Legal Services Act 2007 (c. 29)

(The document as of February, 2008)

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(3) An order under this section may make provision amending, repealing or revoking (with or without savings) any provision of--

(a) an Act passed before or in the same session as this Act, or

(b) an instrument made under an Act before the passing of this Act.

(4) An order under this section may make such adaptations of provisions of this Act brought into force as appear to be necessary or expedient in consequence of other provisions of this Act not yet having come into force.

(5) Provision made under this section is additional, and without prejudice, to that made by or under any other provision of this Act.

209 Transitional and transitory provision

Schedule 22 contains transitional and transitory provision.

210 Repeals

Schedule 23 contains repeals (including repeals of spent provisions).

211 Commencement

(1) This section and sections 208(2) to (5), 212 and 214 come into force on the day this Act is passed.

(2) Subject to that, the provisions of this Act come into force on such day as may be appointed by order of the Lord Chancellor.

212 Extent

(1) Subject to subsections (2) and (3), this Act extends to England and Wales only.

(2) Sections 195 and 196(1) and Schedule 20 extend to Scotland only (and, for the purposes of those provisions, this Part also extends there).

(3) An amendment or repeal contained in this Act (and, for the purposes of such an amendment or repeal, this Part) has the same extent as the enactment or relevant part of the enactment to which the amendment or repeal relates.

213 Index of defined expressions

Schedule 24 lists the places where expressions used in this Act are defined or otherwise explained.

214 Short title

This Act may be cited as the Legal Services Act 2007.

SCHEDULES

Section 2

SCHEDULE 1 The Legal Services Board

Membership

1 (1) The Board is to consist of the following members--

(a) a chairman appointed by the Lord Chancellor,

(b) the Chief Executive of the Board (see paragraph 13), and

(2) In this Schedule a reference to an "ordinary member" is a reference to a member of the Board other than the Chief Executive.

(3) Before appointing an ordinary member, the Lord Chancellor must consult the Lord Chief Justice about the process for appointment of the member and about the person selected for appointment.

(4) The Lord Chancellor may by order amend sub-paragraph (1) by substituting for the limit on the maximum number of persons for the time being specified in paragraph (c) of that sub-paragraph a different limit.

2 (1) In appointing persons as ordinary members the Lord Chancellor must ensure that a majority of the members of the Board are lay persons.

(2) The chairman must be a lay person.

(3) It is a condition of the appointment of the chairman that the person appointed must not during the appointment--

(a) carry on any activity which is a reserved legal activity,

(b) provide regulated claims management services (within the meaning of Part 2 of the Compensation Act 2006 (c. 29)), or

for or in expectation of any fee, gain or reward.

(4) In this Schedule a reference to a "lay person" is a reference to a person who has never been--

(a) an authorised person in relation to an activity which is a reserved legal activity;

(b) a person authorised, by a person designated under section 5(1) of the Compensation Act 2006, to provide services which are regulated claims management services (within the meaning of that Act);

(d) a solicitor in Scotland;

(e) a member of the Bar of Northern Ireland;

(f) a solicitor of the Court of Judicature of Northern Ireland.

(5) For the purposes of sub-paragraph (4), a person is deemed to have been an authorised person in relation to an activity which is a reserved legal activity if that person has before the appointed day been--

(a) a barrister;

(b) a solicitor;

(d) a licensed conveyancer;

(e) granted a certificate issued by the Institute of Legal Executives authorising the person to practise as a legal executive;

(f) a registered patent attorney, within the meaning given by section 275(1) of the Copyright, Designs and Patents Act 1988 (c. 48);

(g) a registered trade mark attorney, within the meaning of the Trade Marks Act 1994 (c. 26); or

(h) granted a right of audience or a right to conduct litigation in relation to any proceedings by virtue of section 27(2)(a) or section 28(2)(a) of the Courts and Legal Services Act 1990 (c. 41) (rights of audience and rights to conduct litigation).

(6) For the purpose of sub-paragraph (5)--

"appointed day" means the day appointed for the coming into force of section 13;
"licensed conveyancer" has the meaning given by section 11(2) of the Administration of Justice Act 1985 (c. 61).

