Market monitor

Barristers’ bid to persuade consumers to come direct to them for legal advice has stepped up with a new direct access service claiming that more than half of Britons think solicitors overcharge. Absolute Barrister claims to be able to halve the cost of some legal matters.

The financial difficulties facing many law firms offers a real opportunity for growth, AIM-listed alternative business structure (ABS) Abbey Protection has claimed. It announced a 7% rise in turnover in 2012 to £38.7m and 3% increase in profits to £10.3m.

A sole practitioner has launched a business offering a range of unbundled legal services at fixed fees, including consultations via Skype for people who need help conducting their own cases. iSolictor UK offers a web ‘shop’ with a menu of fixed-fee services, run by a team of freelance lawyers.

A company that provides both claims management services and legal expenses insurance has joined forces with a law firm in an alternative business structure that needed a waiver to allow a 27-year-old solicitor to be its head of legal practice. It was one of two newly licensed CMCs.

Two niche law firms have outlined their hopes for expansion after receiving their alternative business structure licences from the Solicitors Regulation Authority. One specialises in family law – and owns the divorcesolicitor.com domain – and the other operates in health care.

The trend towards ‘unbundling’ legal services is gathering pace, with a Yorkshire law firm launching a ‘Pay as You Go’ service for family law clients who will no longer be eligible for legal aid after 1 April.

The biggest brand name to enter legal services and one of the country’s first alternative business structures, Co-operative Legal Services, has announced strong revenue growth for 2012. It would place CLS at 76th in The Lawyer magazine’s table of the top 100 law firms by turnover.

A lawyer-backed service that assists divorcing couples during mediation, charging fixed fees to halve the cost for clients, is being billed as a possible lifeline for family legal aid lawyers after 1 April. It came as the Law Society president urged solicitors to explore ‘unbundling’ legal services.

A virtual firm that is looking to share profits with its consultants and a leading personal injury practice have become the latest alternative business structures. Scott Moncrieff & Associates, known as Scomo, was founded by Law Society president Lucy Scott-Moncrieff.

Law firm networking brand HighStreetLawyer.com will look to become an alternative business structure in the future to finance ambitious growth plans. Managing director Gary Yantin said the focus for the next 12 months is to grow its number of member firms.

Nearly a fifth of the north-west’s specialist personal injury law firms are considering shutting up shop due to the financial impact of the government’s civil costs reforms, with many predicting huge cuts in their profitability as a result of the new RTA portal fees, new research has revealed.

Two Manchester solicitors have set up an alternative business structure (ABS) with the backing of a private investor to provide commercial services on fixed fees and retainers. Other new licencees include QualitySolicitors Talbots and midlands law firm Wright Hassall.

The number of in-house lawyers has not been affected by the economic crisis and alternative business structures (ABSs) offer general counsel an opportunity to expand their services, according to the Law Society.

Legal aid cuts, the Jackson reforms and the introduction of competitive tendering for criminal law work will split the Bar into a two-tier profession, with mid-sized generalist chambers set to suffer, a specialist Bar consultant has predicted.

Legal expenses insurer DAS has finally secured the law firm acquisition that will kickstart its bid to become one of the UK’s top legal services providers. DAS, which is owned by German insurance giant Munich Re, has bought Bristol law firm CW Law.