Scottish Lawyers Divided Over Impact Of Clementi Proposals

by Robin Pilgrim, LawAndTax-News.com, London

14 January 2005

According to reports in the Scottish media, lawyers north of the border are concerned with regard to the potential impact that the regulatory reform proposals put forward by Sir David Clementi will have on their businesses.

Although the Clementi proposals will only affect lawyers in England and Wales, many within the Scottish legal community fear that by sweeping away many of the restrictions on investment in law firms, and by streamlining the complaints process, the reforms are likely to give English lawyers a significant competitive advantage over their Scottish counterparts.

Speaking to The Scotsman on Thursday, chief executive of the Law Society of Scotland, Donald Mill observed that:

"What these measures will create is a free market for law, red in tooth and claw. We are not painting our faces with woad, standing on Hadrian’s Wall and shouting ‘Go away!’ to that, but we are asking if this would be the right way to regulate the law in Scotland for Scottish people."

The Scottish Justice Department has established a working party to undertake a similar review of the Scottish legal services market to that recently completed by Sir David in England and Wales, a move that has created divisions within the legal community in Scotland.

Charles Smith, of Edinburgh-based Brodies suggested to The Scotsman this week that: "Scots firms doing business in England can still be regulated by the society in Scotland. If they hire an English lawyer, he can be regulated by whatever comes out of Clementi. It shouldn’t be a problem."

However, managing partner of Dundas & Wilson, Chris Campbell sees the situation differently, and told the newspaper that:

"For major Scots law firms, London offers major opportunities. I would not want radical differences in regulation north to south. I want a level playing field."

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