The Legal Services Act 2007: A Comprehensive Overview
Introduction
The Legal Services Act 2007 (the Act) was a significant piece of legislation that reformed the regulation of legal services in England and Wales. Its primary aim was to encourage competition and increase access to justice by introducing new regulatory structures and expanding the range of providers who could offer legal services.
Regulatory Objectives
The Act sets out eight regulatory objectives that guide the regulation of legal services:
- Protecting and promoting the public interest
- Supporting the constitutional principles of the rule of law
- Improving access to justice
- Protecting and promoting the interests of consumers
- Promoting competition in the provision of services
- Encouraging an independent, strong, diverse and effective legal profession
- Increasing public understanding of the citizen’s legal rights and duties
- Promoting and maintaining adherence to the professional principles
Legal Services Board
The Act establishes the Legal Services Board (LSB), which is responsible for overseeing the regulatory framework for legal services in England and Wales. The LSB has a duty to promote the regulatory objectives and supervises the work of approved regulators.
Reserved Legal Activities
The Act defines six reserved legal activities that can only be carried out by authorized persons or exempt persons:
- Exercise of rights of audience
- Conduct of litigation
- Reserved instrument activities
- Probate activities
- Notarial activities
- Administration of oaths
Authorized Persons and Approved Regulators
Authorized persons are individuals or licensed bodies who are authorized to carry out reserved legal activities. Approved regulators are organizations that are responsible for regulating authorized persons. The Act sets out the criteria for becoming an authorized person or an approved regulator.
Alternative Business Structures
The Act allows for the creation of alternative business structures (ABSs), which are legal practices that can have non-lawyers in professional, management, or ownership roles. This provides greater flexibility in the structure of legal service providers and allows for a wider range of services to be offered.
Complaints and Ombudsman Scheme
The Act requires approved regulators to operate a complaints system and establishes the Office for Legal Complaints (OLC). The OLC administers an ombudsman scheme that provides a means for resolving complaints against legal professionals.
Conclusion
The Legal Services Act 2007 was a significant reform of the regulation of legal services in England and Wales. It introduced new regulatory structures, expanded the range of providers who could offer legal services, and established a complaints system to protect consumers. The Act has had a significant impact on the legal profession and has helped to increase access to justice for the public.
References
– [An Overview of the Legal Services Act 2007](https://www.icaew.com/-/media/corporate/files/technical/legal-and-regulatory/probate-and-abs/an-overview-of-the-legal-services-act-2007.ashx)
– [Legal Services Act 2007](https://en.wikipedia.org/wiki/Legal_Services_Act_2007)
– [Legal Services Act](https://www.sra.org.uk/sra/legal-services-act/)
FAQs
What is the Legal Services Act 2007?
The Legal Services Act 2007 is an important piece of legislation enacted in the United Kingdom that aimed to reform and modernize the legal services industry.
What were the main objectives of the Legal Services Act 2007?
The main objectives of the Legal Services Act 2007 were to promote competition, increase consumer choice, and improve access to justice within the legal services sector. It sought to achieve these goals by introducing significant changes to the regulation and provision of legal services.
How did the Legal Services Act 2007 impact the legal profession?
The Legal Services Act 2007 brought about several significant changes to the legal profession in the UK. It created new regulatory bodies such as the Legal Services Board (LSB) and the Solicitors Regulation Authority (SRA) to oversee the regulation of legal services providers. It also allowed for alternative business structures (ABS), enabling non-lawyer ownership and investment in law firms.
What are alternative business structures (ABS) introduced by the Legal Services Act 2007?
Alternative business structures (ABS) are a key provision of the Legal Services Act 2007. ABS allow for non-lawyers, such as accountants or other professionals, to invest in and own law firms. This change aimed to increase competition, innovation, and access to legal services by allowing different professions to collaborate and provide legal services under one roof.
Did the Legal Services Act 2007 affect how legal services are regulated?
Yes, the Legal Services Act 2007 introduced a new regulatory framework for legal services in the UK. The regulatory bodies established under the Act, such as the Legal Services Board (LSB) and the Solicitors Regulation Authority (SRA), were given the authority to oversee and regulate legal services providers, ensuring compliance with professional standards and promoting consumer protection.
How did the Legal Services Act 2007 impact consumer choice?
The Legal Services Act 2007 aimed to increase consumer choice by opening up the legal services market to new providers and business models. With the introduction of alternative business structures (ABS), consumers gained access to a wider range of service providers, including multidisciplinary practices that could offer legal services alongside other professional services.
Did the Legal Services Act 2007 improve access to justice?
Improving access to justice was one of the key objectives of the Legal Services Act 2007. By promoting competition and increasing consumer choice, it aimed to make legal services more affordable and accessible to a broader range of individuals. The Act also facilitated the provision of legal aid through new providers and encouraged innovation in the delivery of legal services, potentially enhancing access to justice for those in need.
Are there any other notable provisions in the Legal Services Act 2007?
In addition to the provisions mentioned above, the Legal Services Act 2007 introduced other important changes. These include the establishment of the Legal Ombudsman to handle complaints against legal services providers, the introduction of the Legal Services Consumer Panel to represent the interests of consumers, and the ability for legal professionals to form legal disciplinary practices (LDPs) allowing solicitors and barristers to work together in partnership.