FINAL NOTICE

ACTION

1. By an application dated 31 July 2019 (“the Application”), CLAIMS 4U Limited
(“CLAIMS 4U”) applied under section 55A of the Act for Part 4A permission to
carry on the regulated activities of:

a. Agreeing to carry on a regulated activity;

b. Seeking out, referrals and identification of claims or potential claims (personal

injury claim; financial services or financial product claim; housing disrepair

claim; claim for a specified benefit; criminal injury claim; employment related

claim);

c. Advice, investigation or representation in relation to a personal injury claim;

d. Advice, investigation or representation in relation to a financial services or

financial product claim;

e. Advice, investigation or representation in relation to a housing disrepair claim;

f.
Advice, investigation or representation in relation to a claim for a specified

benefit;

g. Advice, investigation or representation in relation to a criminal injury claim;

h. Advice, investigation or representation in relation to an employment related

claim.

2. The Application is incomplete.

3. For the reasons listed below, the Authority has decided to refuse the Application.

SUMMARY OF REASONS

4. By its Warning Notice dated 14 August 2020 (“the Warning Notice”) the Authority
gave notice that it proposed to refuse the Application and that CLAIMS 4U was
entitled to make representations to the Authority about that proposed action.

5.
As no representations have been received by the Authority from CLAIMS 4U
within the time allowed by the Warning Notice, the default procedures in
paragraph 2.3.2 of the Authority’s Decision Procedure and Penalties Manual apply,
permitting the Authority to treat the matters referred to in its Warning Notice as
undisputed and, accordingly, to give a decision notice.

6. By its decision notice dated 22 December 2020 (“the Decision Notice”), the
Authority gave CLAIMS 4U notice that it had decided to take the action described
above.

7. CLAIMS 4U had 28 days from the date the Decision Notice was given to refer the
matter to the Upper Tribunal. CLAIMS 4U referred the Decision Notice to the
Upper Tribunal on 21 January 2021. Following agreement with the Upper
Tribunal, the Authority filed and served its Statement of Case and List of
Documents in the Upper Tribunal proceedings on 23 February 2021. CLAIMS 4U
was due to file and serve its Reply pursuant to Rule 5(1) of the Tribunal
Procedure (Upper Tribunal) Rules 2008 (“the Upper Tribunal Rules”) by no later
than 23 March 2021, but it did not do so. CLAIMS 4U was subsequently given a
number of opportunities to file and serve a Reply by the Upper Tribunal, but it
again did not do so. Accordingly, on 27 May 2021 the Upper Tribunal directed that
the reference be struck out and that the Upper Tribunal proceedings were at an
end. Pursuant to Rule 8(5) and (6) of the Upper Tribunal Rules, CLAIMS 4U had
one month after the date of release of the Upper Tribunal’s directions striking out
the proceedings within which to apply to reinstate the reference, but it did not do
so.

8. Under section 390 (1) of the Act, the Authority, having decided to refuse the
Application and the Tribunal having struck CLAIMS 4U’s reference, must give
CLAIMS 4U Final Notice of its refusal.

9. The Authority decided to refuse the Application and to give this Final Notice as
CLAIMS 4U has failed to provide the information required by the Authority and,
in the absence of the information sought, the Authority cannot ensure that
CLAIMS 4U will satisfy, and continue to satisfy, the Threshold Conditions set out
in Schedule 6 of the Act.

DEFINITIONS

10. The definitions below are used in this Final Notice.

“the Act” means the Financial Services and Markets Act 2000

“the Authority” means the body corporate previously known as the Financial
Services Authority and renamed on 1 April 2013 as the Financial Conduct
Authority

“CLAIMS 4U” means CLAIMS 4U Limited

“Upper Tribunal” means the Upper Tribunal (Tax and Chancery Chamber)

FACTS AND MATTERS

11. The Application was received by the Authority on 31 July 2019.

12. Further information was requested from CLAIMS 4U under section 55U(5) of the
Act.

13. Details of all relevant communications between the Authority and CLAIMS 4U are
set out below:

14. Between 13 September 2019 and 14 July 2020, the Authority sent CLAIMS 4U
four emails, three letters and made three phone calls to elicit information from
CLAIMS 4U that would assist the Authority in determining the Application.

