Scale is important;

it means we can always

draw on the right

specialist advice.

Multi-faceted advice to educational charity keeps Hewitsons on its toes

Working for a successful, rapidly expanding charity can certainly provide a regular and wide variety of legal challenges, and never more the case than with the Northamptonshire based United Church Schools Trust and its sister charity United Learning Trust.

UCST run a number of independent schools and ULT operate acadmy schools thoughout the country. In keeping with the fully integrated legal offering espoused by the firm, Hewitsons has successfully combined its significant charity and education sector expertise with a strong commercial slant to provide a complete service for UCST and ULT over the last few years.

Due in part to the recession and the tough current economic conditions, Hewitsons has seen debt collection and enforcement work increase significantly in recent times. The firm handles the collection of unpaid school fees for all of UCST's schools, from pre-action correspondence to issue of the claim, through to judgment and enforcement.

If a case is defended, the firm will deal with the matter through to trial or settlement through alternative dispute resolution. Hewitsons uses a variety of enforcement methods to recover judgment debts, including warrants of execution, attachment of earnings orders, third party debt orders and charging orders. The firm also secures debts through voluntary charges over the debtor's property. In appropriate circumstances, Hewitsons serves statutory demands and issues bankruptcy petitions.

Hewitsons has also advised UCST in relation to disputes unrelated to school fees. The firm advised on the termination of the supply of coach services to a school, and in relation to a claim by a uniform supplier for the value of unsold stock following the closure of another school.

Another major area of work with UCST has been advising on school mergers. One recent example involved the merger of UCST with a school facing significant financial challenges but which was otherwise successful, well-respected and well-run. Hewitsons advised UCST on due diligence matters, the optimum process to be followed, together with the timing considerations of announcements for parents, staff and the general public.

Hewitsons also worked with UCST and the school itself to put into effect appropriate merger agreement documents, associated documents for specific areas such as contracts, property and employment, and dealt with the Charity Commission and other regulators as required.

Clare Colacicchi, head of the firm's Private Client Section, says, "In spite of the challenging timing, involving extensive negotiations with the Charity Commission and a number of issues relating to the historical ownership of assets, which were by no means straightforward, we worked with the charity to achieve a smooth and timely merger."

The firm also advises United Learning Trust, the largest operator of academies in the country. A recent project has been the merger with Emmanuel Schools Foundation, bringing in four new schools to the group and extending ULT's coverage for the benefit of thousands of children and their families.

This was a complex and challenging merger involving constitutional, governance, academy, DfE, employment, funding, property, and commercial issues. Having specialist education and charities teams as well as the full range of commercial teams meant a complete service for this charity in a testing situation.

The firm's comprehensive property service ensures that all land and buildings are transferred as an integrated part of each merger. This is in addition to undertaking sales of former school land and various tenancy-related matters, being careful to ensure that all charity related issues are dealt with.

Hewitsons' property team has also acted in the acquisition of new land and buildings for various schools within the group, most recently several distinct properties located very close to each other, all to improve the offering of one of UCST's most prestigious schools.

The firm's employment team deals with both contentious and non-contentious matters for UCST. For example, it provides advice on issues relevant to school mergers, including due diligence and the procedures and timetable required to be followed in the information and consultation processes with employee representatives.

Further, the firm provides advice relating to disciplinary matters, including the termination of senior members of staff and the use and practice of compromise agreements.

In terms of financial matters, Hewitsons' Banking Group provided advice in connection with the terms of a Revolving Facility Agreement with Barclays Bank plc.

Clare concludes: "We very much enjoy working with UCST and ULT, bringing our charity and education sector expertise together with our wide range of commercial teams to provide a complete service for them. UCST and ULT are successful and rapidly expanding charities, leading the sector in the provision of first class education for children in a way which is financially sustainable and of very great public benefit."