Legal Services Act 2007 (c. 29)

(The document as of February, 2008)

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Land

24 (1) During the initial 5 year period, the OLC must not acquire or dispose of an interest in land, except with the approval of the Lord Chancellor.

(2) The initial 5 year period is the period of 5 years beginning with the day on which the appointment of the first Interim Chief Executive under paragraph 10 of Schedule 22 takes effect or the day on which the first appointment of a member of the OLC takes effect, whichever first occurs.

Borrowing

25 (1) The OLC must not borrow money, except--

(a) with the consent of the Board, or

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

(2) The Board may not consent or give a general authorisation for the purposes of sub-paragraph (1), except with the consent of the Lord Chancellor.

Accounts

26 (1) The OLC 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 OLC must give a copy of each statement of accounts to the Board before the end of the month of August next following the financial year to which the statement relates.

(4) The Board must give a copy of each statement received under sub-paragraph (3)--

(a) to the Lord Chancellor, and

(b) to the Comptroller and Auditor General.

(5) The Comptroller and Auditor General must--

(a) examine, certify and report on each statement of accounts which is received under sub-paragraph (4), and

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

(6) 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.

(7) "Financial year" means--

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

(b) each successive period of 12 months.

Status

27 (1) The OLC 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 OLC's property is not to be regarded as property of or held on behalf of the Crown, and

(b) the staff appointed under paragraph 13 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

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

29 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 OLC by any person who has been authorised (whether generally or specifically) by the OLC for the purpose.

30 A document purporting to be duly executed under the seal of the OLC, 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

31 (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 Office for Legal Complaints. "

(2) In Part 3 of that Schedule (other disqualifying offices) at the appropriate place insert--

" The Chief Ombudsman or an assistant ombudsman appointed under section 122 of the Legal Services Act 2007 (Chief Ombudsman and assistant ombudsmen appointed for the purposes of the ombudsman scheme). "

(3) 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 Office for Legal Complaints. "

(4) In Part 3 of that Schedule (other disqualifying offices) at the appropriate place insert--

Freedom of information

32 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 Office for Legal Complaints. "

Public records

33 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 Office for Legal Complaints. "

Exemption from liability in damages

34 (1) This paragraph applies to--

(a) the OLC,

(b) a member of the OLC,

(d) a member of the OLC's staff appointed under paragraph 13.

(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 conferred on the person concerned by or by virtue of this or any other enactment.

(3) But sub-paragraph (2) 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 177

SCHEDULE 16 The Law Society, solicitors, recognised bodies and foreign lawyers

Part 1 The Solicitors Act 1974 (c. 47)

1 The Solicitors Act 1974 is amended in accordance with this Part of this Schedule.

2 In section 1A (practising certificates: employed solicitors)--

(a) omit "or" at the end of paragraph (b),

(b) in paragraph (c) omit "by the Council of the Law Society", and

(d) by any other person who, for the purposes of the Legal Services Act 2007, is an authorised person in relation to an activity which is a reserved legal activity (within the meaning of that Act). "

3 After section 1A insert--

" 1B Restriction on practice as sole solicitor

(1) Rules under section 31 (rules as to professional practice etc) must provide that a solicitor may not practise as a sole solicitor unless he has in force--

(a) a practising certificate, and

(b) an endorsement of that certificate by the Society authorising him to practise as a sole solicitor (a "sole solicitor endorsement").

(2) The rules may provide that, for the purposes of the rules and this Act, a solicitor is not to be regarded as practising as a sole solicitor in such circumstances as may be prescribed by the rules.

(3) The rules must prescribe the circumstances in which a solicitor may be regarded by the Society as suitable to be authorised to practise as a sole solicitor. "

4 In section 2 (training regulations)--

(a) in subsection (1) omit ", with the concurrence of the Secretary of State, the Lord Chief Justice and the Master of the Rolls,",

(b) in subsection (3)(a)--

(i) in sub-paragraph (i) omit ", whether by service under articles or otherwise,",

(ii) in sub-paragraph (v) omit "articles may be discharged or", and

(iii) in that sub-paragraph after "be" (in the second place) insert "started or", and

5 In section 3 (admission as solicitor), in subsection (2)--

(a) for "Master of the Rolls" (in each place) substitute "Society", and

(b) for "his" substitute "its".