15. On 13 September 2019, the Authority sent an email to CLAIMS 4U requesting
that CLAIMS 4U provide the following information in support of the Application by
27 September 2019:

a. Business Plan

b. Pre-contract information

c. Client Contract information

d. Vulnerable persons procedure

e. Opening balance sheet

f. Closing balance sheet for 1st 12 months

g. Cash flow statement 1st 12 months

h. Profit & Loss statement 1st 12 months

i. Annual / management accounts

j. Compliance Monitoring document

k. Compliance Procedures document

l. Evidence of how the firm will meet its Prudential Resources
requirement

m. The Individual form (TI) form for Mr Aqeel Rasool Question. 4.3 –
Please provide a CV for Mr Aqeel Rasool

n. Question. 5.6 - Please provide an answer for this.

o. Question. 5.23 - Please provide an answer for this.

p. Section 7, the declaration is incomplete and requires a signature.

16. On 13 September 2019, the Authority sent two additional separate emails to
CLAIMS 4U requesting that CLAIMS 4U provide the following further information
in support of the Application by 27 September 2019:

a. SM&CR Form A and SOR

b. Periodic fee payment

17. CLAIMS 4U failed to provide the outstanding information by 27 September 2019.

18. On 27 November 2019, the Authority sent a letter to CLAIMS 4U under cover of
an email, noting the lack of a response to its request for information on 13
September 2019, and informing it that failure to provide that information would
result in the Application being determined based upon the information received
to date and that this might result in a recommendation to the RTC that it issue
CLAIMS 4U with a warning notice proposing to refuse the Application. The
deadline for a response to this request was 11 December 2019.

19. On 27 November 2019, CLAIMS 4U sent an email to the FCA to request an
extension in which to provide a response to the Authority’s request for further
information.

20. On 12 December 2019, having not received any further correspondence, the
Authority sent a second letter, to CLAIMS 4U under cover of an of an email and
by recorded delivery, with delivery confirmed on 20 December 2019, noting that
the information requested on 27 November 2019 had not been provided, and
requesting a response by 27 December 2019. CLAIMS 4U was informed that
failure to provide the information would result in the Application being
determined based upon the information received to date and that this might
result in a recommendation to the RTC that it issue CLAIMS 4U with a warning
notice proposing to refuse the Application. CLAIMS 4U failed to provide the
outstanding information by 27 December 2019.

21. On 28 December 2019, the Authority sent a further letter to CLAIMS 4U under
cover of an of an email and by recorded delivery, noting the lack of a response to
its previous requests for information and informing it that failure to provide the
information would result in the Application being determined based upon the
information received to date and that this might result in a recommendation to
the RTC that it issue CLAIMS 4U with a warning notice proposing to refuse the
Application. CLAIMS 4U failed to provide the outstanding information by 16
January 2019. The letter was returned to the Authority on 12 March 2020 with a
reference note from Royal Mail stating the letter was undelivered and was
marked as uncalled for.

22. On 23 January 2020, the Authority attempted to call CLAIMS 4U on the
telephone number it provided but there was no answer and the Authority was
unable to leave a message as the number provided did not have a facility for
leaving messages.

23. On 14 July 2020, the Authority attempted to call CLAIMS 4U on the telephone
number it provided but there was no answer and again the Authority was unable
to leave a message as the number provided did not have a facility for leaving
messages.

24. On 14 July 2020, the Authority contacted CLAIMS 4U on the mobile telephone
number it provided and, briefly spoke with the director of CLAIMS 4U, who
requested that the Authority put its request in an email.

25. On 14 July 2020, the Authority forwarded a letter to CLAIMS 4U under cover of
an email, noting that the information requested on 28 December 2019 had not
been provided, and requested a response as a matter of urgency. CLAIMS 4U
was informed that a failure to provide the information would result in the
Application being determined based upon the information received to date and
that this might result in a recommendation to the RTC that it issue CLAIMS 4U
with a warning notice proposing to refuse the Application. CLAIMS 4U failed to
provide the outstanding information.

