As the senior partner of a cross-border UK law firm, I am generally in favour of many of Sir David Clementi’s proposed legal reforms, the measures outlined in the current Legal Services Bill and, in particular, the one specific area where I feel a change would be most significant – the enticing prospect of alternative business structures (ABSs) and the injection of external investment into the UK’s law firms. I am sure the prospect is tantalising for many of the larger firms in the UK although, naturally, change would not suit every legal practice.
The Office of Fair Trading’s (OFT’s) report of 31 July this year, has recommended sweeping changes in the way the legal profession is structured, including the use of ABSs. The Scottish Executive has committed to a response within three months and early indications are that it will accept the report’s recommendations to provide increased choice for consumers and level the playing field with the English profession.
