• CIPR Part 3.8 CIPR Part 3.8 Handling complaints and related matters

    • CIPR 3.8.1 Who can make a complaint?

      (1) In these rules:

      complaint means an expression of grievance or dissatisfaction, by a customer (other than an eligible counterparty), or one of the other persons mentioned in subrule (2), either orally or in a durable medium, in connection with an authorised firm's provision (or offer of the provision) of a product or service, if the provision of the product or service was or would be a regulated activity.
      (2) The other persons who may make a complaint to an authorised firm are the following:
      (a) an individual who is or was a beneficiary under a group policy issued by the firm;
      (b) an individual who is a surviving dependent of a deceased retail customer of the firm;
      (c) a legal personal representative of a deceased retail customer of the firm;
      (d) a widow or widower of a deceased retail customer of the firm;
      (e) an individual who is entitled to benefit from an insurance contract issued to a retail customer of the firm.
      Derived from QFCRA RM/2019-2 (as from 1st January 2020).

    • CIPR 3.8.2 Firms' internal complaints-handling procedures

      (1) An authorised firm must establish and operate appropriate and effective internal procedures, recorded in a durable medium, for handling complaints, to ensure that complaints, however made, in relation to its conduct of regulated activities are dealt with fairly, efficiently, and with due diligence and consideration.
      (2) The procedures must provide for all of the following:
      (a) receiving complaints;
      (b) responding to complaints;
      (c) meeting any applicable service standards in relation to complaints received (see rule 3.8.5);
      (d) referring complaints to other authorised firms;
      (e) the appropriate investigation of each complaint by a person of sufficient competence who was not directly involved in the act or omission that the complaint was about;
      (f) that responses to a complaint adequately address the subject-matter of the complaint and, if the complaint is upheld, offer appropriate redress;
      (g) the person responsible for responding to a complaint either being authorised to settle the complaint (including offering redress, if appropriate) or having access to someone who has the necessary authority;
      (h) identifying complainants who would be eligible, if dissatisfied with the firm's decision, to apply under the customer dispute resolution scheme, and informing them in a durable medium about their right to do so.
      (3) An authorised firm:
      (a) must publish details of its internal complaint-handling procedures;
      (b) must give a copy of the published details to any customer who asks for it;
      (c) must give a copy of the published details automatically to a complainant when it receives a complaint (unless the complaint is resolved by close of business on the next business day); and
      (d) must display, in each of its sales offices to which customers have access, a notice indicating that the firm is covered by the customer dispute resolution scheme.
      Derived from QFCRA RM/2019-2 (as from 1st January 2020).

    • CIPR 3.8.3 Customer redress

      (1) This rule applies if:
      (a) an authorised firm receives a complaint; and
      (b) having considered the complaint, the firm decides that redress is appropriate.
      (2) The firm:
      (a) must provide the complainant with fair compensation (financial or otherwise) for any acts or omissions for which the firm was responsible; and
      (b) must give effect to any offer of redress that the complainant accepts.
      Derived from QFCRA RM/2019-2 (as from 1st January 2020).

    • CIPR 3.8.4 Referring complaints to other firms

      (1) If an authorised firm (the receiving firm) is satisfied on reasonable grounds that another authorised firm may be solely, jointly or partly responsible for the act or omission alleged in a complaint, it may refer all or part of the complaint to the other firm.
      (2) However, the receiving firm:
      (a) must make any referral to the other firm promptly, but no later than 5 business days after the day on which it became satisfied that the other firm may be solely, jointly or partly responsible for the act or omission;
      (b) must make the referral in a durable medium; and
      (c) must inform the complainant in a durable medium about the referral and the other firm's contact details.
      (3) Unless the receiving firm is satisfied that the other firm may be solely responsible for the act or omission, the receiving firm must continue to comply with these rules in relation to the complaint.
      (4) If an authorised firm receives a complaint that was referred to it by the receiving firm under subrule (1), the complaint is taken, for these rules:
      (a) to have been made directly to the firm by the complainant; and
      (b) to have been received by it when it received the referral.
      Derived from QFCRA RM/2019-2 (as from 1st January 2020).

