Legalize / United Kingdom / Public General Act

Administration of Justice Act 1985

Type Public General Act

Publication 1985-10-30

Last updated 2025-01-01

State In force

Department Statute Law Database

Source legislation.gov.uk

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Reform history JSON API

(2) Subject to any exclusion or restriction made by those provisions and despite section 157 of the Legal Services Act 2007 (approved regulators not to make provision for redress), any disciplinary tribunal which hears a legal aid complaint relating to the conduct of a barrister may, if it thinks fit and whether or not it makes any other order, order that any fees otherwise payable by the Lord Chancellor in connection with services provided by the barrister under arrangements made for the purposes of Part 1 of the Legal Aid, Sentencing and Punishment of Offenders Act 2012 shall be reduced or cancelled.

(3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(4) An appeal shall lie in the case of an order under subsection (2) above in the same manner as an appeal would lie in the case of any other order of such a tribunal.

(5) The reference in subsection (2) above to a disciplinary tribunal is a reference to a tribunal acting under the disciplinary provisions applicable to barristers and it includes a reference to a member exercising any functions of the tribunal delegated to him.

Exclusion of barrister from legal aid work

42

(1) Subject to any exclusion or restriction made by the disciplinary provisions applicable to barristers, where a disciplinary tribunal hears a charge of professional misconduct or breach of professional standards against a barrister, it may order that he shall be excluded from criminal legal aid work , either temporarily or for a specified period, if it determines that there is good reason for the exclusion arising out of—

(a) his conduct in connection with any such services as are mentioned in section 40(1), or

(b) his professional conduct generally.

(2) Subsection (4) of section 41 shall apply to an order under subsection (1) as it applies to an order under subsection (2) of that section.

(3) The disciplinary provisions applicable to barristers shall include provision enabling a barrister who has been excluded from criminal legal aid work under this section to apply for an order terminating his exclusion . . .

(4) In this section—

(a) the reference to a disciplinary tribunal shall be construed in accordance with section 41(5); . . .

(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(5) In this section “criminal legal aid work” means the provision under arrangements made for the purposes of Part 1 of the Legal Aid, Sentencing and Punishment of Offenders Act 2012 of—

(a) advice or assistance described in section 13 or 15 of that Act, or

(b) representation for the purposes of criminal proceedings.

Jurisdiction and powers of Solicitors Disciplinary Tribunal in relation to complaints against solicitors

43

(1) The Solicitors Disciplinary Tribunal shall have jurisdiction to hear and determine any legal aid complaint relating to the conduct of a solicitor and made to the Tribunal under this section by or on behalf of the Law Society.

(2) In the following provisions of the Solicitors Act 1974, namely—

(a) subsections (9) to (11) of section 46 (procedure of Tribunal); and

(b) section 47(2) (powers of Tribunal),

any reference to a complaint or to a complaint made to the Tribunal under that Act shall be construed as including a reference to a legal aid complaint or to a legal aid complaint made to the Tribunal under this section.

(3) On the hearing of a legal aid complaint against a solicitor the Tribunal may, if it thinks fit and whether or not it makes any other order on the hearing, order that any costs otherwise payable by the Lord Chancellor in connection with services provided by the solicitor under arrangements made for the purposes of Part 1 of the Legal Aid, Sentencing and Punishment of Offenders Act 2012 shall be reduced or cancelled.

(3A) Nothing in section 157 of the Legal Services Act 2007 (approved regulators not to make provision for redress) prevents an order being made under subsection (3).

(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(5) An appeal under section 49 of the Solicitors Act 1974 against an order of the Tribunal under subsection (3) lies only at the instance of the solicitor with respect to whom the legal aid complaint was made.

(6) In this section “costs” includes fees, charges, disbursements, expenses and remuneration.

Exclusion of solicitor from legal aid work

44

(1) Section 47 of the Solicitors Act 1974 (jurisdiction and powers of the Solicitors Disciplinary Tribunal) shall be amended as follows.

(2) In subsection (2), after paragraph (b) there shall be inserted—

(bb) in the circumstances referred to in subsection (2A), the exclusion of that solicitor from legal aid work (either permanently or for a specified period);

(3) After that subsection there shall be inserted—

(2A) An order of the Tribunal may make provision for the exclusion of a solicitor from legal aid work as mentioned in subsection (2)(bb) where the Tribunal determines that there is good reason for doing so arising out of— (a) his conduct, including conduct in the capacity of agent for another solicitor, in connection with the provision for any person of services under the Legal Aid Act 1988; or (b) his professional conduct generally. (2B) Where the Tribunal makes any such order as is referred to in subsection (2A) in the case of a solicitor who is a member of a firm of solicitors, the Tribunal may, if it thinks fit, order that any other person who is for the time being a member of the firm shall be excluded (either permanently or for a specified period) from legal aid work. (2C) The Tribunal shall not make an order under subsection (2B) excluding any person from legal aid work unless an opportunity is given to him to show cause why the order should not be made. (2D) Any person excluded from legal aid work by an order under this section may make an application to the Tribunal for an order terminating his exclusion from such work.

(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Advice and assistance

Eligibility for legal advice and assistance

45

Legal aid in criminal proceedings

Remuneration for work done before making of legal aid order

46

Part IV — The Supreme Court and County Courts

Proceedings relating to estates of deceased persons and trusts

Power of High Court to make judgments binding on persons who are not parties

47

(1) This section applies to actions in the High Court relating to the estates of deceased persons or to trusts and falling within any description specified in rules of court.

