In the particular circumstances of this complaint, the simple answer is ‘No, it’s not true’. Under our rules, we cannot consider complaints referred to us more than six months after the firm sent its final response, advising the complainant of the right to refer the complaint to us. But the rules also say that we can consider complaints outside these time limits when, in our view, the failure to comply with the time limits resulted from exceptional circumstances, or where the firm has not objected to our dealing with the complaint.

The rules give examples of such exceptional circumstances and include cases where the firm’s final response letter did not tell complainants that they may refer their complaint to us, or did not say that they must do so within six months.

In your client’s case, it would seem that the firm is trying to rely on the fact that it sent him a copy of our leaflet (which mentions the six-month time limit) in order to ‘time bar’ this case. We do not consider that sending a copy of the leaflet is sufficient to alert complainants to the limit, and we will generally accept cases for consideration where a firm has failed to mention the six-month limit in the text of its final response. Firms wishing to familiarise themselves with the FSA’s rules on what information a final response should contain should refer to the glossary of definitions in the FSA handbook of rules and guidance.

This is the ‘two free cases’ arrangement that we introduced at the beginning of the 2004/05 financial year. The arrangement has been broadly welcomed and it appears to be working well. In our recently-issued plan & budget for the 2005/6 financial year we have said that we propose to continue with the arrangement, allowing authorised firms two free cases in 2005/06.