3 In appointing persons to be ordinary members, the Lord Chancellor must have regard to the desirability of securing that the Board includes members who (between them) have experience in or knowledge of--

(a) the provision of legal services;

(b) legal education and legal training;

(d) civil or criminal proceedings and the working of the courts;

(e) competition matters;

(f) the maintenance of the professional standards of persons who provide legal services;

(g) the maintenance of standards in professions other than the legal profession;

(h) the handling of complaints;

(i) commercial affairs;

(j) non-commercial legal services;

(k) the differing needs of consumers;

(l) the provision of claims management services (within the meaning of Part 2 of the Compensation Act 2006 (c. 29)).

Terms of appointment and tenure of members

4 An ordinary member is to hold and vacate office in accordance with the terms and conditions of that member's appointment (subject to this Schedule).

5 (1) An ordinary member must be appointed for a fixed period.

(2) The period for which an ordinary member is appointed must not exceed 5 years.

(3) A person who has held office as an ordinary member may be re-appointed, once only, for a further period (whether consecutive or not) not exceeding 5 years.

6 If an ordinary member who is a lay person becomes a person within paragraphs (a) to (f) of paragraph 2(4) that person ceases to be a member of the Board.

7 (1) An ordinary member may at any time--

(a) resign from office by giving notice to the Lord Chancellor;

(b) be removed from office by the Lord Chancellor.

(2) The Lord Chancellor may not under sub-paragraph (1)(b) remove an ordinary member from office unless sub-paragraph (3) or (4) applies.

(3) This sub-paragraph applies if the Lord Chancellor is satisfied that the member--

(a) has failed without reasonable excuse to discharge the functions of the office for a continuous period of at least 6 months,

(b) has been convicted of an offence,

(d) is otherwise unfit to hold the office or unable to discharge its functions.

(4) This sub-paragraph applies if the member is the chairman and has breached the condition imposed on his appointment by paragraph 2(3).

(5) Before removing any ordinary member under sub-paragraph (1)(b), the Lord Chancellor must consult--

(a) the Lord Chief Justice, and

(b) if the ordinary member is not the chairman, the chairman.

(6) The Lord Chancellor may not remove an ordinary member on the ground mentioned in paragraph (a) of sub-paragraph (3) more than 3 months after the end of the period mentioned in that paragraph.

8 The chairman ceases to be chairman upon ceasing to be a member of the Board.

9 Where a person ceases to be employed as Chief Executive, that person ceases to be a member of the Board.

Remuneration etc of members

10 The chairman and other ordinary members are to be paid by the Board in accordance with provision made by or under their terms of appointment.

11 The terms of appointment of the chairman or any other ordinary member may provide for the Board to pay, or make payments towards the provision of, a pension, allowance or gratuity to or in respect of that person.

12 If the Lord Chancellor thinks there are circumstances that make it right for a person ceasing to hold office as chairman or another ordinary member to receive compensation, the Board may pay that person such compensation as the Lord Chancellor may determine.

Staff

13 The Board must appoint a person as its Chief Executive.

14 The Board may appoint such other staff as it considers appropriate to assist in the performance of its functions.

15 The Chief Executive and other staff are to be--

(a) appointed on terms and conditions determined by the Board, and

(b) paid by the Board in accordance with provision made by or under the terms of appointment.

16 The terms and conditions on which the Chief Executive or any other member of staff is appointed may provide for the Board to pay, or make payments towards the provision of, a pension, allowance or gratuity to or in respect of that person.

17 The Board may pay compensation for loss of employment to or in respect of a member (or former member) of staff.

18 A member of staff appointed under paragraph 14 may be a member (but not chairman) of the Board.

Arrangements for assistance

19 (1) The Board may make arrangements with such persons as it considers appropriate for assistance to be provided to it.

(2) Arrangements may include the paying of fees to such persons.

Committees

20 (1) The Board may establish committees.

(2) Any committee so established may establish sub-committees.

(3) Only members of the Board may be members of a committee or sub-committee.

(4) A majority of the members of a committee or sub-committee must be lay persons.

Proceedings

21 (1) The Board may regulate its own procedure, and the procedure of its committees and sub-committees, including quorum.

(2) But the quorum of a committee or sub-committee must not be less than 3.

(3) The Board must publish any rules of procedure made under this paragraph.

(4) This paragraph is without prejudice to any other power the Board has under this Act to make rules.

22 The validity of any act of the Board is not affected--

(a) by a vacancy in the office of chairman or amongst the other members, or

(b) by a defect in the appointment or any disqualification of a person as chairman or another member of the Board.