(2) Rules of court may make provision for enabling any judgment given in an action to which this section applies to be made binding on persons who—

(a) are or may be affected by the judgment and would not otherwise be bound by it; but

(b) have in accordance with the rules been given notice of the action and of such matters connected with it as the rules may require.

(3) Different provision may be made under this section in relation to actions of different descriptions.

Power of High Court to authorise action to be taken m reliance on counsel's opinion

48

(1) Where—

(a) any question of construction has arisen out of the terms of a will or a trust; and

(b) an opinion in writing given by a person who has a 10 year High Court qualification, within the meaning of section 71 of the Courts and Legal Services Act 1990, has been obtained on that question by the personal representatives or trustees under the will or trust,

the High Court may, on the application of the personal representatives or trustees and without hearing argument, make an order authorising those persons to take such steps in reliance on the said opinion as are specified in the order.

(2) The High Court shall not make an order under subsection (1) if it appears to the court that a dispute exists which would make it inappropriate for the court to make the order without hearing argument.

Powers of High Court on compromise of probate action

49

(1) Where on a compromise of a probate action in the High Court—

(a) the court is invited to pronounce for the validity of one or more wills, or against the validity of one or more wills, or for the validity of one or more wills and against the validity of one or more other wills; and

(b) the court is satisfied that consent to the making of the pronouncement or, as the case may be, each of the pronouncements in question has been given by or on behalf of every relevant beneficiary,

the court may without more pronounce accordingly.

(2) In this section—

“probate action” means an action for the grant of probate of the will, or letters of administration of the estate, of a deceased person or for the revocation of such a grant or for a decree pronouncing for or against the validity of an alleged will, not being an action which is non-contentious or common form probate business; and

“relevant beneficiary”, in relation to a pronouncement relating to any will or wills of a deceased person, means—

(a) a person who under any such will is beneficially interested in the deceased’s estate; and

(b) where the effect of the pronouncement would be to cause the estate to devolve as on an intestacy (or partial intestacy), or to prevent it from so devolving, a person who under the law relating to intestacy is beneficially interested in the estate.

Power of High Court to appoint substitute for, or to remove, personal representative

50

(1) Where an application relating to the estate of a deceased person is made to the High Court under this subsection by or on behalf of a personal representative of the deceased or a beneficiary of the estate, the court may in its discretion—

(a) appoint a person (in this section called a substituted personal representative) to act as personal representative of the deceased in place of the existing personal representative or representatives of the deceased or any of them; or

(b) if there are two or more existing personal representatives of the deceased, terminate the appointment of one or more, but not all, of those persons.

(2) Where the court appoints a person to act as a substituted personal representative of a deceased person, then—

(a) if that person is appointed to act with an executor or executors the appointment shall (except for the purpose of including him in any chain of representation) constitute him executor of the deceased as from the date of the appointment; and

(b) in any other case the appointment shall constitute that person administrator of the deceased’s estate as from the date of the appointment.

(3) The court may authorise a person appointed as a substituted personal representative to charge remuneration for his services as such, on such terms (whether or not involving the submission of bills of charges for taxation by the court) as the court may think fit.

(4) Where an application relating to the estate of a deceased person is made to the court under subsection (1), the court may if it thinks fit, proceed as if the application were, or included, an application for the appointment under the Judicial Trustees Act 1896 of a judicial trustee in relation to that estate.

(5) In this section “beneficiary”, in relation to the estate of a deceased person, means a person who under the will of the deceased or under the law relating to intestacy is beneficially interested in the estate.

(6) In section 1 of the Judicial Trustees Act 1896, after subsection (6) there shall be added—

(7) Where an application relating to the estate of a deceased person is made to the court under this section, the court may, if it thinks fit, proceed as if the application were, or included, an application under section 50 of the Administration of Justice Act 1985 (power of High Court to appoint substitute for, or to remove, personal representative).

Amendments relating to jurisdiction of county courts and district probate registrars in probate proceedings

51

——

(1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Garnishee proceedings

Administrative and clerical expenses of garnishees

52

(1) Section 40A of the Senior Courts Act 1981 and section 109 of the County Courts Act 1984 (administrative and clerical expenses of garnishees) shall each be amended as follows.

(2) For subsection (1) there shall be substituted—

(1) Where an order nisi made in the exercise of the jurisdiction mentioned in subsection (2) of the preceding section is served on any deposit-taking institution, the institution may, subject to the provisions of this section, deduct from the relevant debt or debts an amount not exceeding the prescribed sum towards the administrative and clerical expenses of the institution in complying with the order; and the right of an institution to make a deduction under this subsection shall be exercisable as from the time the order nisi is served on it. (1A) In subsection (1) “the relevant debt or debts”, in relation to an order nisi served on any such institution as is mentioned in that subsection, means the amount, as at the time the order is served on the institution, of the debt or debts of which the whole or a part is expressed to be attached by the order. (1B) A deduction may be made under subsection (1) in a case where the amount referred to in subsection (1A) is insufficient to cover both the amount of the deduction and the amount of the judgment debt and costs in respect of which the attachment was made, notwithstanding that the benefit of the attachment to the creditor is reduced as a result of the deduction.

(3) In subsection (2), for “The prescribed sum may not” there shall be substituted “An amount may not in pursuance of subsection (1)”.

(4) In subsection (4), the word “and” shall be omitted, and after paragraph (b) there shall be inserted—

(c) may provide for this section not to apply to deposit-taking institutions of any prescribed description.

Reimbursement of costs

Reimbursement of additional costs resulting from death or incapacity of presiding judge etc.

