<br />
10
Whistle(blowing)<br />
while you work<br />
Holly Cudbill lifts the lid on<br />
whistleblowing in the workplace<br />
At the start of the summer, many<br />
nay-sayers were predicting the<br />
Olympics and Paralympics would<br />
be overshadowed by the ongoing<br />
revelations about endemic drug use<br />
in athletics. Of course, Team GB had a<br />
glorious and record-breaking summer.<br />
The revelations, however, continue and<br />
this, coupled with Wikileaks’ interference<br />
in the US Presidential election and the<br />
recent film about Edward Snowden,<br />
means that the term ‘whistleblower’ is<br />
everywhere.<br />
For the majority of people working<br />
in the UK, whistleblowing does not<br />
usually relate to state-sanctioned<br />
doping or spying, but is instead rather<br />
more mundane: employees reporting<br />
wrongdoing at work.<br />
The law giving protection to<br />
whistleblowers in the UK was introduced<br />
partly as a result of the Zeebruge Ferry<br />
disaster in 1987, where it was found that<br />
serious health and safety breaches had<br />
been known of in advance, but were not<br />
reported or addressed by employees<br />
fearful of losing their jobs for being<br />
“trouble-makers”.<br />
Employees and workers who blow<br />
the whistle now have considerably<br />
more protection. For an employee to<br />
have rights as a whistle-blower, they<br />
must make a “qualifying disclosure”.<br />
This means that the worker must disclose<br />
information which in their reasonable<br />
belief, indicates that:<br />
1. a criminal offence has been or may<br />
be committed;<br />
2. a person has failed or may fail to<br />
comply with a legal obligation;<br />
3. a miscarriage of justice has occurred<br />
or may occur;<br />
4. an individual’s health and safety has<br />
been or may be endangered;<br />
5. the environment has been or may<br />
be damaged; or<br />
6. information showing any of the above<br />
has been concealed.<br />
In the vast majority of cases,<br />
whistleblowers at work rely on the belief<br />
that their employer is breaching a legal<br />
obligation. Until recently, employees<br />
were able to gain whistleblowing<br />
protection by saying that their employer<br />
had breached their own employment<br />
contract, which is of course a legal<br />
document that employers are obliged<br />
to comply with; however, Parliament<br />
closed this loophole by introducing the<br />
requirement that the disclosure is made<br />
in the public interest.<br />
This causes an interesting problem<br />
for employers in the public sector:<br />
for example, if an NHS employee<br />
were to complain that they had been<br />
discriminated against on the grounds<br />
of their sex and claimed that sex<br />
discrimination was rife in the NHS, there<br />
is a good argument that it’s in the public<br />
interest to disclose this.<br />
Provided that the employee or<br />
worker has properly made a qualified<br />
disclosure, they are protected from<br />
suffering a detriment or being dismissed<br />
as a result of having blown the whistle.<br />
Workers who are treated unfairly or<br />
sacked because of blowing the whistle<br />
have the right to claim compensation,<br />
which can be unlimited. In 2010, the<br />
whistleblowing charity Public Concern<br />
At Work published information showing<br />
that the highest whistleblowing<br />
compensation award up to that point<br />
had been £3.8 million, the lowest £1,000,<br />
and the average £113,677.<br />
As a result, it’s very important<br />
that employers take whistleblowing<br />
concerns seriously, have in place policies<br />
in order to deal with whistleblowers,<br />
and ensure that all employees and<br />
workers understand that they must not<br />
treat whistleblowers unfairly.<br />
Contact us direct<br />
Holly Cudbill<br />
Associate Solicitor – Employment<br />
023 8048 3770<br />
hollycudbill@coffinmew.co.uk<br />
11
ENTREPRENEURIAL NATION<br />
FUELLING AMBITION<br />
AND FEEDING<br />
THE NATION<br />
<strong>Comment</strong> magazine met Alice Mrongovius,<br />
the CEO of hungryhouse, one of the UK’s leading<br />
online food delivery businesses, and discovered a<br />
culinary world at our fingertips.<br />
The UK’s takeaway food market is<br />
worth a staggering £5bn a year, and<br />
is predicted to hit almost £8bn by<br />
the end of the decade. We cannot, it<br />
seems, get enough of pizza, Chinese,<br />
Indian and, of course, fish and chips.<br />
Our palates and the way we buy are<br />
also changing. Salad, soups, sushi, Thai,<br />
Mexican and Lebanese are now all firm<br />
favourites, ordered at the touch of a<br />
button from the comfort of our own<br />
homes.<br />
hungryhouse is one of the leading<br />
restaurant delivery services in the UK,<br />
putting hungry customers in touch<br />
with over 11,000 restaurants across the<br />
UK. Its European owner, Delivery Hero,<br />
is the largest food network in the world,<br />
connecting diners with over 300,000<br />
restaurants worldwide.<br />
Simply visit hungryhouse.co.uk, place<br />
your order with your favourite restaurant<br />
and sit back and wait for it to arrive at<br />
your door.<br />
Alice Mrongovius was appointed<br />
hungryhouse CEO in February this year,<br />
having served since 2014 as its Marketing<br />
Director. Behind this simple business<br />
idea there is a very clever team working<br />
hard keeping restaurateurs and diners<br />
happy.<br />
“Our business is focused on two key<br />
audiences,” explains Alice. “We give<br />
hungry customers in the UK the very best<br />
ordering and home delivery experience<br />
possible, whilst at the same time<br />
providing our restaurant partners with<br />
access to a much larger customer base.”<br />
hungryhouse was started back in 2006<br />
by two Australian entrepreneurs, Shane<br />
Lake and Tony Charles. The fledgling<br />
business made an early appearance on<br />
BBC2’s hugely popular Dragons’ Den<br />
television show, where they secured the<br />
investment needed to grow the business.<br />
Unfortunately, when the cameras<br />
stopped rolling, the deal collapsed.<br />
12
Their performance, however, caught<br />
the attention of other investors and the<br />
business took off. Coffin Mew has been<br />
advising hungryhouse since that early<br />
investment.<br />
In 2012, hungryhouse was acquired by<br />
