The Solicitors Regulation Authority (SRA) has begun an evaluation of financial data gathered from 2,000 law firms after warning earlier this summer that an increasing number of the UK’s 11,000 law firms face financial collapse due to a ‘toxic combination of factors causing a perfect storm’. Elsewhere, the latest report from KPMG reveals the total bill for winding down Cobbetts currently stands at nearly £1.7m.
Dysfunctional, inefficient and expensive: City Law Society responds to MoJ consultation on regulation
The City of London Law Society (CLLS) has responded to the Ministry of Justice’s (MoJ) call for evidence over concerns around the complexity of the legal services regulatory landscape with claims that it is dysfunctional and will need to be overhauled. The MoJ led by justice minister Helen Grant kick-started the wholesale review in June this year, in a bid to reduce the regulatory burden on the profession.
In its response yesterday (9 September), the CLLS, which represents approximately 15,000 City lawyers, claimed that the current regulatory framework is ‘not ideal’, fails to regulate all sectors of the solicitors’ profession in an appropriate manner, is unnecessarily complex and expensive and that ‘the total cost of regulation is close to getting out of control.’ Continue reading “Dysfunctional, inefficient and expensive: City Law Society responds to MoJ consultation on regulation”
Guest post: A fight to the death- can the Law Society and its regulatory arm continue as now?
‘My terms of reference include a requirement to propose a framework that promotes the public and consumer interest, promotes competition, promotes innovation and is transparent,’ wrote Sir David Clementi in 2004. ‘I do not believe that the current combination of regulatory and representative powers, in particular within the Law Society and the Bar Council, permit a framework that gets close to meeting this requirement…A key recommendation of this review is that the regulatory and representative functions of front-line regulatory bodies should be clearly split.’ Continue reading “Guest post: A fight to the death- can the Law Society and its regulatory arm continue as now?”
After Travers defeat, Linklaters faces discrimination claim by former paralegal
Linklaters is being sued by a former paralegal for unfair dismissal and discrimination just weeks after top 50 law firm Travers Smith was found to have discriminated against a former trainee because she had fallen pregnant.
The case against Linklaters started today (10 June) in the London Central Employment Tribunal and the hearing is scheduled to run for six days. Continue reading “After Travers defeat, Linklaters faces discrimination claim by former paralegal”
We’ve implemented the Legal Services Act – how about another review of legal regulation?
One man’s slashing red tape is another’s endless tinkering. Either way, the much-meddled field of legal regulation may face more intervention with news this week that the Ministry of Justice (MoJ) is to conduct a wholesale review of the profession’s regulatory landscape, little more than a year after the Legal Services Act (LSA) came into full force. Continue reading “We’ve implemented the Legal Services Act – how about another review of legal regulation?”
‘The pace has been relentless’ – the man who led the SRA through its birth has had enough
Antony Townsend, the man who led the Solicitors Regulation Authority (SRA) through its controversy-strewn separation from the Law Society, has today (2 May) confirmed that he is to leave the body.
Chief executive Townsend announced that he is stepping down later this year once a successor has been appointed. He commented: ‘I have headed up the SRA from its inception. The pace of change has been relentless; the challenges have been formidable.
Boring until it isn’t – sharper risk teams deliver commercial edge
It wasn’t so long ago that law firm risk teams fought an endless, fruitless battle to get partners and senior management to pay much attention. Traditionally, compliance has been anathema to senior lawyers, who see the box-ticking hordes from their risk teams as an expensive encumbrance to client work. Well, it is pretty boring… until, of course, it isn’t.
Continue reading “Boring until it isn’t – sharper risk teams deliver commercial edge”
Insurance giants move into legal services market
Three insurance companies announced significant moves into the legal services market in April after sealing alternative business structure (ABS) joint ventures with law firms.
The Solicitors Regulation Authority (SRA) granted Admiral, Ageas and RAC ABS licences to extend their services beyond insurance to provide legal services for customers making no-fault personal injury claims.
Continue reading “Insurance giants move into legal services market”
Insurance giants move into legal services market
Three insurance companies announced significant moves into the legal services market in April after sealing alternative business structure (ABS) joint ventures with law firms.
The Solicitors Regulation Authority (SRA) granted Admiral, Ageas and RAC ABS licences to extend their services beyond insurance to provide legal services for customers making no-fault personal injury claims.
Continue reading “Insurance giants move into legal services market”
Places up for grabs on FSA investigation panel
City law firms unimpeded by banking relationships will be seeking a place on a new Financial Services Authority (FSA) panel of external advisers to carry out investigations into financial institutions. The panel, which will be announced in spring next year, will comprise firms that will compile reports under section 166 of the Financial Services and Markets Act (FSMA), also known as ‘skilled person’ reports, as part of the FSA’s drive towards a risk-based regulatory approach.
The FSA put out a tender questionnaire in October as part of its process to appoint the panel. The FSA will use firms on the panel when a financial services institution finds itself in trouble, using the reports to decide whether to fine or impose other sanctions.
Continue reading “Places up for grabs on FSA investigation panel”