Regulation of Law Firms

When must a legal business be authorised by the SRA?

If they provide:

• Reserved legal services

• Immigration services (unless regulated by Office of Immigration Services Commissioner)

• Claims management services (unless regulated by FCA)

• Regulated financial activities (unless regulated by FCA)

Reserved Legal Activities under s12 Schedule 2 Legal Services Act 2007

• Rights of Audience

• Conduct of litigation

• Reserved instrument activities

• Certain probate activities

• Administration of Oaths

Types of SRA approved body

• Sole Practice

• Legal services body

• Licensable body

Risks facing the legal profession according to SRA Risk Outlook

• Anti money laundering

• Client money

• Diversity in the profession

• Information and Cyber Security

• Integrity and Ethics

• Meeting legal needs

• Standards of Service

COLP

Compliance Officer for Legal Practice who manages the firm’s compliance with SRA rules and statutory obligations

COFA

Compliance Officer for Finance and Accounts who ensures the firm complies with SRA Accounts Rules 2019

Eligibility for COLP or COFA

• Manager or employee of authorised body

• Consent to the designation

• Not disqualified for any reason

• COLP must be authorised to carry out reserved legal activities by an approved regulator

Common law structures for Firms

• Partnership

• LLP

• Incorporated Company