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Personal Injury Law Firm ‘First Stop Legal Services’ Enters Administration

Personal Injury Law Firm ‘First Stop Legal Services’ Enters Administration

Reviewed: 16th October 2015

The personal injury law firm First Stop Legal Services has entered administration in recent days and potentially put dozens of jobs in jeopardy in the process.  

First Stop, which trades officially as GT Law, has offices in Manchester and Liverpool and had a workforce numbering 113 people as of February 2014.

Quite why the firm was forced to enter administration is yet to become entirely clear but First Stop was referred to the Solicitors Regulation Authority (SRA) earlier this year in relation to its conduct in the context of a recent class action legal case.

The case was brought to the High Court on the basis of claims that groups of people living close to the site of a chipboard plant fire in Kirby on Merseyside had suffered ill-health as a result of the incident.

However, the presiding judge dismissed the case and made clear his view that there were inconsistencies in the signed statements of a number of claimants being represented.

First Stop was subsequently referred to the SRA in relation to its role in events as they unfolded in court and in relation to the case as a whole, although it is not known whether the matter has negatively impacted the firm’s financial stability.

Accounts presented to Companies House for the full-year up to the end of February 2014 show that First Stop generated £7.94 million in revenues and £179,000 in profits in the period.

In the previous 12 months, the firm, which had been headquartered on Castle Street in Liverpool, reported a slightly lower annual revenue figure of £7.45 million but higher profits worth £255,000.

Having first been incorporated in 2009, the business grew its workforce, which was based in offices in various parts of the North West of England, from 83 to 113 in the year from early 2013.

Statements published on First Stop’s website explain that the firm was entered into administration on October 9th 2015, with queries relating to the business now being handled by appointed third parties.

The brief statement also said: “Client files have been transferred and the acquiring firms are in the process of securing informed client consent. Clients will be contacted directly by those law firms over the next few days.” 

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