global food ordering giant Delivery Hero,<br />
making it the largest food order business<br />
in the UK.<br />
An entrepreneurial business needs<br />
at its helm an entrepreneurial leader. It<br />
found one in Alice.<br />
In her early 20s, living in Australia,<br />
Alice left university to launch her own<br />
business. It was there she cut her teeth,<br />
discovering where her real skills lay.<br />
“I am naturally a creative and analytical<br />
person,” explains Alice, “and I quickly<br />
learnt where my strengths lie. That is<br />
an important lesson for any would-be<br />
entrepreneur.”<br />
After five years, she decided to<br />
move back to the country of her birth,<br />
Germany, with her husband, joining<br />
Delivery Hero to work in its search engine<br />
optimisation (SEO) team.<br />
“SEO allows you to keep your fingers<br />
in a lot of pies, working closely with the<br />
product and the technology behind it.<br />
It puts you at the heart of the business.<br />
And the experience of running my own<br />
business, matched with my creative and<br />
analytical nature lent itself well to the<br />
entrepreneurial culture at hungryhouse.”<br />
Within a few short years she was<br />
appointed hungryhouse’s Marketing<br />
Director, and in February 2016 its CEO.<br />
It is a remarkable rise.<br />
“As Marketing Director, my primary<br />
role was to address brand awareness and<br />
the customer journey,” says Alice. “They<br />
are both fundamental to the success<br />
of our business. And there is a natural<br />
connection to the operational side of the<br />
business.”<br />
Whilst there might be very few SEO<br />
marketers that make CEO, it was a very<br />
natural step for Alice and hungryhouse.<br />
Alice’s aim for hungryhouse is to<br />
continue to deliver and build value for<br />
its restaurant partners and diners, and to<br />
make it an “awesome place to work”.<br />
“We have a strong team and I would<br />
like to build upon that,” explains Alice. “I<br />
do not have a monopoly on good ideas,<br />
and I want to create opportunities for all<br />
our staff to shine. That will continue to<br />
drive growth.”<br />
So to what does Alice attribute her<br />
success?<br />
“Work hard and excel in the job or<br />
role you have,” says Alice. “All too often<br />
we hear of people with a five or 10-year<br />
plan, with each step planned to move<br />
them towards that goal. I believe that<br />
if you work hard to smash a particular<br />
project or role, you become valuable to<br />
your employer and opportunities will<br />
present themselves, even more so in fast<br />
moving technology and entrepreneurial<br />
businesses.”<br />
And that is good advice to<br />
entrepreneurs the world over.<br />
Visit hungryhouse.co.uk<br />
for further information<br />
and for supper tonight<br />
13
Brighton<br />
Business Pulse<br />
Brighton is celebrated around the<br />
world as a tourist destination with a<br />
thriving and exciting cultural scene.<br />
What is perhaps less well-known is<br />
its dynamic and expanding business<br />
community. Some 1,500 start-up<br />
and young digital and technology<br />
businesses call Brighton home, giving it<br />
the headlines<br />
80%<br />
of businesses in Brighton are<br />
predicting revenue growth of<br />
between 10 and 50 per cent.<br />
40%<br />
of businesses will be recruiting staff<br />
in 2016. Only eight per cent expect<br />
to decrease their headcount.<br />
52%<br />
believe that being located in<br />
Brighton is ‘very advantageous’<br />
or ‘advantageous’ to the future<br />
growth of their business.<br />
TRAFFIC<br />
Brighton’s poor traffic network and<br />
excessive congestion is the biggest<br />
bugbear for businesses.<br />
the name ‘Silicon Beach’.<br />
Coffin Mew opened its office in<br />
Brighton in 2015 to support both<br />
businesses and individuals. The<br />
Brighton Business Pulse is in part a<br />
celebration of the business community<br />
in this wonderful city, recognition of<br />
what works, and what could be done<br />
Confidence<br />
Are you feeling more or less confident<br />
about the prospects for your business<br />
than you were 12 months ago?<br />
76%<br />
More<br />
Less<br />
confident<br />
confident<br />
In the next 12 months<br />
Brighton’s businesses<br />
will be:<br />
21%<br />
65% Launching a new product<br />
or service<br />
31% Recruiting<br />
24% Opening a new office<br />
20% Seeking investment<br />
6% Exporting<br />
better. It also marks our first anniversary<br />
as part of the local community.<br />
Earlier this year we asked business<br />
leaders for their views on the economy,<br />
business confidence and why they<br />
chose Brighton. Brighton’s future as a<br />
hub for dynamic, entrepreneurial and<br />
new businesses looks assured.<br />
Just under half (44%) of businesses<br />
surveyed intend on raising finance<br />
in the next 12 months. This is how.<br />
33% VCs or angel investment<br />
25% Bank loan<br />
20% Peer to peer<br />
20% Overdraft<br />
17% Factoring<br />
4% Own reserves<br />
4% Grants<br />
14
Brighton<br />
What are the advantages of locating<br />
your business in Brighton?<br />
53% Proximity to<br />
customers<br />
24% Good infrastructure<br />
network<br />
24% Access to skilled<br />
workforce<br />
16% Proximity to suppliers<br />
And the disadvantages?<br />
63% Poor traffic network and<br />
excessive congestion<br />
43% Expensive commercial<br />
rents and building costs<br />
20% Availability of quality<br />
business space<br />
20% Lack of local authority<br />
support<br />
13% Dwindling customer base<br />
13% Brain drain<br />
7% Lack of support from<br />
financial community<br />
16% Ease of access to<br />
international markets<br />
16% Connectivity<br />
10% Local authority<br />
support<br />
9% University<br />
partnerships<br />
What needs to happen to make Brighton<br />
more attractive for businesses?<br />
• “Better and cheaper transport links.”<br />
• “Easier parking.”<br />
• “More support for small businesses.”<br />
• “Better links with neighbouring towns.”<br />
• “Need to attract big businesses into the town.”<br />
What impact will new developments,<br />
such as i360, have on your business?<br />
72%<br />
None<br />
22%<br />
Positive<br />
5%<br />
Negative<br />
What impact will Uber have on your business?<br />
What needs to be done to make Brighton more<br />
