Practice Management

Widespread data snooping by the US National Security Agency, as revealed by whistle-blower Edward Snowden, could threaten the security of cloud computing for law firms acting in confidential merger negotiations, the Solicitors Regulation Authority has warned.

The Solicitors Regulation Authority does not know the insurance position of at least 50 law firms, but there may be even more out there uninsured, it admitted yesterday. Those yet to inform the regulator that they do not yet have insurance face enforcement action, it warned.

The growing mismatch between the opportunities to study law and the number of legal jobs makes it “very hard” to encourage young people to seek a legal career, the deputy president of the Supreme Court has warned.

Some 153 law firms today entered the last-chance saloon after failing to secure professional indemnity insurance (PII) during the last 30 days. Under the new PII arrangements, they are now in the second stage 60-day ‘cessation period’.

The possibility of clients buying ‘top-up’ cover to fill the gaps in compulsory professional indemnity insurance has been floated by the Legal Services Board as it set the scene for a significant shake-up of current financial protection arrangements.

A University of Exeter project is teaching first year law undergraduates about alternative business structures, in what the academic tutor says is meeting outcomes recommended by the Legal Education and Training Review.

The number of law firms that failed to find professional indemnity insurance by 1 October has continued to climb, Legal Futures can report. It has also emerged that law firms are responding slowly to the next deadline facing them – practising certificate renewal by 31 October.

The ex-City lawyer chairman of the Solicitors Regulation Authority has questioned the recruitment methods of City law firms in making university students decide to become commercial lawyers so early on in their legal careers.

Legal regulators should in future rate the risk that firms present to the public on the basis of the diversity of their workforce, and focus supervision on those with the worst records, according to a report.

The Solicitors Regulation Authority has begun a review of the role of compliance officers for finance and administration, less than a year since they took up their posts. Meanwhile, it has expressed concern about the lack of self-reporting by firms.

Would-be solicitors may be able to design their own routes to qualification – which need not involve a degree, legal practice course or training contract – under a blueprint for radical reform of education and training published today by the Solicitors Regulation Authority.

The vast majority of personal injury law firms appear to have renewed their indemnity insurance on acceptable terms despite the instability in the sector, according to a survey of nearly 500 law firms conducted last week.

Harris Cartier – a 26-lawyer niche litigation and corporate practice with offices in London and Slough – has become the first firm to be placed into administration following the failure to arrange professional indemnity insurance for 1 October.

Alternative business structure NewLaw Solicitors is to grow by 25% after receiving finance from the Welsh government to help it expand. The firm is to recruit 86 people in its Cardiff headquarters.

The Bar Standards Board has become the first frontline regulator to map out how it will take forward the Legal Education & Training Review (LETR). Earlier this week the BSB and Solicitors Regulation Authority were criticised for not collaborating on taking forward the LETR.