53

(1) Where—

(a) the judge, or (as the case may be) any of the judges, presiding at any proceedings to which this section applies becomes temporarily or permanently incapacitated from presiding at the proceedings, or dies, at any time prior to the conclusion of the proceedings; and

(b) any party represented at the proceedings incurs any additional costs in consequence of the judge’s incapacity or death,

the Secretary of State may, if he thinks fit, reimburse that party in respect of any such additional costs, or in respect of such part thereof as he may determine; but the amount of any such reimbursement shall not exceed such sum as the Secretary of State may by order prescribe for the purposes of this section.

(2) Subject to subsection (3), this section applies to—

(a) proceedings in the civil division of the Court of Appeal;

(b) civil proceedings in the High Court;

(ba) proceedings in the family court;and

and, in the case of any interlocutory proceedings falling within paragraphs (a) to (c), applies separately to any such proceedings and to any other proceedings in the cause or matter in question.

(3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(4) For the purposes of this section the amount of any additional costs incurred by any person as mentioned in subsection (1)(b) shall be such amount as may be agreed between the Secretary of State and that person or, in default of agreement, as may be ascertained by taxation.

(5) Where any proceedings to which this section applies—

(a) are due to be begun before a judge at a particular time; but

(b) are not begun at that time by reason of the judge becoming temporarily or permanently incapacitated from presiding at the proceedings or by reason of his death,

subsection (1) shall have effect in relation to the incapacity or death of the judge as it has effect in relation to any such incapacity or death of a presiding judge as is mentioned in paragraph (a) of that subsection, but as if any reference to any party represented at the proceedings were a reference to any party who would have been so represented but for the judge’s incapacity or death.

(6) In this section . . . “judge” in relation to any proceedings, includes—

(a) a master, registrar or other person acting in a judicial capacity in the proceedings; or

(b) a person assisting at the proceedings as an assessor or as an adviser appointed by virtue of section 70(3) of the Senior Courts Act 1981;

and, in relation to any such person as is mentioned in paragraph (b), any reference to presiding at any proceedings shall be construed as including a reference to assisting at the proceedings.

(7) Any order made by the Secretary of State under this section shall be made with the concurrence of the Treasury, and shall be so made by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament.

(8) Any sums required by the Secretary of State for making payments under this section shall be paid out of money provided by Parliament.

Register of county court judgments

54

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Relief from forfeiture in county court

Power of county court to grant relief from forfeiture for non-payment of rent

55

(1) Section 138 of the County Courts Act 1984 (provisions as to forfeiture for non-payment of rent) shall be amended as provided in subsections (2) to (4) of this section.

(2) In subsection (5), the words “Subject to subsection (6),” shall be omitted.

(3) In subsection (7)—

(a) for “enforced” there shall be substituted “enforceable”; and

(b) after “the lessee shall” there shall be inserted “, subject to subsections (8) and (9A),”.

(4) After subsection (9) there shall be inserted—

(9A) Where the lessor recovers possession of the land at any time after the making of the order under subsection (3) (whether as a result of the enforcement of the order or otherwise) the lessee may, at any time within six months from the date on which the lessor recovers possession, apply to the court for relief; and on any such application the court may, if it thinks fit, grant to the lessee such relief, subject to such terms and conditions, as it thinks fit. (9B) Where the lessee is granted relief on an application under subsection (9A) he shall hold the land according to the lease without any new lease. (9C) An application under subsection (9A) may be made by a person with an interest under a lease of the land derived (whether immediately or otherwise) from the lessee’s interest therein in like manner as if he were the lessee; and on any such application the court may make an order which (subject to such terms and conditions as the court thinks fit) vests the land in such a person, as lessee of the lessor, for the remainder of the term of the lease under which he has any such interest as aforesaid, or for any lesser term. In this subsection any reference to the land includes a reference to a part of the land.

(5) In section 139 of the County Courts Act 1984 (service of summons and re-entry), after subsection (2) there shall be inserted—

(3) Subsections (9B) and (9C) of section 138 shall have effect in relation to an application under subsection (2) of this section as they have effect in relation to an application under subsection (9A) of that section.

Interpretation

Interpretation of Part IV

56

In this Part—

“action” means any civil proceedings commenced by writ or in any other manner prescribed by rules of court;

“judgment” includes an order;

“will” includes a nuncupative will and any testamentary document of which probate may be granted.

Part V — Miscellaneous and Supplementary

Miscellaneous

Time limits for actions for libel and slander

57

Power of High Court to appoint an arbitrator on behalf of party in default

58

Pensions Appeal Tribunals: provision for appeals by non-residents to be heard in Scotland or Northern Ireland

59

(1) The Schedule to the Pensions Appeal Tribunals Act 1943 shall be amended as follows.

(2) In paragraph 6 (which provides for appeals by persons not resident in Scotland or Northern Ireland to be heard by one of the Tribunals appointed for England and Wales), after “and” there shall be inserted “, subject to any provision made by virtue of paragraph 6A of this Schedule,”.

(3) After paragraph 6 there shall be inserted—

(6A) Rules made under this Schedule may make provision for enabling an appeal brought by a person who, at the time when the notice of appeal was given, did not reside in any part of the United Kingdom to be heard by one of the Tribunals appointed for Scotland or, as the case may be, for Northern Ireland where, on an application in that behalf by the appellant made in such manner as may be prescribed by the rules to such authority as may be so prescribed, that authority is satisfied— (a) that the appellant has a closer connection with Scotland or, as the case may be, with Northern Ireland than with England and Wales; or (b) that there is some other good reason for the appeal to be heard in Scotland or, as the case may be, Northern Ireland.