attractive to the international business community?<br />
• “Offering of niche services, such as being a tech hub.”<br />
• “Greater involvement of Brighton’s large international<br />
student population.”<br />
• “A stronger corporate brand. It is too messy with mix of arts<br />
and media, and that conflicts with high profile finance.”<br />
• “Use its connections with the international artists and<br />
musicians, acting as ambassadors, to reach international<br />
business community.”<br />
• “Better road and rail infrastructure.”<br />
• “New offices.”<br />
Positive 18%<br />
Negative 4%<br />
None 78%<br />
15
West Pier Trust –<br />
150-year anniversary<br />
One hundred and fifty years ago, the West Pier in Brighton first opened its doors to<br />
Victorian sightseers. It was an instant success. Its more recent history has been a little<br />
more chequered and well-documented. But now, following the enormously successful<br />
launch of the British Airways i360, the West Pier Trust has an exciting future.<br />
<strong>Comment</strong> <strong>Magazine</strong> met Rachel Clark, the CEO of the West Pier Trust, and client of<br />
Coffin Mew, to discover more.<br />
Image credit: Visual Air<br />
Brighton’s ruined West Pier remains<br />
a much loved landmark. The launch<br />
of the British Airways i360 – a vertical<br />
pier – is a mark of the West Pier Trust’s<br />
ambition.<br />
“Our 150th anniversary started in<br />
October, and includes a series of events<br />
planned for the next 12 months,” says<br />
Rachel. “The first event, an invite only<br />
drinks reception sponsored by Coffin<br />
Mew, was hosted by architect David<br />
Marks, and included a special birthday<br />
cake from Great British Bake Off contestant<br />
and Brighton resident, Kate Henry.”<br />
A full programme of events can be<br />
found on the West Pier Trust website -<br />
www.westpier.co.uk.<br />
The West Pier Trust has ambitious plans<br />
for the short, medium and long term,<br />
which, says Rachel, include building a<br />
completely new and contemporary pier.<br />
“Our first priority, however, is to move<br />
the West Pier Trust into one of the restored<br />
beachfront archways,” explains Rachel.<br />
A new seafront base will significantly raise<br />
our profile, giving us the opportunity to<br />
open a shop and visitor centre.”<br />
Rachel and her team of trustees and<br />
members have raised just over half of<br />
the £25,000 needed to make the move,<br />
which is scheduled for the Spring of<br />
2017.<br />
“Our next project is to restore and<br />
replace the original octagonal West Pier<br />
kiosk, creating a dedicated heritage<br />
centre,” says Rachel. “That will take<br />
upwards of £1m and our hope is to have<br />
that completed by 2020.”<br />
More ambitiously, Rachel and the West<br />
Pier Trust would like to see the creation<br />
of a new, contemporary pier, and the first<br />
tentative steps have already been taken.<br />
“We conducted an extensive<br />
consultation with Brighton residents<br />
last year,” explains Rachel, “and there is<br />
overwhelming support.”<br />
“We have begun to work up a<br />
development brief, but we do recognise<br />
that this will be an expensive build with<br />
ongoing maintenance. I suspect that we<br />
are a decade or more away from seeing<br />
a new pier rise from the water.”<br />
Whilst Brighton’s West Pier is largely no<br />
more, its memory will continue to live on<br />
through the work of the Trust, and new<br />
and fitting monuments will emerge.<br />
Its future for the next 150 years is looking<br />
promising.<br />
To find out more, or to support the<br />
West Pier Trust visit www.westpier.co.uk<br />
16
<strong>Comment</strong><br />
magazine meets<br />
Mark James<br />
Mark James is one of Coffin Mew’s most recent additions, joining the team<br />
in Brighton in April this year. He is a partner in the firm’s dispute resolution<br />
team, fighting his clients’ corners, and he isn’t someone you would want to<br />
pick a fight with, as <strong>Comment</strong> magazine discovers.<br />
When choosing a lawyer to fight your<br />
corner in a dispute you will want<br />
someone who is focused, who will<br />
persevere, with intelligence (obviously),<br />
quick on their feet, courteous, and a<br />
deep understanding of the issues at<br />
stake and your opponent.<br />
These are also the same disciplines<br />
needed to become twice British martial<br />
arts champion. Mark, from the age of<br />
five, has trained in the Korean martial art<br />
of Taekwondo and was once the best in<br />
the UK. It is, he says, in his blood.<br />
“My father is an instructor with clubs<br />
across the South East, as is my brother,<br />
and my son has just achieved his black<br />
belt after eight years. It has been a way of<br />
life for me for as long as I can remember.”<br />
Mark has in fact been named British<br />
champion twice, competed at two<br />
world championships, a European<br />
championship and even had trials to<br />
qualify for the Sydney Olympics in 2000.<br />
From this, he has an appreciation of the<br />
dedication required to achieve your goals<br />
and strive to be the best.<br />
He brings the same disciplined<br />
approach to his sport, building a career<br />
and specialising in dispute resolution<br />
and litigation. Mark is carving out a niche<br />
practice area in contentious construction<br />
law, supporting building contractors and<br />
developers across the South East and<br />
helping them to resolve disputes. He is<br />
one of a very small number in Brighton<br />
with this specialist focus.<br />
“Construction disputes usually<br />
focus around cash flow and defective<br />
workmanship,” Mark explains. “I am<br />
usually advising developers who<br />
consider they have reasons not to pay or<br />
building contractors on getting paid.”<br />
Disputes in the construction industry<br />
are guided by very specific guidelines<br />
and regulations designed to resolve<br />
disputes quickly and efficiently. An<br />
adjudication process can lead to a<br />
binding judgment within 28 days. It<br />
means that Mark and his team will often<br />
have to build a case extremely quickly.<br />
“Large commercial disputes may take<br />
many months or even years to build<br />
and bring to trial,” says Mark. “In the<br />
construction sector we often have to<br />
achieve the same in just a week or two if<br />