Delegation of functions

23 (1) The Board may authorise--

(a) the chairman, the Chief Executive or any other member of the Board,

(b) a committee or sub-committee of the Board, or

to exercise, on behalf of the Board, such of its functions, in such circumstances, as it may determine.

(2) A committee may delegate functions (including functions delegated to the committee) to--

(a) a sub-committee,

(b) the chairman, the Chief Executive or any other member of the Board, or

(3) Sub-paragraphs (1) and (2) are subject to--

(a) any provision made by an order under section 62 by virtue of section 64(2)(k) (powers to authorise the Board to delegate to any person functions conferred on it in its capacity as an approved regulator), and

(b) section 73(3)(a) (power to delegate to any person functions conferred on the Board in its capacity as a licensing authority).

(4) Sub-paragraph (1) does not apply to any power or duty the Board has to make rules (other than excluded rules) under this Act.

(5) In sub-paragraph (4) "excluded rules" means--

(a) rules of procedure made under paragraph 21 in relation to any committee or sub-committee of the Board, and

(b) rules made by the Board in its capacity as an approved regulator or a licensing authority.

Borrowing

24 The Board is not to borrow money, except--

(a) with the consent of the Lord Chancellor, or

(b) in accordance with a general authorisation given by the Lord Chancellor.

Accounts

25 (1) The Board must--

(a) keep proper accounts and proper records in relation to the accounts, and

(b) prepare in respect of each financial year a statement of accounts.

(2) Each statement of accounts must comply with any directions given by the Lord Chancellor, with the approval of the Treasury, as to--

(a) the information to be contained in it and the manner in which it is to be presented;

(b) the methods and principles according to which the statement is to be prepared;

(3) The Board must give a copy of each statement of accounts--

(a) to the Lord Chancellor, and

(b) to the Comptroller and Auditor General,

before the end of the month of August next following the financial year to which the statement relates.

(4) The Comptroller and Auditor General must--

(a) examine, certify and report on each statement of accounts which is received under sub-paragraph (3), and

(b) give a copy of the Comptroller and Auditor General's report to the Lord Chancellor.

(5) In respect of each financial year, the Lord Chancellor must lay before Parliament a document consisting of--

(a) a copy of the statement of accounts for that year, and

(b) a copy of the Comptroller and Auditor General's report on that statement.

(6) "Financial year" means--

(a) the period beginning with the day on which the Board is established and ending with the next following 31 March, and

(b) each successive period of 12 months.

Status

26 (1) The Board is not to be regarded--

(a) as the servant or agent of the Crown, or

(b) as enjoying any status, immunity or privilege of the Crown.

(2) Accordingly--

(a) the Board's property is not to be regarded as property of or held on behalf of the Crown, and

(b) the Board's staff are not to be regarded as servants or agents of the Crown or as enjoying any status, immunity or privilege of the Crown.

Application of seal and proof of instruments

27 The application of the seal of the Board is to be authenticated by the signature of any member of the Board, or of its staff, who has been authorised (whether generally or specifically) by the Board for the purpose.

28 Any contract or instrument which, if entered into or executed by an individual, would not need to be under seal may be entered into or executed on behalf of the Board by any person who has been authorised (whether generally or specifically) by the Board for the purpose.

29 A document purporting to be duly executed under the seal of the Board or signed on its behalf--

(a) is to be received in evidence, and

(b) is to be taken to be executed or signed in that way, unless the contrary is proved.

Disqualification

30 (1) In Part 2 of Schedule 1 to the House of Commons Disqualification Act 1975 (c. 24) (bodies of which all members are disqualified) at the appropriate place insert--

" The Legal Services Board. "

(2) In Part 2 of Schedule 1 to the Northern Ireland Assembly Disqualification Act 1975 (c. 25) (bodies of which all members are disqualified) at the appropriate place insert--

" The Legal Services Board. "

Freedom of information

31 In Part 6 of Schedule 1 to the Freedom of Information Act 2000 (c. 36) (other public bodies and offices which are public authorities) at the appropriate place insert--

" The Legal Services Board. "

Public records

32 In Schedule 1 to the Public Records Act 1958 (c. 51) (definition of public records) at the appropriate place in Part 2 of the Table at the end of paragraph 3 insert--

" The Legal Services Board. "

Exemption from liability in damages

33 (1) This paragraph applies to--

(a) the Board,

(b) a member of the Board,

(d) a person to whom the Board (in its capacity as an approved regulator) delegates any of its functions by virtue of provision made under section 64(2)(k), and

(e) a person to whom the Board (in its capacity as a licensing authority) delegates any of its functions by virtue of section 73(3)(a).