Proceedings in connection with European patents

60

Constitution of juvenile courts in London

61

In Schedule 2 to the Children and Young Persons Act 1963 (which by virtue of section 17(1) of that Act has effect as Schedule 2 to the Children and Young Persons Act 1933), in Part II (constitution of youth courts in Inner London and the City), after paragraph 15 there shall be inserted—

(15A) (1) Where, in the case of any sitting of a youth court, a person nominated under paragraph 15(b) of this Schedule— (a) is available to act as chairman; but (b) considers that it would be appropriate for another member of the court to act as chairman, he may nominate that member to act as chairman at that sitting. (2) A member of a youth court nominated to act as chairman under sub-paragraph (1) shall only so act while the person making the nomination continues to sit as a member of the court.

Amendments of Judicature (Northern Ireland) Act 1978

62

(1) In section 70(2)(a) of the Judicature (Northern Ireland) Act 1978 the words “and is in practice as such” (which disqualify non-practising barristers and solicitors for appointment as statutory officers under section 70(2) of that Act) shall be omitted.

(2) In section 103(3) of that Act (appointment and removal from office of justices of the peace) for the words from “on behalf” to “Chancellor” there shall be substituted the words “by the Lord Chancellor by instrument on behalf and in the name of Her Majesty”.

Limitation of damages in respect of acts by resident magistrates etc. in Northern Ireland

63

Northern Ireland rules of court with respect to disclosure of expert evidence etc.

64

(1) Notwithstanding any enactment or rule of law by virtue of which documents prepared for the purpose of pending or contemplated civil proceedings, or in connection with the obtaining or giving of legal advice, are in certain circumstances privileged from disclosure, provision may be made by rules of court for requiring, in the case of civil proceedings of any description specified in the rules—

(a) a party who has been afforded a medical examination of another party to disclose to that other party the result of the examination;

(b) a party who proposes to adduce at the trial expert evidence with respect to medical matters, or matters of any other class specified in the rules, to disclose that evidence to every other party to the proceedings;

and any such disclosure shall be made by the furnishing of any such document or documents as may be specified in the rules, and shall be so made by such time as may be determined by or in accordance with the rules.

(2) Provision may be made by rules of court as to the conditions subject to which expert evidence may be given in civil proceedings.

(3) Without prejudice to the generality of subsection (2), rules of court made in pursuance of that subsection may make provision for prohibiting a party from adducing, except with the leave of the court, any expert evidence the contents of which were required to be, but have not been, disclosed by him in accordance with rules under subsection (1)(b).

(4) Any rules of court made in pursuance of this section may make different provision for different classes of cases and for other different circumstances.

(5) In this section “rules of court” means—

(a) rules of court made under section 55 of the Judicature (Northern Ireland) Act 1978; or

(b) county court rules made under Article 47 of the County Courts (Northern Ireland) Order 1980;

and nothing in this section shall prejudice the generality of either of those provisions.

(6) Section 71 of the Administration of Justice Act 1982 (which is superseded by this section) shall cease to have effect.

Administration of oaths and taking of affidavits by public notaries in London

65

Supplementary

Consequential provisions relating to building societies

66

Consequential amendments and repeals

67

(1) The enactments specified in Schedule 7 shall have effect subject to the amendments there specified, being amendments consequential on the provisions of this Act.

(2) The enactments specified in Schedule 8 are hereby repealed to the extent specified in the third column of that Schedule.

Extent: power to make corresponding provision for Northern Ireland

68

(1) With the exception of the provisions referred to in subsection (2), this Act does not extend to Scotland or Northern Ireland.

(2) Those provisions are—

(a) sections 59 and 60;

(b) sections 62 to 64, section 67(2) and Schedule 8 so far as they relate to the Justices Protection (Ireland) Act 1849, the Judicature (Northern Ireland) Act 1978 and the Administration of Justice Act 1982, and paragraph 16 of Schedule 9.

(d) this section; and

(e) section 69.

(3) Of those provisions—

(a) subsections (1) to (5) of section 60 extend to the Isle of Man as well as to Scotland and Northern Ireland;

(b) the provisions referred to in subsection (2)(b) extend to Northern Ireland only; and

(4) An Order in Council under paragraph 1(1)(b) of Schedule 1 to the Northern Ireland Act 1974 (legislation for Northern Ireland in the interim period) which states that it is made only for purposes corresponding to those of section 45 or 52 of this Act—

(a) shall not be subject to paragraph 1(4) and (5) of that Schedule (affirmative resolution of both Houses of Parliament); but

(b) shall be subject to annulment in pursuance of a resolution of either House.

Short title, commencement, transitional provisions and savings

69

(1) This Act may be cited as the Administration of Justice Act 1985.

(2) Subject to subsections (3) and (4), this Act shall come into force on such day as the Lord Chancellor may by order made by statutory instrument appoint; and an order under this subsection may appoint different days for different provisions and for different purposes.

(3) The following provisions of this Act shall come into force on the day this Act is passed—

(a) section 63;

(b) Part I of Schedule 8 and section 67(2) so far as relating thereto;

(d) this section and Schedule 9.

(4) The following provisions of this Act shall come into force at the end of the period of two months beginning with the day on which this Act is passed—

(a) sections 45, 49, 52, 54, 56 to 62 and 64 and 65;

(b) paragraph 8 of Schedule 7 and section 67(1) so far as relating thereto;

(5) The transitional provisions and savings contained in Schedule 9 shall have effect; but nothing in that Schedule shall be taken as prejudicing the operation of sections 16 and 17 of the Interpretation Act 1978 (which relate to repeals).