6 In section 6 (keeping of the roll) omit subsections (2) to (4).

7 In section 7 (entry of name and restoration of name struck off)--

(a) for paragraph (a) substitute--

" (a) of written evidence of admission of any person as a solicitor by the Society, " , and

(b) for "Council" substitute "Society".

8 (1) Section 8 (removal or restoration of name at solicitor's request) is amended as follows.

(2) In subsection (2) for "Council" substitute "Society".

(3) In subsection (4) for "Master of the Rolls" substitute "High Court".

(4) After that subsection insert--

" (4A) In relation to an appeal under subsection (4) the High Court may make such order as it thinks fit as to payment of costs.

(4B) The decision of the High Court on an appeal under subsection (4) shall be final. "

(5) Omit subsection (5).

9 For sections 9 and 10 (applications for and issue of practising certificates) substitute--

" 9 Applications for practising certificates

(1) A person whose name is on the roll may apply to the Society to be issued with a practising certificate.

(2) An application under this section may include an application for a sole solicitor endorsement.

(3) An application under this section must be--

(a) made in accordance with regulations under section 28, and

(b) accompanied by the appropriate fee.

(4) "The appropriate fee", in relation to an application, means--

(a) any fee payable under subsection (1) of section 11 in respect of the practising certificate applied for, and

(b) any additional fee payable under subsection (4) of that section in respect of the application.

10 The issue of practising certificates

(1) Subject to the following provisions of this section, where an application is made in accordance with section 9, the Society must issue a practising certificate to the applicant if it is satisfied that the applicant--

(a) is not suspended from practice, and

(b) is complying with any prescribed requirements imposed on the applicant.

(2) A practising certificate issued to an applicant of a prescribed description must be issued subject to any conditions prescribed in relation to applicants of that description.

(3) In such circumstances as may be prescribed, the Society must, if it considers it is in the public interest to do so--

(a) refuse to issue a practising certificate under this section, or

(b) where it decides to issue a practising certificate, issue it subject to one or more conditions.

(4) The conditions which may be imposed include--

(a) conditions requiring the person to whom the certificate is issued to take specified steps that will, in the opinion of the Society, be conducive to the carrying on by that person of an efficient practice as a solicitor (including, if the certificate has a sole solicitor endorsement, an efficient practice as a sole solicitor);

(b) conditions which prohibit that person from taking any specified steps, except with the approval of the Society.

(5) In this section --

"prescribed" means prescribed by regulations under section 28;
"specified", in relation to a condition imposed on a practising certificate, means specified in the condition. "

10 After section 10 (as inserted by paragraph 9) insert--

" 10A Register of holders of practising certificates

(1) The Society must keep a register of all solicitors who hold practising certificates.

(2) The register must contain--

(a) the full name of each solicitor who holds a practising certificate,

(b) in relation to each solicitor who holds a practising certificate, a statement as to whether there is in force a sole solicitor endorsement, and

11 For section 11 (fee payable on issue of practising certificate) substitute--

" 11 Fee payable on issue of practising certificates

(1) Before a practising certificate is issued, there must be paid to the Society in respect of the certificate a fee of such amount as the Society may from time to time determine.

(2) Different fees may be specified for different categories of applicant and in respect of different circumstances.

(3) Subsection (4) applies where a solicitor makes an application for a practising certificate if--

(a) the solicitor has failed to deliver an accountant's report required by rules under section 34(1) by such time or in such circumstances as may be prescribed by those rules, and

(b) a practising certificate has not been issued by the Society to the solicitor since the Society became aware of the failure.