(2) A person to whom this paragraph applies is not liable in damages for anything done or omitted in the exercise or purported exercise of the functions of the Board conferred by or by virtue of this or any other enactment.

(3) But sub-paragraph (1) does not apply--

(a) if it is shown that the act or omission was in bad faith, or

(b) so as to prevent an award of damages made in respect of an act or omission on the ground that the act or omission was unlawful as a result of section 6(1) of the Human Rights Act 1998 (c. 42).

Section 12

SCHEDULE 2 The reserved legal activities

Introduction

1 This Schedule makes provision about the reserved legal activities.

2 In this Schedule "the appointed day" means the day appointed for the coming into force of section 13 (entitlement to carry on reserved legal activities).

Rights of audience

3 (1) A "right of audience" means the right to appear before and address a court, including the right to call and examine witnesses.

(2) But a "right of audience" does not include a right to appear before or address a court, or to call or examine witnesses, in relation to any particular court or in relation to particular proceedings, if immediately before the appointed day no restriction was placed on the persons entitled to exercise that right.

Conduct of litigation

4 (1) The "conduct of litigation" means--

(a) the issuing of proceedings before any court in England and Wales,

(b) the commencement, prosecution and defence of such proceedings, and

(c) the performance of any ancillary functions in relation to such proceedings (such as entering appearances to actions).

(2) But the "conduct of litigation" does not include any activity within paragraphs (a) to (c) of sub-paragraph (1), in relation to any particular court or in relation to any particular proceedings, if immediately before the appointed day no restriction was placed on the persons entitled to carry on that activity.

Reserved instrument activities

5 (1) "Reserved instrument activities" means--

(a) preparing any instrument of transfer or charge for the purposes of the Land Registration Act 2002 (c. 9);

(b) making an application or lodging a document for registration under that Act;

(c) preparing any other instrument relating to real or personal estate for the purposes of the law of England and Wales or instrument relating to court proceedings in England and Wales.

(2) But "reserved instrument activities" does not include the preparation of an instrument relating to any particular court proceedings if, immediately before the appointed day, no restriction was placed on the persons entitled to carry on that activity.

(3) In this paragraph "instrument" includes a contract for the sale or other disposition of land (except a contract to grant a short lease), but does not include--

(a) a will or other testamentary instrument,

(b) an agreement not intended to be executed as a deed, other than a contract that is included by virtue of the preceding provisions of this sub-paragraph,

(d) a transfer of stock containing no trust or limitation of the transfer.

(4) In this paragraph a "short lease" means a lease such as is referred to in section 54(2) of the Law of Property Act 1925 (c. 20) (short leases).

Probate activities

6 (1) "Probate activities" means preparing any probate papers for the purposes of the law of England and Wales or in relation to any proceedings in England and Wales.

(2) In this paragraph "probate papers" means papers on which to found or oppose--

(a) a grant of probate, or

(b) a grant of letters of administration.

Notarial activities

7 (1) "Notarial activities" means activities which, immediately before the appointed day, were customarily carried on by virtue of enrolment as a notary in accordance with section 1 of the Public Notaries Act 1801 (c. 79).

(2) Sub-paragraph (1) does not include activities carried on--

(a) by virtue of section 22 or 23 of the Solicitors Act 1974 (c. 47) (reserved instrument activities and probate activities), or

(b) by virtue of section 113 of the Courts and Legal Services Act 1990 (c. 41) (administration of oaths).

Administration of oaths

8 The "administration of oaths" means the exercise of the powers conferred on a commissioner for oaths by--

(a) the Commissioners for Oaths Act 1889 (c. 10);

(b) the Commissioners for Oaths Act 1891 (c. 50);

Section 19

SCHEDULE 3 Exempt persons

Rights of audience

1 (1) This paragraph applies to determine whether a person is an exempt person for the purpose of exercising a right of audience before a court in relation to any proceedings (subject to paragraph 7).

(2) The person is exempt if the person--

(a) is not an authorised person in relation to that activity, but

(b) has a right of audience granted by that court in relation to those proceedings.

(3) The person is exempt if the person--

(a) is not an authorised person in relation to that activity, but

(b) has a right of audience before that court in relation to those proceedings granted by or under any enactment.

(4) The person is exempt if the person is the Attorney General or the Solicitor General and--

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