SCHEDULE 1

1

In section 3 (admission as solicitor), in subsection (3), for “High Court” substitute “Supreme Court”.

2

In section 7 (entry of name and restoration of name struck off), omit “not exceeding £15”.

3

In section 8 (removal or restoration of name at solicitor’s request), in subsection (2), omit “not exceeding £15”.

4

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

5

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

6

In section 21 (unqualified person not to pretend to be a solicitor), for the words from “a fine” onwards substitute “a fine not exceeding the fourth level on the standard scale.”

7

In section 24 (application of penal provisions to body corporate)—

(a) in subsection (1)(a), for the words from “a fine” onwards substitute “a fine not exceeding the fourth level on the standard scale, and”; and

(b) in subsection (1)(b), for the words from “a fine” onwards substitute “a fine not exceeding the fourth level on the standard scale.”

8

(1) Section 28 (regulations) shall be amended as follows.

(2) After subsection (3) insert—

(3A) Regulations about the keeping of the roll may— (a) provide for the Society, at such intervals as may be specified in the regulations, to enquire of solicitors of any class so specified whether they wish to have their names retained on the roll; (b) require solicitors of any such class, at such intervals as aforesaid, to pay to the Society a fee in respect of the retention of their names on the roll of such amount as may be prescribed by the regulations; and (c) authorise the Society to remove from the roll the name of any solicitor who— (i) fails to reply to any enquiry made in pursuance of paragraph (a) or to pay any fee payable by virtue of paragraph (b), or (ii) replies to any such enquiry by indicating that he does not wish to have his name retained on the roll; (d) authorise the Society to remove from the roll the name of any solicitor who has died.

(3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

9

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

10

In section 43 (control of employment of certain clerks)—

(a) in subsection (1)(b), for the words from “in respect of” onwards substitute “which involved conduct on his part of such a nature that in the opinion of the Society it would be undesirable for him to be employed by a solicitor in connection with his practice,”; and

(b) omit subsection (6).

11

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

12

In section 87 (interpretation)—

(a) in subsection (1)—

(i) in the definition of “contentious business”, for “section 175(1) of the Supreme Court of Judicature (Consolidation) Act 1925” substitute “section 128 of theSenior Courts Act 1981”;

(ii) after the definition of “solicitor in Scotland” insert—

“the standard scale” has the meaning given by section 37 of the Criminal Justice Act 1982;

; and

(b) in subsection (2)—

(i) at the end of paragraph (a) insert “or in pursuance of regulations under section 28(3A);”

(ii) in paragraph (b), for “otherwise than at his own request” substitute “as a disciplinary sanction”.

13

(1) Schedule 1 (intervention in solicitor’s practice) shall be amended as follows.

(2) In paragraph 1(1), after paragraph (e), insert—

(ee) the Council are satisfied that a sole solicitor is incapacitated by illness or accident to such an extent as to be unable to attend to his practice;

(3) In paragraph 5(2), after “bank” insert “or other financial institution”.

(4) In paragraph 6(4), for “14” substitute “8”.

(5) In paragraph 7—

(a) in sub-paragraph (1), for “and any such person” substitute “or into a client account of a solicitor nominated on behalf of the Society, and any such person or solicitor”; and

(b) in sub-paragraph (2), after “bank” insert “or other financial institution”.

14

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SCHEDULE 2

Interpretation

1

(1) Subject to sub-paragraph (2), references in this Schedule to a recognised body or a recognised sole solicitor’s practice are references to a body or sole solicitor’s practice . . . for the time being recognised under section 9 of this Act.

(2) References in this Schedule to a recognised body or a recognised sole solicitor’s practice in relation to—

(a) a complaint (other than such a complaint as is mentioned in paragraph 16(1)(a)); . . .

(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

include references to a body or sole solicitor’s practice . . . that was recognised under section 9 of this Act at the time when the conduct to which the complaint . . . relates took place.

(2A) References in this Schedule to a manager or employee of a recognised body, or to an employee in a recognised sole solicitor’s practice, in relation to a complaint (other than such a complaint as is mentioned in paragraph 16(1A)(a)), include references to a person who was such a manager or employee at the time when the conduct to which the complaint relates took place.

(2B) In this Schedule references to employment in a recognised sole solicitor’s practice have the same meaning as in section 9.

(3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(4) In section 87(1) of the 1974 Act the definitions of “client”, “contentious business” and “non-contentious business” shall apply for the purposes of this Schedule; and for the purposes of—

(a) any provision of this Schedule in so far as it has effect in relation to a recognised body ; and

(b) any provision of the 1974 Act in so far as it has effect in relation to a recognised body by virtue of this Schedule,

they shall apply as if for any reference to a solicitor there were substituted a reference to a recognised body . . . .

(5) Subject to sub-paragraphs sub-paragraphs (4) and (6), any expression used in this Schedule which is also used in the 1974 Act has the same meaning as in that Act.

(6) In this Schedule—

“manager”, in relation to a body, has the same meaning as in the Legal Services Act 2007 (see section 207 of that Act);

“registered European lawyer” has the same meaning as in section 9A;

“the 1974 Act” means the Solicitors Act 1974.

Appeal against refusal of Society to grant recognition etc

2

(1) A body may appeal to the High Court against—

(a) a decision to refuse an application by the body for recognition under section 9;

(b) a decision to impose a condition under subsection (2F) of that section on the body's recognition under that section;

(1A) A sole solicitor may appeal to the High Court against—

(a) a decision to refuse an application for recognition of the solicitor’s practice under section 9;

(b) a decision to impose a condition under subsection (2F) of that section on the recognition of the solicitor’s practice under that section; and

(c) a decision to impose a condition under subsection (2G) of that section on the recognition of the solicitor’s practice under that section.