(4) Where this subsection applies, the solicitor's application must be accompanied by an additional fee of such amount as the Society from time to time determines. "

12 Omit section 12 (discretion of Society with respect to issue of practising certificates in special cases).

13 Omit section 12A (additional fee payable by certain solicitors on applying for practising certificates).

14 For section 13 (appeals in connection with issue of practising certificates) substitute--

" 13 Appeals etc in connection with the issue of practising certificates

(1) A person who makes an application under section 9 may appeal to the High Court against--

(a) a decision to refuse the application for a practising certificate,

(b) if the application included an application for a sole solicitor endorsement, a decision to refuse the application for the endorsement, or

(2) A person who holds a practising certificate subject to a condition within section 10(4)(b) may appeal to the High Court against any decision by the Society to refuse to approve the taking of any step for the purposes of that condition.

(3) The Society may make rules which provide, as respects any application under section 9 that is neither granted nor refused by the Society within such period as may be specified in the rules, for enabling an appeal to be brought under this section in relation to the application as if it had been refused by the Society.

(4) On an appeal under subsection (1), the High Court may--

(a) affirm the decision of the Society,

(b) direct the Society to make a sole solicitor endorsement on the applicant's practising certificate and to issue that certificate subject to such conditions (if any) as the High Court may think fit,

(c) direct the Society to issue a certificate to the applicant free from conditions or subject to such conditions as the High Court may think fit,

(d) direct the Society not to issue a certificate,

(e) if a certificate has been issued, by order suspend it,

(f) if the certificate has been endorsed with a sole solicitor endorsement, by order suspend the endorsement, or

(g) make such other order as the High Court thinks fit.

(5) On an appeal under subsection (2), the High Court may--

(a) affirm the decision of the Society,

(b) direct the Society to approve the taking of one or more steps for the purposes of a condition within section 10(4)(b), or

(6) In relation to an appeal under this section the High Court may make such order as it thinks fit as to payment of costs.

(7) The decision of the High Court on an appeal under subsection (1) or (2) shall be final. "

15 After section 13 insert--

" 13ZA Application to practise as sole practitioner while practising certificate in force

(1) A solicitor whose practising certificate for the time being in force (his "current certificate") does not have a sole solicitor endorsement, may apply to the Society for such an endorsement.

(2) For the purposes of subsection (1) a practising certificate with a sole solicitor endorsement which is suspended is to be treated as having such an endorsement.

(3) A solicitor may not apply under subsection (1) if he is suspended from practice as a sole solicitor.

(4) An application must be--

(a) made in accordance with regulations under section 28, and

(b) accompanied by any fee payable under section 13ZB in respect of the endorsement applied for.

(5) Where a sole solicitor endorsement is granted to an applicant of a prescribed description, the applicant's practising certificate shall have effect subject to any conditions prescribed in relation to applicants of that description.

"Prescribed" means prescribed by regulations under section 28(3B)(f).

(6) A person who makes an application under this section may appeal to the High Court against--

(a) a decision to refuse the application, or

(b) a decision to impose a condition on a practising certificate in accordance with subsection (5).

(7) The Society may by rules make provision, as respects any application under this section that is neither granted nor refused by the Society within such period as may be specified in the rules, for enabling an appeal to be brought under this section in relation to the application as if it had been refused by the Society.

(8) On an appeal under this section the High Court may--

(a) affirm the decision of the Society,

(b) direct the Society to grant a sole solicitor endorsement,

(c) direct that the applicant's practising certificate is to have effect subject to such conditions (if any) as the High Court thinks fit, or

(d) make such other order as the High Court thinks fit.

(9) In relation to an appeal under this section the High Court may make such order as it thinks fit as to payment of costs.

(10) The decision of the High Court on an appeal under this section shall be final.

13ZB Fee payable on making of sole solicitor endorsement

(1) Before a sole solicitor endorsement is granted under section 13ZA, there must be paid to the Society in respect of the endorsement a fee of such amount as the Society may from time to time determine.

(2) Different fees may be specified for different categories of applicant and in different circumstances.

(3) If a fee payable under this section would not otherwise be a practising fee for the purposes of section 51 of the Legal Services Act 2007, it is to be treated for the purposes of that section as such a fee.

(4) In subsection (3) "practising fee" has the meaning given by that section. "

16 (1) Section 13A (imposition of conditions while practising certificates are in force) is amended as follows.

