Legal Services Board

The Bar Council is once again not compliant with the rules on ensuring the independence of its regulatory arm, the Legal Services Board has decided – while the Law Society’s compliance remains unresolved. But the Bar Council has been given one more year to get its house in order.

City firms’ concerns over the international rejection of alternative business structures can be overcome quite easily, a Legal Services Board study has concluded – but they are not interested in ABSs anyway, confirming the findings of a host of other surveys and reports.

The Insolvency Service last week presented petitions to wind up three will-writing businesses. The news comes as the Legal Services Board issues a call for evidence on whether to make will-writing, the entire probate process and estate administration reserved legal activities.

Would-be alternative business structures unhappy with decisions taken by the Solicitors Regulation Authority will be able to appeal to the Solicitors Disciplinary Tribunal, it has been decided, in a significant step towards the introduction of ABSs.

Mid-tier City law firms may have the greatest incentive to go to the public markets to fund their merger and acquisition activities, the Legal Services Board has suggested. But there is a risk of an “investment bubble” where external investment in alternative business structures proves only temporary for short-term gain.

The Council for Licensed Conveyancers (CLC) has hit back at opposition from the Lord Chief Justice and the Law Society to its application to grant rights to conduct advocacy and litigation. The Legal Services Board is currently considering the CLC’s application, and as one of its statutory consultees, the Lord Chief Justice Lord Judge has expressed his total opposition.

The Legal Ombudsman is stepping up pressure on the Legal Services Board to sort out the current regulatory regime by commissioning research that will look at consumer confusion caused by reserved and unreserved legal activities and how it could be exacerbated by alternative business structures.

The regulation of both residential conveyancing and corporate law, as well as general legal advice, is set to be reviewed by the Legal Services Board as it begins a major investigation into the boundaries of regulation and also looks at whether Parliament needs to undertake a “root and branch overhaul of the current system”.

Law firms and chambers whose workforces are significantly at odds with the make-up of the wider profession can expect questions from their regulators, the Legal Services Board (LSB) has warned. The LSB today confirmed that it is pressing ahead with controversial plans to make firms and chambers survey and publish the levels of diversity and social mobility in their workforces.

There is a strong consumer protection justification for making the whole conveyancing process a reserved legal activity, Professor Stephen Mayson has argued in the final version of his influential report on the case for reservation. He said the “guarantee” of title registration is incomplete.

The Legal Services Board looks set to force legal practices to gather and publish equality and diversity data, despite concern that the policy could provoke non-compliance and create a false view of the profession because of relcutance to disclose sensitive information such as sexual orientation or religious belief.

The Institute of Legal Executives is the first approved regulator to receive a clean bill of health for its internal governance arrangements for 2011. The Legal Services Board is currently reviewing the regulatory independence certificates submitted by each approved regulator where there is also a linked representative body. There is no news yet on either the Law Society or Bar Council’s certificates.

The Legal Services Board (LSB), Law Society and Bar Council have thrown their weight behind a best practice code aimed at stamping out bias in granting internships and improving social mobility for disadvantaged students. Meanwhile, LSB chairman David Edmonds has criticised the idea of restricting access to training to deal with the oversupply of bar students.

The Society of Will Writers has become the second trade body to announce its bid to regulate the profession if required. After the Legal Services Consumer Panel said will-writing should be regulated, the society said a system could be introduced “very quickly and cheaply with the profession bearing the bulk of the cost”.

The Institute of Professional Willwriters (IPW) will apply to become a regulator of will-writing services should the Legal Services Board decide to make it a reserved activity, it has confirmed. It called on the board and the government “to take prompt action to implement the recommendations” of today’s consumer panel report.