(2) A recognised body whose recognition is subject to a condition within section 9(2H)(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.

(2A) Where the recognition of a recognised sole solicitor’s practice is subject to a condition within section 9(2H)(b), the sole solicitor 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) Rules made by the Society may make provision, as respects any application for recognition 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 paragraph in relation to the application as if it had been refused by the Society.

(4) On an appeal under sub-paragraph (1)(a) or (b) or (1A)(a) or (b) , the High Court may—

(a) affirm the decision of the Society,

(b) direct the Society to grant the body or sole solicitor’s practice recognition under section 9 free from conditions or subject to such conditions as the High Court may think fit,

(d) if the Society has recognised the body or sole solicitor’s practice , by order suspend the recognition, or

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

(5) On an appeal under sub-paragraph (1)(c) or (1A)(c) , the High Court may—

(a) affirm the decision of the Society,

(b) direct that the ... recognition under section 9 is to have effect subject to such conditions as the High Court may think fit,

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

(6) On an appeal under sub-paragraph (2) or (2A) , 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 9(2H)(b), or

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

(8) The decision of the High Court on an appeal under this paragraph is final.

Accounts rules

3

(1) This paragraph applies where rules made under section 32(1) of the 1974 Act are applied—

(a) to recognised bodies in accordance with section 9(2)(f) of this Act, or

(b) to managers or employees of such bodies in accordance with section 9(2)(fb) of this Act.

(2) The Society may disclose a report on or information about the accounts of a recognised body, or a manager or employee of a recognised body, obtained in pursuance of such rules for use—

(a) in investigating the possible commission of an offence by the body or any of its managers or employees, and

(b) in connection with any prosecution of the body or any of its managers or employees consequent on the investigation.

Interest on clients’ money

4

(1) Where rules made under section 32 of the 1974 Act and containing any such provision as is referred to in section 33(1) of that Act are applied to recognised bodies in accordance with section 9(2)(f) of this Act, then, except as provided by the rules , a recognised body is not liable to account to any client, other person or trust for interest received by the recognised body on money held at a bank or building society in an account which is for money received or held for, or on account of—

(a) clients of the recognised body, other persons or trusts, generally, or

(b) that client, person or trust separately.

(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Accountants’ reports

5

Where rules made under section 34 of the 1974 Act are applied to recognised bodies in accordance with section 9(2)(f), section 34(9) and (10) of that Act apply in relation to a recognised body as they apply in relation to a solicitor.

Compensation Fund

6

(1) Section 36 of the 1974 Act applies in relation to recognised bodies as if for paragraphs (a) and (b) of subsection (1) there were substituted—

(a) an act or omission of a recognised body or former recognised body; (b) an act or omission of a manager or employee, or former manager or employee, of a recognised body or former recognised body;

(2) Section 36A(2) and (3) of the 1974 Act applies in relation to recognised bodies as it applies in relation to solicitors.

Solicitor who is justice of the peace not to act in certain proceedings

7

In section 38 of the 1974 Act references to any partner of a solicitor shall be construed, in relation to a solicitor who is a manager of a recognised body, as references to any other solicitor who is a manager of that body.

Prohibition on acting as agent for unqualified person

8

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Restriction on employment of person struck off roll or suspended

9

(1) Section 41 of the 1974 Act (except subsection (4)) shall apply to a recognised body (and any manager or employee of it) and its business as such as it applies to a solicitor and his practice as such.

(2) No recognised body (or manager or employee of such a body) may, except in accordance with a written permission granted by the Society under this paragraph, permit a person to whom sub-paragraph (3) applies to—

(a) be a manager of the body, or

(b) have an interest in the body;

and for this purpose a person has an interest in the body if he has an interest in the body within the meaning of Part 5 of the Legal Services Act 2007 (see sections 72 and 109 of that Act).

(3) This sub-paragraph applies to a person who to the knowledge of the recognised body (or, as the case may be, the manager or employee) is a person—

(a) who is disqualified from practising as a solicitor by reason of one of the facts mentioned in section 41(1)(a), (b) or (c) of the 1974 Act (name struck off the roll, suspension etc), or

(b) in respect of whom there is a direction in force under section 47(2)(g) of that Act (prohibition on restoration to roll).

(4) Permission granted for the purposes of sub-paragraph (2) may be granted for such period and subject to such conditions as the Society thinks fit.

(5) A person aggrieved by the refusal of the Society to grant permission under sub-paragraph (4), or by any conditions attached by the Society to the grant of any such permission may appeal to the High Court which may—

(a) confirm the refusal or the conditions, as the case may be, or

(b) grant a permission under this paragraph for such period and subject to such conditions as it thinks fit.

(6) In relation to an appeal under sub-paragraph (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 sub-paragraph (5) is final.

Failure to disclose fact of having been struck off or suspended

10

(1) Section 42(1) and (1A) of the 1974 Act shall apply in relation to employment by a recognised body (or any manager or employee of such a body) in connection with its business as it applies in relation to employment by a solicitor in connection with his practice.

(2) It is an offence for a person (“P”) to whom sub-paragraph (3) applies—

(a) to seek or accept from any person an interest in a recognised body, without previously informing that person (and, if different, the recognised body) that P is a person to whom that sub-paragraph applies, or

(b) to seek or accept a position as a manager of a recognised body, without previously informing that body that P is such a person.