a dispute goes to adjudication.”<br />
Mark has another string to his bow,<br />
and in-keeping with his sporting theme.<br />
When not acting in a commercial,<br />
director/shareholder, or building<br />
dispute, he can be found representing<br />
Premiership footballers and their agents.<br />
“The football world is very much<br />
relationship driven,” explains Mark. “I have<br />
worked closely with football agents for<br />
a number of years, and have advised<br />
footballers at all levels on their contracts,<br />
image rights, press privacy issues,<br />
disputes etc, guiding them through<br />
the complex Football Association<br />
regulations. It is a fascinating world.”<br />
The behaviour of footballers has<br />
dominated press headlines of late, with<br />
England manager Sam Allardyce the<br />
latest having to step down following<br />
alleged misconduct. It does lead to<br />
criticism of the game, says Mark, and<br />
that is a shame.<br />
“The FA and the English game is<br />
in very good health financially, with<br />
record spending in the summer transfer<br />
window. Like any industry where<br />
individuals can earn phenomenal<br />
amounts there will always be one or<br />
two bad eggs and there will always be<br />
people doing stupid things they later<br />
regret. In most cases, footballers just<br />
want to keep themselves to themselves,<br />
play football and do the best they can for<br />
their families.”<br />
Contact us direct<br />
Mark James<br />
Partner - Dispute Resolution<br />
0333 000 0435<br />
markjames@coffinmew.co.uk<br />
17
Property nightmares<br />
- a knotty problem<br />
A beautiful garden can make or break the sale of your home. But some plants<br />
can leave home-owners with real nightmares. Genni Tipping explains what you<br />
should do if the dreaded Japanese Knotweed is discovered.<br />
Japanese Knotweed can be identified<br />
by its purple-flecked bamboo-like<br />
shoots. Whilst plants are dormant over<br />
the winter, spring and summer growth<br />
can see it reach seven feet, with each<br />
shoot producing branches with shovel<br />
shaped leaves. Large flowers will<br />
appear in the summer, often some six<br />
inches in diameter.<br />
This plant will grow rapidly and can<br />
quite easily overwhelm and suffocate<br />
other garden plants. Even though it does<br />
not produce seeds it can sprout easily<br />
from one small section of the plant and<br />
its roots.<br />
If Japanese Knotweed is discovered<br />
when considering purchasing a home,<br />
you will need to consider the following<br />
points.<br />
The scale of the problem<br />
You will need to establish the scale of the<br />
problem from the seller. As the shoots<br />
can be almost invisible during the winter<br />
months it can make it difficult to detect<br />
on your visit around the property. The<br />
mass of the plant is underground so even<br />
if a small section is identified this could<br />
lead to a large problem in time.<br />
The seller has an obligation to disclose<br />
the existence of the plant during the<br />
enquiry stage of the property transaction,<br />
and, indeed, there is often a specific<br />
question relating to this in the Property<br />
Information Forms that are completed in<br />
the majority of property sales.<br />
It is important to also know if the<br />
Japanese knotweed has encroached<br />
onto the neighbouring property. If it has,<br />
you could be facing a nuisance claim if<br />
the issue is not resolved.<br />
Whilst it is not illegal to have this plant<br />
in your garden, legislation is in place to<br />
enforce its control, and that can be costly<br />
and time-consuming.<br />
If the plant is identified it is well worth<br />
taking professional advice on the scale of<br />
the problem, rather than relying on the<br />
seller to merely sort it out.<br />
Will it affect my mortgage?<br />
The appearance of Japanese Knotweed<br />
can cause difficulties in securing suitable<br />
lending. Some lenders will refuse to<br />
lend outright, whilst others will consider<br />
lending if they can see that the plant<br />
is being eradicated by a professional<br />
firm that can provide a guarantee<br />
18
which is backed by insurance and/or<br />
a management plan. A copy of this<br />
guarantee and/or plan will need to be<br />
sent to the lender during the course<br />
of the transaction for their formal<br />
confirmation that they are happy to<br />
proceed with their lending decision.<br />
Structural damage<br />
If growing near the property, it can easily<br />
cause damage to the structural integrity<br />
through damage to the external walls or<br />
the foundations - the plant can grow very<br />
deep underground and can easily disrupt<br />
concrete and tarmac. This again could<br />
be costly and time consuming if work is<br />
needed to repair damage to a building,<br />
making it also difficult to obtain lending<br />
or sell the property in the future.<br />
What do I need to do if I am selling<br />
a property?<br />
The most important point to note is<br />
that you should not hide the existence<br />
of Japanese Knotweed. Concealment<br />
of its existence could be classified as<br />
misleading the buyer, who could then<br />
bring a claim against you.<br />
You will want to consider the removal<br />
or control of the plant and there are a<br />
number of ways in which you can do this:<br />
Weed killers – there are a few types of<br />
weed killer that are effective, although<br />
they will usually require multiple<br />
applications. You will need to ensure that<br />
you read the labels before applying to<br />
ensure it is effective against this particular<br />
plant (those with Glyphosate are the<br />
most effective).<br />
Digging out – you could try to dig out<br />
the plant, however the roots penetrate<br />
deeply into the ground which can make<br />
it difficult to ensure that all have been<br />
removed. The plant can easily grow back<br />
from the smallest fragments. You can<br />
only dispose of the dug out plant at a<br />
licenced landfill site or by destroying the<br />
plant by burning.<br />
Professionals – there are a number of<br />
companies who will assist in the removal<br />
and can provide insurance backed<br />
guarantees. This can be a particularly<br />
useful route if selling your property.<br />
Whilst the first two options might<br />