26. To date, the Authority has not received a response to its requests for information.

IMPACT ON THRESHOLD CONDITIONS

27. The regulatory provisions relevant to this Final Notice are referred to in Annex A.

28. CLAIMS 4U has failed to respond to six separate requests for the provision of
information considered by the Authority to be necessary to allow the Application
to be determined. Three of these requests were made over a four-week period
and included a statement to the effect that CLAIMS 4U must contact the
Authority, or the Authority would recommend to the RTC that CLAIMS 4U
receives a Warning Notice.

29. The Authority has therefore determined the Application based upon the
information received to date, in circumstances where its requests for information
have not been met. Having reviewed that information, the Authority cannot
ensure that CLAIMS 4U satisfies, and will continue to satisfy, the Threshold
Conditions.

30. Authorised firms (and those seeking authorisation) are expected to engage with
the Authority in an open and cooperative way. The failure to provide the
requested information raises concerns that CLAIMS 4U would fail to do so if the
Application were to be granted.

31. The failure to provide the information raises concerns as to whether CLAIMS 4U:

a. can be effectively supervised by the Authority as required by Threshold
Condition 2C;

b. has appropriate human resources, given CLAIMS 4U’s failure to provide
the Authority with the requested information as required by Threshold
Condition 2D; and

c. will conduct its business with integrity and in compliance with proper
standards as required by Threshold Condition 2E.

32. On the basis of the facts and matters described above, in particular the failure to
provide the information sought, the Authority has concluded that it cannot
ensure that CLAIMS 4U will satisfy, and continue to satisfy, the Threshold
Conditions in relation to all of the regulated activities for which CLAIMS 4U would
have permission if the Application was granted.

IMPORTANT NOTICES

33. This Final Notice is given under section 390 (1) of the Act.

34. Sections 391(4), 391(6) and 391(7) of the Act apply to the publication of
information about the matter to which this Notice relates. Under those
provisions, the Authority must publish such information about the matter to
which this Notice relates as the Authority considers appropriate. The information
may be published in such manner as the Authority considers appropriate.
However, the Authority may not publish information if such publication would, in
the opinion of the Authority, be unfair to you or prejudicial to the interests of
consumers or detrimental to the stability of the UK financial system.

35. The Authority intends to publish such information about the matter to which this
Final Notice relates as it considers appropriate.

Authority contacts

36. For more information concerning this matter generally, contact Tina Archer,
Manager, Claims Management Companies Department at the Authority (direct
line: 020 7066 020 7066 9188 / email: Tina.Archer@fca.org.uk).

Val Smith
Executive Decision maker on behalf of the Authority

ANNEX A – REGULATORY PROVISIONS RELEVANT TO THIS FINAL NOTICE

1. Section 55A(1) of the Act provides for an application for permission to carry on
one or more regulated activities to be made to the appropriate regulator. Section
55A(2) defines the “appropriate regulator” for different applications.

2. Section 55B(3) of the Act provides that, in giving or varying permission, imposing
or varying a requirement, or giving consent, under any provision of Part 4A of the
Act, each regulator must ensure that the person concerned will satisfy, and
continue to satisfy, in relation to all of the regulated activities for which the
person has or will have permission, the Threshold Conditions for which that
regulator is responsible.

3. The Threshold Conditions are set out in schedule 6 of the Act. In brief, the
Threshold Conditions relate to:

(1)
Threshold condition 2B: Location of offices

(2)
Threshold condition 2C: Effective supervision

(3)
Threshold condition 2D: Appropriate resources

(4)
Threshold condition 2E: Suitability

(5)
Threshold condition 2F: Business model

Relevant provisions of the Authority’s Handbook

4. In exercising its powers in relation to the granting of a Part 4A permission, the
Authority must have regard to guidance published in the Authority Handbook,
including the part titled Threshold Conditions (“COND”). The main considerations
in relation to the action specified are set out below.