(2) For subsections (2) to (5) substitute--

" (2) The power conferred by subsection (1) is exercisable in relation to a solicitor at any time during the period for which the solicitor's current certificate is in force if--

(a) under section 13ZA the Society grants a sole solicitor endorsement, or

(b) it appears to the Society that the case is of a prescribed description.

(3) "Prescribed" means prescribed by regulations under section 28. "

(3) In subsection (6) for "Master" to the end substitute "High Court against the decision of the Society."

(4) In subsection (7)--

(a) for "Master of the Rolls" (in both places) substitute "High Court", and

(b) for "he" substitute "it".

(5) After that subsection insert--

" (7A) The decision of the High Court on an appeal under subsection (6) shall be final. "

(6) For subsection (8) substitute--

" (8) Subsections (4) and (5) of section 10 apply for the purposes of subsection (1) of this section as they apply for the purposes of that section. "

(7) After that subsection insert--

" (9) A solicitor who holds a practising certificate subject to a condition imposed under subsection (1) which prohibits that solicitor from taking any steps specified in the condition, except with the approval of the Society, may appeal to the High Court against any decision by the Society to refuse to approve the taking of any step for the purposes of that condition.

(10) On an appeal under subsection (9), the High Court may--

(a) affirm the decision of the Society,

(b) direct the Society to approve the taking of one or more steps for the purposes of the condition, or

(11) The decision of the High Court on an appeal under subsection (9) shall be final.

(12) In relation to an appeal under this section the High Court may make such order as it thinks fit as to payment of costs. "

17 In section 13B (suspension of practising certificates where solicitors convicted of fraud or serious crime)--

(a) in subsection (1), after "practising certificate" insert "or sole solicitor endorsement",

(b) in subsection (6), after "practice" insert "or from practice as a sole solicitor",

(d) in subsection (8)--

(i) for "Master of the Rolls" (in both places) substitute "High Court",

(ii) in paragraph (b), for "shall not be suspended but" substitute "or sole solicitor endorsement shall not be suspended, but that the appellant's certificate", and

(iii) in paragraph (d) for "he" substitute "it", and

(e) after that subsection insert--

" (9) In relation to an appeal under subsection (7) the High Court may make such order as it thinks fit as to payment of costs.

(10) The decision of the High Court on an appeal under subsection (7) shall be final. "

18 Omit section 14 (commencement, expiry and replacement of practising certificates).

19 In section 15 (suspension of practising certificates), in subsection (1A)--

(a) after "6(1)" insert ", 6A(1)",

(b) after "1(1)(a)(i)," insert "(aa),", and

20 (1) Section 16 (duration of suspension of practising certificates) is amended as follows.

(2) For subsection (1) substitute--

" (1) Where a practising certificate is suspended, it expires on such date as may be prescribed by regulations under section 28. "

(3) In subsection (3)(c) for "the replacement date of the certificate" substitute "the date on which his certificate will expire".

(4) In subsection (5)--

(a) for "Master of the Rolls, who" substitute "High Court, which", and

(b) in paragraph (b) for "he" substitute "it".

(5) After that subsection insert--

" (6) In relation to an appeal under subsection (5) the High Court may make such order as it thinks fit as to payment of costs.

(7) The decision of the High Court on an appeal under subsection (5) shall be final. "

21 In section 17 (publicity in relation to suspension of practising certificates), in subsections (1) and (2) omit "in the London Gazette".

22 After section 17 insert--

" 17A Suspension of sole solicitor endorsement

(1) The making by the Tribunal or by the court of an order suspending a solicitor from practice as a sole solicitor shall operate to suspend any sole solicitor endorsement of that solicitor for the time being in force.

(2) For the purposes of this Act, a sole solicitor endorsement shall be deemed not to be in force at any time while it is suspended.

(3) Subsection (2) is subject to section 13ZA(2).

17B Duration and publicity of suspension of sole solicitor endorsement

(1) Where a sole solicitor endorsement is suspended, it expires on such date as may be prescribed by regulations under section 28.

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