be cheaper, Japanese Knotweed is<br />
notoriously difficult to completely<br />
eradicate and could lead to further<br />
cost if the problem persists. Using a<br />
professional removal company is often<br />
the most advantageous as a guarantee<br />
and or/management plan can be<br />
provided to a potential buyer making it<br />
easier for them to secure lending against<br />
the property.<br />
You may also want to ensure that<br />
no structural damage has occurred by<br />
arranging for a surveyor to come and<br />
assess the property so that you are<br />
aware of any potential issues that could<br />
arise during the course of the property<br />
transaction or that could affect the value<br />
of the property.<br />
The Royal Horticultural Society has very<br />
helpful further reading on Japanese<br />
Knotweed and other invasive plants.<br />
Visit www.rhs.org.uk<br />
Further reading<br />
coffinmew.co.uk/residential-property<br />
Contact us direct<br />
Genni Tipping<br />
Solicitor – Residential Property<br />
023 9236 6047<br />
gennitipping@coffinmew.co.uk<br />
19
The end of<br />
‘meal ticket<br />
for life’divorces<br />
There has been an interesting trend in divorce cases<br />
over the last couple of years where judges have<br />
started to look a lot more closely about whether<br />
maintenance should be awarded to spouses on<br />
divorce on a long term basis. Sally Pike explains why.<br />
The courts have always been<br />
reluctant to ‘clean break’ a case and<br />
dismiss a spouse’s claim for ongoing<br />
maintenance when there are<br />
dependent children. This is because<br />
the primary carer, usually the wife, has<br />
been able to argue that she is unable<br />
to work or increase her income as this<br />
conflicts with her role in looking after<br />
the children. So divorce courts have<br />
been quite generous in awarding<br />
substantial maintenance awards,<br />
payable usually by the husband to the<br />
wife to meet living expenses and often<br />
on life basis.<br />
Husbands often cry foul play, arguing<br />
their wife could work part time or return<br />
to work, feeling hard done by that they<br />
are supporting their wives at home whilst<br />
they are working full time to meet their<br />
financial commitments. Shared care<br />
arrangements for children are now a<br />
lot more common, with dads playing a<br />
much more hands-on role in child care,<br />
and this adds to the feeling of unfairness.<br />
A light was thrown on this area with<br />
the case of Wright v Wright, where Mrs<br />
Wright had a maintenance order for<br />
life following her divorce. Mr Wright<br />
applied to the court to vary downwards<br />
the maintenance because his financial<br />
circumstances had changed and he was<br />
concerned that the payments would be<br />
unaffordable after his retirement.<br />
The judge ordered that the<br />
maintenance should cease after a tailing<br />
off period. It was the court’s comments<br />
on this that made divorce lawyers take<br />
note. The court took the view that once<br />
children were in Year 2 at school “most<br />
mothers can consider part-time work<br />
consistent with their obligation to their<br />
children”. There was an expectation that<br />
Mrs Wright could get a part-time job<br />
and develop her earning capacity, and<br />
so maintenance payments from the<br />
husband to her would cease<br />
within a few years.<br />
In fact, the law has always emphasised<br />
that the courts must look at bringing<br />
a married couple’s financial claims<br />
against each other to an end as soon as<br />
possible. This is known as clean break.<br />
It’s not always possible to achieve this,<br />
particularly when there is significant<br />
immediate imbalance in each spouse’s<br />
income and earning capacity, and where<br />
there are mortgages and outgoings to be<br />
met for housing needs.<br />
However, there is now a sense that the<br />
idea of spousal maintenance being<br />
a ‘meal ticket for life’ has ended and that<br />
judges will scrutinise in much more detail<br />
the wife’s ability to return or commence<br />
work once the children are at a certain<br />
school age. Spousal maintenance<br />
payments are likely to terminate at a<br />
much earlier stage to achieve that clean<br />
break.<br />
20
Generation<br />
of silver<br />
divorce<br />
The divorce rates among the over 50s has increased.<br />
Sally Pike explains why.<br />
According to the ONS the number<br />
of divorces continues to fall; in 2013<br />
there was a decline of 2.9% overall.<br />
There is, however, one generation<br />
bucking that trend – the over 50s.<br />
The divorce rate for over 50s has,<br />
surprisingly, increased significantly<br />
with over 60,000 divorcing in 2013.<br />
This trend is replicated worldwide,<br />
with the over 50s now twice as likely to<br />
divorce today compared to the 1990s.<br />
What is the cause of this dramatic<br />
increase? Women, who are more likely to<br />
petition for divorce than a man, no longer<br />
face a social stigma of divorce, they have<br />
greater financial independence and the<br />
fact children will no longer be dependent<br />
are contributing factors. Since December<br />
2000, the introduction of pension sharing<br />
has given divorcing spouses even<br />
greater ability to share assets and achieve<br />
financial independence.<br />
Divorcing couples amongst the over<br />
50s fall into two distinct categories.<br />
The first are those who have enjoyed,<br />
or endured, long traditional marriages<br />
where the husband has, usually, been<br />
the breadwinner and the wife the<br />
homemaker. The second category is<br />
those on a second marriage having<br />
previously been divorced or widowed.<br />
For the traditional couples, the court has<br />
been quite clear that the contributions of<br />
a homemaking wife are equal to those of<br />
the breadwinning husband, and generally,<br />
in the absence of special factors, there<br />
will be no reason to depart from an equal<br />
sharing of the assets.<br />
In relation to the second category, all<br />
sorts of complex arguments may exist<br />
when considering how to share the<br />
party’s assets. Some couples will have<br />
entered into a pre nuptial agreement<br />
and the court will have to consider<br />
how much weight to place on that<br />
agreement. It may be necessary for<br />
the court to identify separate and<br />