(3) This sub-paragraph applies to a person—

(a) who is disqualified from practising as a solicitor by reason of one of the facts mentioned in section 41(1)(a), (b) or (c) of the 1974 Act (name struck off the roll, suspension etc), or

(b) in respect of whom there is a direction in force under section 47(2)(g) of that Act (prohibition on restoration to roll).

(4) A person guilty of an offence under sub-paragraph (2) is liable on summary conviction to a fine not exceeding level 3 on the standard scale.

(5) Subsection (2) of section 42 of the 1974 Act applies in relation to an offence under sub-paragraph (2) as it applies in relation to an offence under that section.

(6) For the purposes of sub-paragraph (2)(a) a person seeks or accepts an interest in a recognised body if the person seeks or accepts an interest which if it were obtained by the person would result in the person having an interest in that body within the meaning of Part 5 of the Legal Services Act 2007 (see sections 72 and 109 of that Act).

Control of employment of persons convicted of offences of dishonesty and certain other persons

11

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Offences in connection with orders under section 43(2) of the 1974 Act

12

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Powers of Council in respect of inadequate professional services

13

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

information about suitatbility for recognition

14

(1) The Society may give a notice under this paragraph if it is satisfied that it is necessary to do so for the purpose of investigating whether—

(a) a recognised body continues to be suitable to be recognised under section 9, or

(b) a manager of a recognised body who is not legally qualified (within the meaning of section 9A) continues to be suitable to be a manager of a recognised body.

(2) A notice under this paragraph is a notice which requires a person within sub-paragraph (3)—

(a) to provide information, or information of a description, specified in the notice, or

(b) to produce documents, or documents of a description, specified in the notice.

(3) The persons are—

(a) the recognised body;

(b) an employee or manager of the recognised body;

(c) a person who has an interest in the recognised body (within the meaning of the Legal Services Act 2007 (see sections 72 and 109 of that Act)).

(4) For the purposes of this paragraph, section 44B(4) to (7) of the 1974 Act applies—

(a) in relation to a notice under this paragraph as if it were a notice under section 44B of that Act, and

(b) in relation to a person given a notice under this paragraph as if that person were a person given a notice under that section,

and references in subsections (6) and (7) of that section to powers conferred by that section are to be read as references to powers conferred by this paragraph.

(5) Where powers conferred by Part 2 of Schedule 1 to the 1974 Act are exercisable in relation to a person within paragraph (a), (b) or (c) of sub-paragraph (3), they continue to be so exercisable after the person has ceased to be a person within the paragraph in question.

(6) Section 44BA of the 1974 Act (power to require explanation of document or information) applies in relation to a notice under this paragraph and the person to whom such a notice is given as it applies in relation to a notice under section 44B of the 1974 Act and the person to whom such a notice is given.

(7) Subsection (1) of section 44BC of that Act (falsification of documents etc) applies in relation to an investigation of the kind mentioned in sub-paragraph (1) as it applies in relation to the investigations mentioned in that subsection, and subsections (2), (4) and (5) of that section apply accordingly.

(8) Subsection (3) of that section (provision of false information etc) applies in relation to a requirement imposed under this paragraph as it applies in relation to a requirement imposed by section 44B of that Act, and subsections (4) and (5) of that section apply accordingly.

Lay observers

15

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Complaints to Tribunal with respect to recognised bodies and recognised sole solicitor’s practice,

16

(1) The Tribunal shall have jurisdiction to hear and determine any of the following complaints made to it under this paragraph with respect to a recognised body, namely—

(a) a complaint that the body has (while a recognised body) been convicted by any court . . . of a criminal offence which renders it unsuitable to be recognised under section 9 of this Act;

(b) a complaint that the body has failed to comply with any requirement imposed by or by virtue of this Act or with any rules applicable to it by virtue of section 9 of this Act;

(c) a complaint that the body has acted in contravention of section 41 of the 1974 Act or paragraph 9(2) of this Schedule or of any conditions subject to which a permission has been granted under section 41 of that Act or that paragraph of this Schedule; or

(d) a complaint that the body has knowingly acted in contravention of any such order as is mentioned in section 44(2) of the 1974 Act or of any conditions subject to which a permission has been granted under such an order.

(1A) The Tribunal shall have jurisdiction to hear and determine any of the following complaints made to it under this paragraph with respect to a manager or employee of a recognised body (“the relevant person”)—

(a) a complaint that the relevant person has been convicted by any court of a criminal offence which renders that person unsuitable to be a manager or employee (or both) of a recognised body;

(b) a complaint that the relevant person has failed to comply with any requirement imposed by or by virtue of this Act or any rules applicable to the relevant person by virtue of section 9 of this Act;

(c) a complaint that the relevant person has acted in contravention of section 41 of the 1974 Act or paragraph 9(2) of this Schedule or of any conditions subject to which a permission has been granted under that section or for the purposes of paragraph 9(2) of this Schedule;

(d) a complaint that the relevant person has knowingly acted in contravention of an order under section 43(2) of the 1974 Act or of any conditions subject to which a permission has been granted under such an order.

(1B) The Tribunal has jurisdiction to hear and determine any of the following complaints made to it under this paragraph with respect to the sole solicitor, or an employee, in a recognised sole solicitor’s practice (“the relevant person”)—

(a) a complaint that the relevant person has been convicted by any court of a criminal offence which renders that person unsuitable to be the sole solicitor, or an employee, in a recognised sole solicitor’s practice (or both);

(b) a complaint that the relevant person has failed to comply with any requirement imposed by or by virtue of this Act or any rules applicable to the relevant person by virtue of section 9 of this Act.