5. COND 1.3.2G(2) states that, in relation to Threshold Conditions 2D to 2F, the
Authority will consider whether a firm is ready, willing and organised to comply
on a continuing basis with the requirements and standards under the regulatory
system which will apply to the firm if it is granted Part 4A permission.

6. COND 1.3.3AG provides that, in determining the weight to be given to any
relevant matter, the Authority will consider its significance in relation to the
regulated activities for which the firm has, or will have, permission in the context
of its ability to supervise the firm adequately, having regard to the Authority’s
statutory objectives. In this context, a series of matters may be significant when
taken together, even though each of them in isolation might not give serious
cause for concern.

7. COND 1.3.3BG provides that, in determining whether the firm will satisfy, and
continue to satisfy, the Authority Threshold Conditions, the Authority will have
regard to all relevant matters, whether arising in the United Kingdom or
elsewhere.

Threshold Condition 2C: Effective Supervision

8. COND 2.3.3G states that, in assessing the Threshold Condition set out in
paragraph 2C of Schedule 6 to the Act, factors which the Authority will take into
consideration include, among other things, whether it is likely that the Authority
will receive adequate information from the firm to determine whether it is
complying with the requirements and standards under the regulatory system for
which the Authority is responsible and to identify and assess the impact on its
statutory objectives; this will include consideration of whether the firm is ready,
willing and organised to comply with Principle 11 (Relations with regulators) and
the rules in SUP on the provision of information to the Authority.


Threshold condition 2D: Appropriate Resources

9. COND 2.4.2G(2) states that the Authority will interpret the term 'appropriate' as
meaning sufficient in terms of quantity, quality and availability, and 'resources' as
including all financial resources (though only in the case of firms not carrying on,
or seeking to carry on, a PRA-regulated activity), non-financial resources and
means of managing its resources; for example, capital, provisions against
liabilities, holdings of or access to cash and other liquid assets, human resources
and effective means by which to manage risks.

10. COND 2.4.2G(2A) provides that ‘non-financial resources’ of the firm include
human resources it has available.

11. COND 2.4.2G(3) states that high level systems and control requirements are in
SYSC. The Authority will consider whether the firm is ready, willing and organised
to comply with these and other applicable systems and controls requirements
when assessing if it has appropriate non-financial resources for the purpose of the
Threshold Conditions set out in Threshold Condition 2D.

Threshold condition 2E: Suitability

12. COND 2.5.2G(2) states that the Authority will also take into consideration
anything that could influence a firm's continuing ability to satisfy the Threshold
Conditions set out in paragraphs 2E and 3D of Schedule 6 to the Act. Examples
include the firm's position within a UK or international group, information
provided by overseas regulators about the firm, and the firm's plans to seek to
vary its Part 4A permission to carry on additional regulated activities once it has
been granted that permission.

13. COND 2.5.4G(2)(a) states that examples of the kind of general considerations to
which the Authority may have regard when assessing whether a firm will satisfy,
and continue to satisfy, Threshold Condition 2E include, but are not limited to,
whether the firm can demonstrate that it conducts, or will conduct, its business
with integrity and in compliance with proper standards.

14. COND 2.5.6G provides that examples of the kind of particular considerations to
which the Authority may have regard when assessing whether a firm will satisfy,
and continue to satisfy, this Threshold Condition include, but are not limited to,
whether the firm has been open and co-operative in all its dealings with the
Authority and any other regulatory body (see Principle 11 Relations with
regulators) and is ready, willing and organised to comply with the requirements
and standards under the regulatory system (such as the detailed requirements of
SYSC and, in relation to a firm not carrying on, or seeking to carry on, a PRA-

regulated activity only, the Prudential Standards part of the Authority’s
Handbook) in addition to other legal, regulatory and professional obligations; the
relevant requirements and standards will depend on the circumstances of each
case, including the regulated activities which the firm has permission, or is
seeking permission, to carry on.