Sir David Clementi released his Consultation Paper relating to the regulatory framework for legal services in England and Wales on 8 March 2004. The paper seeks to stimulate a wide debate about regulation of lawyers.
Chapter B suggests illustrative models for a new regulatory regime: Model A proposes that all regulatory functions move to a new regulator, the Legal Services Authority; Model B gives regulatory functions to the professional bodies, but sets up a new regulator with consistent oversight powers, the Legal Services Board; and a variant Model B+, which is to require each of the professional bodies to separate their regulatory functions away from their representative functions, and with a significant lay membership.
Chapter C suggests models for dealing with complaints: the complaints work done by each body could be removed to a single Legal Services Complaints Office, similar to the Financial Ombudsman Service; or complaints could remain the direct responsibility of the relevant body, subject to consistent oversight powers; or a Legal Services Commissioner could provide a single gateway into the complaints system, but then, subject to an option to retain cases if he sees fit, sends professional misconduct cases approved for investigation to the relevant professional body, subject to his oversight.
Chapter F deals with the issue of alternative business structures. A matrix of four types of practice is discussed: Legal Disciplinary Practices (LDPs) solely offering legal services or Multi-Disciplinary Practices (MDPs) offering legal and other services, in each case either owned by their managers or not exclusively owned by its Managers.
Closing date for responses is 4 June 2004; the recommendations are due by 31 December 2004.