matrimonial property, and to decide<br />
whether a sharing of the matrimonial<br />
property is sufficient to meet needs and,<br />
if not, to what extent separate property<br />
should be included. The couple may also<br />
have children from previous relationships<br />
and be keen to protect assets they<br />
brought into the marriage for the benefit<br />
of their children on death.<br />
Careful consideration will need to be<br />
given in any silver divorce as to pension<br />
needs, tax implications and inheritance<br />
tax planning; expert legal and financial<br />
advice will be essential.<br />
Contact us direct<br />
Sally Pike<br />
Partner – Family<br />
023 9236 4955<br />
sallypike@coffinmew.co.uk<br />
21
A digital legacy<br />
Billions of people around the world use the web every day. It has made our<br />
lives more connected and often easier. Whether ordering the weekly shop,<br />
a new outfit, updating our social media profiles, or simply downloading music,<br />
a book or a film, we leave a clear digital footprint.<br />
But what happens to that footprint and the digital assets we own when we die?<br />
Sally Pike, Head of Family Law, Disputed Wills & Inheritance explains.<br />
Our digital lives fall broadly into<br />
three categories. Firstly, there is<br />
our personal material; this may<br />
include, for example, social media<br />
accounts, photographs and video,<br />
and blogs. Whilst these may have<br />
sentimental value, they tend to have<br />
little financial value. The second is<br />
financial information – not assets in<br />
themselves, but information that may<br />
lead us to our online banking, PayPal<br />
or eBay and shopping accounts. The<br />
final category is our digital assets –<br />
books, online games, films and music<br />
downloads.<br />
All three areas can leave significant<br />
challenges to family and the executors of<br />
a Will should you die.<br />
Many people would be forgiven for<br />
wondering where the problem lies. The<br />
law surrounding inheritance both where<br />
a Will exists and where one is absent is<br />
clear and established. Executors and<br />
next of kin, usually with help from their<br />
solicitor, will gather the assets of the<br />
deceased, settle any liabilities, pay any<br />
inheritance tax where due, and then<br />
distribute the assets. Why should digital<br />
assets be any different?<br />
There are three problems: access,<br />
location and valuation.<br />
A significant problem lies in that most<br />
internet or digital service providers regard<br />
their offer as a lifetime service, meaning<br />
you don’t actually own those assets.<br />
Instead, when you download a book from<br />
Amazon or a film from Apple, you are<br />
buying a license to use those assets for the<br />
rest of your life with that license expiring<br />
with you. It is a common contractual<br />
term that when an account becomes<br />
permanently inactive it is deleted.<br />
This often surprises individuals who<br />
mistakenly believe they own that film<br />
or book, much in the same way they<br />
would if they were to buy a physical<br />
copy. The terms and conditions – which<br />
all too often are skipped to the click ‘I<br />
agree’ – will set out clearly what happens<br />
to purchases when a subscriber passes<br />
away.<br />
Where assets, or information that will<br />
lead to those assets does not exist, it can<br />
be very difficult for executors or next<br />
of kin to physically locate them, and if<br />
they do, to actually access them. This<br />
can be particularly distressing to family<br />
and friends if treasured photographs, for<br />
example, face being lost permanently.<br />
In 2014, the Law Society began<br />
to encourage people to leave clear<br />
instructions on what digital assets<br />
and services they use and what they<br />
would like to happen to them. This is<br />
particularly important if an individual<br />
is holding cash online –commonly on<br />
shopping sites.<br />
Whilst it is sensible to include<br />
usernames and passwords with this<br />
information, be sure to leave them only<br />
with trusted individuals, for example, your<br />
solicitor or executor. It is also worth noting<br />
that following recent significant cyber<br />
attacks, users are now encouraged to<br />
regularly change passwords, making it yet<br />
again harder to access information.<br />
Like Facebook, Instagram can<br />
‘memorialise’ an account when a user<br />
dies. The account will remain open,<br />
with friends and family able to share<br />
pictures and video. Memorialised<br />
accounts do not appear, however,<br />
in searches or in public spaces on<br />
the platform.<br />
22
What happens to social<br />
media accounts when<br />
you die?<br />
The death of any family member<br />
or friend is a difficult and<br />
emotional time. Yet, thanks to<br />
social media, loved ones can<br />
continue to live on in cyber space.<br />
Family members often believe<br />
that they will be able to access<br />
the accounts of family members,<br />
but privacy laws in the UK will<br />
restrict access. So what can family<br />
members do with some of the more<br />
popular social media channels?<br />
Twitter<br />
Twitter allows only those authorised<br />
to act on the estate of the deceased<br />
individual or a verified family<br />
member to have an account<br />
deactivated. Individuals can<br />
request that certain images or video<br />
be removed, but Twitter will make<br />
the final decision depending on<br />
public interest criteria.<br />
Facebook<br />
Facebook allows its users to<br />
choose whether they want to<br />
permanently ‘memorialise’ or delete<br />
their account when they die. This<br />
will allow friends and family to<br />
post comments, reflections and<br />
memories. Facebook also allows<br />
individuals to appoint a ‘legacy<br />
contact’ that allows certain editing<br />
rights on the account, including<br />
posting one final farewell message.<br />
Instagram<br />
Like Facebook, Instagram can<br />
‘memorialise’ an account when a<br />
user dies. The account will remain<br />
open, with friends and family<br />
able to share pictures and video.<br />
Memorialised accounts do not<br />
appear, however, in searches or in<br />
public spaces on the platform.<br />
Email<br />
Email content will vary from<br />
platform to platform. Gmail,<br />
