Market monitor

Will writers have become the first practitioners to sign up to a new register of paralegals, which is set to be launched next month as part of an effort to set standards for the non-authorised legal professionals.

Slater & Gordon’s shares collapsed by 25% today after it confirmed that its audit process was under scrutiny by the Australian Securities and Investments Commission (ASIC) and that it had made errors in the accounts for its UK arm.

Slater & Gordon has fought back hard against continuing questions about its £637m acquisition of Quindell’s professional services division – which have hit its share price – revealing it expects PSD to handle 95,000 road traffic cases next year. It said there have been “no material negative surprises” since formally taking over last month.

The barrister acting for shareholders suing RBS and Tesco has been appointed as lead counsel for the potential group action being brought against Quindell. Your Legal Friend – the consumer brand of Liverpool firm Camps – has already registered more than 500 shareholders interested in joining the action

Clerksroom Direct, the online service matching direct access barristers to members of the public, has had 170 approaches so far this month, with half converting to paid work at higher average rates than expected, it has emerged.

The Financial Conduct Authority (FCA) has launched an investigation into public statements made by Quindell about its accounts during 2013 and 2014, it was announced this morning. Separately Quindell has requested a temporary suspension of its shares, while also starting a review of “a number of the company’s historic transactions and acquisitions”.

An alternative business structure (ABS) set up by well-known legal expenses insurer ULR Additions has been closed down as part of a shift in business strategy by its new owners. Our round-up of ABS news also reports on expansion at Knights, a strategic move by Ascent and new partnership for Co-op Legal Services.

A team of legal executives who were once a debt recovery arm of Eversheds, has launched an alternative business structure to bring litigation in-house under the supervision of its FILEx head of legal practice.

Consumers are being misled by dubious practices in online reviews and endorsements, while more than half of buyers of services are swayed by them, according to an investigation by the Competition and Markets Authority.

The new legal business set up by the founder of Compass Costs – who became head of Quindell Legal Services after it bought Compass – is set to buy two law firms as it expands rapidly as part of a strategy to “take the greed out of the market” by going head to head with claims management companies and other work providers.

The second alternative business structure to be set up by a US firm in the UK is considering a merger with a firm of forensic accountants, Legal Futures can reveal. Foran Glennon (UK) specialises in insurance work.

Partners in newly listed law firm Gateley will be able to sell 10% of their shares each year from next June as part of their five-year lock-in, it has emerged. The admission document that Gateley published as trading began in its shares this week revealed a plethora of detail about its operation.

The price of shares in Gateley rose in early trading today as it broke historic new ground as the first UK law firm to list on the stock exchange. The AIM-listed business, which listed at 95p, saw its shares reach 110p initially before easing back to 99p by close of trading.

A registered charity has become a fully-fledged law firm in what is believed to be the first transformation of its kind, after it received approval from the Solicitors Regulation Authority.

The top five conveyancing firms handled 36% fewer transactions in the first quarter of this year, a report has found, and their market share dropped from 8% to 6%. On average, firms handled 14% fewer transactions and the number of firms also fell.