    • CIPR 3.8.5 Service standards

      (1) This rule applies if a complaint has not been resolved by close of business on the next business day after the day on which it is received.
      (2) If the firm has referred part of the complaint to another authorised firm, the firm must comply with this rule in relation to the part of the complaint that was not referred.
      (3) Within 5 business days after the day on which the complaint is received, the authorised firm concerned must give the complainant an acknowledgement in a durable medium. The acknowledgement:
      (a) must give the name and job title of the individual who is handling the complaint for the firm; and
      (b) must give details of the firm's internal complaint-handling procedures.
      (4) The acknowledgement may be combined with a final response if the firm can provide the response within 5 business days after the day the complaint is received.
      (5) A final response:
      (a) must be in a durable medium;
      (b) must do 1 of the following:
      (i) accept the complaint and, if appropriate, offer redress;
      (ii) offer redress without accepting the complaint;
      (iii) reject the complaint and give reasons for rejecting it; and
      (c) if the complainant is eligible to apply under the customer dispute resolution scheme:
      (i) must inform the complainant that, if the complainant is dissatisfied with the response, the complainant may apply under that scheme, but must do so within 4 calendar months after receiving the response; and
      (ii) must give the contact details for the scheme.
      (6) If the firm has not given the complainant a final response at the end of 4 weeks after the day on which the complaint is received, the firm must give the complainant a response, in a durable medium, explaining why it has not been able to resolve the complaint and indicating when it will contact the complainant again about the complaint.
      (7) If the firm has not given the complainant a final response at the end of 8 weeks after the day on which the complaint is received, the firm must give the complainant a response, in a durable medium, that:
      (a) explains that the firm has not been able to give a final response, gives reasons for the further delay and indicates when the firm expects to give a final response; and
      (b) if the complainant is eligible to apply under the customer dispute resolution scheme, informs the complainant that the complainant may apply under that scheme if dissatisfied with the delay.
      (8) For this rule, if the firm received the complaint on a day that is not a business day, or on a business day after close of business, the complaint is taken to have been received by the firm on the next business day.
      Derived from QFCRA RM/2019-2 (as from 1st January 2020).
      Amended by QFCRA RM/2020-1 (as from 15th August 2020)

    • CIPR 3.8.6 Analysis of complaints for systemic weaknesses

      (1) An authorised firm must regularly (at least annually) undertake an appropriate analysis of the patterns of complaints, including investigating whether the complaints indicate an isolated issue or a more widespread issue for customers.
      (2) The results of the analysis must be submitted to the firm's compliance officer, the firm's risk management officer (if any) and to the firm's senior management.
      (3) An authorised firm must analyse complaints that it receives against intermediaries (whether in the QFC or in another jurisdiction) in relation to products that the intermediaries have distributed on the firm's behalf, to enable the firm to assess the complete customer experience and identify any issues that need to be addressed.
      Derived from QFCRA RM/2019-2 (as from 1st January 2020).

    • CIPR 3.8.7 Quarterly reporting about complaints

      An authorised firm must make a quarterly report to the Regulatory Authority about complaints. The report must be in the format directed by the Regulatory Authority by notice from time to time.

      Derived from QFCRA RM/2019-2 (as from 1st January 2020).

    • CIPR 3.8.8 Restitution orders for contravention of relevant requirements

      (1) A person who is entitled to make a complaint to an authorised firm under rule 3.8.1 may apply to the Civil and Commercial Court of the QFC for a restitution order if the person has suffered loss or damage as a result of a contravention by the firm of a relevant requirement in relation to a regulated activity.
      (2) In this rule:

      contravention of a relevant requirement has the meaning given by FSR, articles 84 and 85.
      Derived from QFCRA RM/2019-2 (as from 1st January 2020).