for example, allows authorised<br />
individuals to access the content,<br />
as does Yahoo. Apple, on the other<br />
hand, will allow an account to be<br />
closed and all content deleted, but<br />
will not allow content to be shared.<br />
Contact us direct<br />
Sally Pike<br />
Head of Family Law, Disputed Wills<br />
& Inheritance<br />
023 9236 4955<br />
sallypike@coffinmew.co.uk<br />
23
Buying<br />
social influence<br />
Zoella, Alfie Dayes, AmazingPhil and Joe Wicks may not<br />
mean much to people over the age of 25, but social media<br />
has created a new wave of stars with a very real influence<br />
over the buying behaviours of millions of teenagers and<br />
twenty-somethings.<br />
These video bloggers, or vloggers,<br />
increasingly work with the owners and<br />
marketing teams behind brands who<br />
are looking for new and innovative ways<br />
to reach potential buyers. Editorialstyled<br />
video or tweets often hide a<br />
commercial relationship – after all, the<br />
most successful marketing barely feels<br />
like marketing at all.<br />
Guidance has recently been issued<br />
by the Advertising Standards Authority<br />
(ASA) reminding brands of their legal and<br />
regulatory obligations when working<br />
with vloggers.<br />
The guidance, together with existing<br />
consumer legislation, requires brands to<br />
clearly distinguish between advertising or<br />
advertorials, and genuine and impartial<br />
reporting. The boundary on social media<br />
is all too often blurred.<br />
Where products are provided to<br />
vloggers unconditionally, there is unlikely<br />
to be a problem – the recipient is free to<br />
give a bad review or even no review at all.<br />
However, if the vlogger is receiving any<br />
kind of payment, including free gifts, and<br />
doesn’t declare this, the brand risks falling<br />
foul of the regulations.<br />
Coffin Mew has prepared a simple<br />
checklist for brands working with social<br />
media influencers:<br />
• When paying a vlogger for coverage,<br />
or providing or approving content, the<br />
content must be clearly marked on<br />
screen as with an ‘ad’, ‘ad feature’<br />
or ‘advertorial’.<br />
• If, within an independent vlog, a<br />
product is reviewed or recommended<br />
following a commercial agreement –<br />
in other words, product placement<br />
– that too must be clearly<br />
acknowledged. Again, the guidance<br />
recommends wording like ‘ad’ or ‘ad<br />
feature’, or having the vlogger explain<br />
they’ve been paid to talk about the<br />
product.<br />
• Care needs to be given if a vlogger<br />
sends the agency or brand owner<br />
a copy of the video footage before<br />
broadcast, perhaps out of courtesy<br />
following payment or a gift of the<br />
products being reviewed. This may<br />
imply that the brand has editorial<br />
influence which would need to be<br />
labelled as such. Likewise, if an<br />
over-zealous marketing executive<br />
suggests changes, it starts to look like<br />
disguised editorial control and, again,<br />
that would need to be labelled.<br />
It is absolutely fine to sponsor a vlogger<br />
to create a video, or submit products<br />
for review, and it need not be labelled<br />
as an advertorial provided that vlogger<br />
has complete control over his or her<br />
comments.<br />
The benefits to a brand of a positive,<br />
genuinely independent, review can be<br />
enormous. And if the review is negative,<br />
that might suggest the brand hasn’t<br />
targeted its audience quite as well as its<br />
marketing team thought.<br />
Contact us direct<br />
Mark O’Halloran<br />
Partner<br />
023 9236 4959<br />
markohalloran@coffinmew.co.uk<br />
24
Rates<br />
revaluation<br />
– what will it mean for your business?<br />
It has been seven years since all non-domestic rates in England and<br />
Wales were revalued. And whilst much has changed on the High Street,<br />
the revaluation will give some businesses in prime locations in London<br />
and the South East a major financial headache.<br />
Business rates, based on the value of<br />
commercial property and its rentable<br />
value, are typically reassessed every<br />
five years. The Government, following<br />
the 2008 crash, decided to delay by<br />
two years its revaluation to avoid “sharp<br />
changes” to business rate bills. Many<br />
will say it has failed to achieve this.<br />
The revaluation is based on rental<br />
levels at 1 April 2015 and will apply<br />
to all non-domestic rates from 1 April<br />
2017, setting business rates for the next<br />
five years. Colliers International, a real<br />
estate consulting firm, having examined<br />
how the new valuations might affect<br />
businesses, predict significant increases<br />
to rates in London of between 100% and<br />
415%.<br />
Outside of London, Brighton businesses<br />
are likely to see an increase of 18%, a<br />
14% increase in Farnham and 33% in<br />
Winchester. Businesses in Worthing,<br />
however, can expect to see their rates<br />
decrease by 32%, by 28% in Fareham and<br />
by 9% in Fleet.<br />
Business rates, after wages and rent, are<br />
the third largest overhead for businesses.<br />
The changes could turn viable businesses<br />
into unviable ones and vice versa, or force<br />
businesses to relocate.<br />
There is, however, some relief for<br />
businesses. Those businesses that will<br />
see significant increases will have them<br />
introduced in stages over the next five<br />
years, and those businesses in property<br />
with a rateable value under £12,000<br />
do not need to pay at all. Businesses in<br />
property with a rateable value between<br />
£12,000 and £15,000 will receive some<br />
tapered relief, with charities and sports<br />
clubs able to get up to 80% rate relief.<br />
Businesses that believe the rateable<br />
value of their property to be incorrect<br />
can challenge their assessment, and<br />
many thousands do - more than 850,000<br />
businesses challenged the 2010 rateable<br />
values. The Government, however,<br />
believes that some 70% of challenges<br />
made were frivolous and without merit<br />
and resulted in no change to values.<br />
Sitting alongside the revaluation is a<br />
new appeal process – Check. Challenge.<br />
Appeal. It is a linear process, with one<br />
stage having to be completed before<br />
being able to move on to the next. It is<br />
designed to remove early on any frivolous<br />
challenges. The ‘Check’ stage seeks to<br />
clarify detail about the property, with the<br />
‘Challenge’ stage asking ratepayers to set<br />
out the grounds for challenge, providing<br />
supporting evidence and an alternative<br />
valuation. If still unsatisfied, ratepayers<br />
can ‘Appeal’.<br />
The Check. Challenge. Appeal process<br />
is not quick, taking upwards of three<br />
years. The Appeal process has also been<br />
criticised for not allowing ratepayers to<br />
bring in expert witnesses to support their<br />
appeal, with the appeal decision based<br />
on information already provided. Further<br />
criticism will no doubt follow once the<br />
new process is up and running.<br />
Coffin Mew’s Commercial Property<br />
team recognises that many of its<br />
clients are likely to be hit hard in areas<br />
where property prices have increased<br />
significantly. Whilst the firm is not able to<br />
lead clients through the Check. Challenge.<br />
Appeal process, it does work closely with<br />
rating surveyors who can help.<br />
Another answer for businesses wishing<br />
to mitigate the impact of higher rates<br />
might be to re-gear their lease by<br />
negotiating with their landlord for a rent<br />
reduction, a rent free period or some<br />
other payment break. This option is likely<br />
to be available to a small percentage of<br />
tenants, where, for example, the tenant<br />
has an upcoming break clause and where<br />
the landlord would not want to lose the<br />
occupier.<br />
Contact us direct<br />
Nick Leavey<br />
Partner - Head of Commercial Property<br />
023 9236 6015<br />
nickleavey@coffinmew.co.uk<br />
25
Managing personal<br />
affairs in old age<br />
What happens to your affairs when you can no<br />
longer can make decisions on your own?<br />
Would you be happy with a total stranger controlling your finances?<br />
That is what could happen in the event you are not prepared,<br />
warns Roz Wyeth.<br />
There are, according to the Alzheimer’s<br />
Society, some 850,000 people in the<br />
UK who today suffer from dementia.<br />
That number is expected to increase<br />
to nearly 1.5 million over the next nine<br />
years, and hit over two million by 2051.<br />
It is a sad fact of life that many of us will<br />
lose mental capacity as we grow older.<br />
For many, dementia can creep up<br />
unnoticed, and once the disease has<br />
taken hold it is too late to put provisions<br />
for the management of your personal<br />
and financial affairs in place. It is,<br />
therefore, vital to be proactive when<br />
considering who you would trust to deal<br />
with your affairs in the event that you no<br />
longer can.<br />
Making a Lasting Power of Attorney<br />
allows you to choose who you would<br />
like to manage your affairs in the future.<br />
If you do not have such arrangements<br />
in place and you were to lose the ability<br />
to manage your affairs, the only option<br />
is for an application to be made to the<br />
Court of Protection for a Deputyship<br />
Order. This can be expensive and<br />
carries an ongoing requirement for<br />
annual reporting and payment of the<br />
associated court fees for the privilege.<br />
In addition, the Court may not approve<br />
an application by, say, a family member,<br />
deeming it more appropriate for the local<br />
council to be appointed as your deputy.<br />
This is particularly likely if they have any<br />
doubts about the suitability of the person<br />
making the application or where there is<br />
sibling rivalry or a family dispute.<br />
If you suddenly find you need<br />
assistance and have not made a Lasting<br />
Power of Attorney, this can cause a great<br />
deal of stress and worry for friends and<br />
families who are left in the unhappy<br />
position of financing your care and<br />
paying your bills from their own funds<br />
until an order is put in place to allow<br />
access to your own.<br />
Making a Lasting Power of Attorney<br />
now does not preclude you from dealing<br />
with your own affairs. A Lasting Power<br />
of Attorney can be used as soon as it is<br />
registered by the Court, or its use can be<br />
limited to a time when you no longer feel<br />
that you can manage your own affairs<br />
– for example, if you become physically<br />
unwell and need assistance or simply<br />
get to the stage where you would rather<br />
someone else dealt with the hassle of<br />
finances.<br />
It is also possible to restrict its use<br />
further, by simply holding on to the<br />
documents, or asking your law firm to<br />
look after them. Coffin Mew can, for<br />
example, store the registered document<br />
safely and only release appropriate copies<br />
of it on receipt of express instructions from<br />
you or, alternatively, written proof of your<br />
mental incapacity from a qualified doctor.<br />
Unless you expressly give your<br />
authority in advance, your attorneys do<br />
not have any right to view your Will and<br />
will never have any right to amend your<br />
Will. The two documents are entirely<br />
separate. Lasting Powers deal with<br />
your affairs during your lifetime and<br />
on your death the power you gave<br />
to your attorneys dies with you,<br />
and your Will and your appointed<br />
executors take over.<br />
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Types of<br />
Lasting Power<br />
There are two types of Lasting<br />
Power – one that addresses<br />
your property and financial<br />
affairs and a second that relates<br />
to your health and welfare.<br />
Property and financial affairs<br />
This is used to make<br />
decisions concerning:<br />
• Buying and selling property<br />
• Paying a mortgage<br />
• Investing money<br />
• Paying bills<br />
• Arranging repairs to property<br />
Health and welfare<br />
This can be used to make<br />
decisions concerning:<br />
• Where you should live<br />
• Your medical care<br />
• What you should eat<br />
• Who you should have<br />
contact with<br />
• What kind of social activities<br />
you should take part in<br />
Contact us direct<br />
Roz Wyeth<br />
Associate (FCILEx)<br />
Wills, Trusts and Probate<br />
023 9236 4322<br />
rozwyeth@coffinmew.co.uk<br />
27
@coffin_mew<br />
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www.coffinmew.co.uk<br />
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