(2) A complaint may be made to the Tribunal under this paragraph by any person.

Procedure on applications and complaints

17

In subsections (9) to (11) of section 46 of the 1974 Act—

(a) any reference to an application or complaint shall be construed as including a reference to any such application as is mentioned in paragraph . . . 21(1) or any such complaint as is mentioned in paragraph ... 16(1) , (1A) or (1B) ;

(b) any reference to an application or complaint made under that Act shall be construed as including a reference to any such application or complaint as aforesaid made under this Schedule; and

(c) in the case of subsection (10)(c), any reference to a solicitor shall be construed as including a reference to a recognised body or, in the case of such a complaint as is mentioned in paragraph 16(1A) or (1B) , to a manager or employee of such a body or (as the case may be) to an employee in a recognised sole solicitor’s practice .

Powers of Tribunal with respect to recognised bodies

18

(1) Where on the hearing of any complaint made to it under this Schedule (other than paragraph 16(1A) the Tribunal is satisfied that a recognised body—

(a) has been convicted as mentioned in paragraph (a) of paragraph 16(1); or

(b) has failed to comply with any requirement imposed by or by virtue of this Act or with any such rules as are mentioned in paragraph (b) of paragraph 16(1); or

(d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

the Tribunal may, if it thinks fit, make one or more of the orders referred to in sub-paragraph (2).

(2) Those orders are—

(a) an order revoking the recognition under section 9 of this Act of the body to which the complaint relates;

(b) an order directing the payment by that body of a penalty . . . , to be forfeited to Her Majesty;

(c) an order requiring that body to pay the costs incurred in bringing against it the proceedings before the Tribunal or a contribution towards those costs, being a contribution of such amount as the Tribunal considers reasonable.

(2A) Where, on the hearing of any application or complaint made to it under this Schedule, the Tribunal is satisfied that more than one allegation is proved against the recognised body to whom the application or complaint relates, it may impose a separate penalty (by virtue of sub-paragraph (2)(b) ) with respect of each such allegation.

(3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Powers of Tribunal in respect of inadequate professional services

19

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Powers of Tribunal in respect of legal aid complaints

20

(1) Where the Tribunal makes any such order as is referred to in subsection (2A) of section 47 of the 1974 Act in the case of a solicitor who is a manager or employee of a recognised body, the Tribunal may, if it thinks fit, order that any solicitor who is for the time being a manager of that body shall be excluded (either permanently or for a specified period) from criminal legal aid work (as defined in that section) .

(1A) Where the Tribunal makes any such order as is referred to in section 47(2A) of the 1974 Act in the case of a solicitor who is an employee in a recognised sole solicitor’s practice, the Tribunal may, if it thinks fit, order that any solicitor who is for the time being the sole solicitor in that practice shall be excluded (either permanently or for a specified period) from criminal legal aid work (as defined in that section).

(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Revocation of recognition by reason of default by director

21

(1) Where—

(a) any order is made by the Tribunal under section 47 of the 1974 Act in the case of a manager of a recognised body or of the sole solicitor in a recognised sole solicitor’s practice ; or

(b) an order is made by the High Court or the Court of Appeal that the name of a manager of a recognised body , or of the sole solicitor in a recognised sole solicitor’s practice, be struck off the roll or that such a manager or sole solicitor be suspended from practice as a solicitor; or

(c) any such order as is mentioned in paragraph (a) or (b) is made in the case of a person employed by a recognised body and the act or omission constituting the ground on which the order was made was instigated or connived at by a manager of the recognised body or, if the act or omission was a continuing act or omission, a manager of the body had or reasonably ought to have had knowledge of its continuance, or

(d) any such order as is mentioned in paragraph (a) or (b) is made in the case of a person employed in a recognised sole solicitor’s practice and the act or omission constituting the ground on which the order was made was instigated or connived at by the sole solicitor, or, if the act or omission was a continuing act or omission, the sole solicitor had or reasonably ought to have had knowledge of its continuance,

the Tribunal may, on an application made with respect to the recognised body or the recognised sole solicitor’s practice by or on behalf of the Society, by order revoke its recognition under section 9 of this Act.

(2) The Tribunal shall not take a case into consideration during any period within which proceedings by way of appeal may be brought which may result in sub-paragraph (1) being rendered inapplicable in that case, or while any such proceedings are pending.

(3) Any reference to a manager of a recognised body , or to a sole solicitor in a recognised sole solicitor’s practice, in any of paragraphs (a) to (c) of sub-paragraph (1) includes a reference to a person who was a manager of the body , or the sole solicitor in the practice, at the time of the conduct leading to the making of the order referred to in that paragraph.

(4) The reference in paragraph (c) of sub-paragraph (1) to a person employed by a recognised body , or in a sole solicitor’s practice, includes a reference to a person who was so employed at the time of the conduct leading to the making of the order referred to in that paragraph.

Costs: general modification of provisions of Part III of 1974 Act

22

(1) In the provisions to which this paragraph applies—

(a) any reference to a solicitor or to a client of a solicitor shall be construed as including a reference to a recognised body or to a client of such a body; and

(b) any reference to a client’s solicitor shall be construed as including a reference to any recognised body acting for a client.

(2) This paragraph applies to the following provisions of the 1974 Act (which relate to the remuneration of solicitors in respect of contentious and non-contentious business), namely—

section 56 (except subsections (1)(e) and (5));

sections 57 to 59;

section 60 (except subsection (5));

sections 61 and 62;

sections 64 and 65;

section 67;

section 69(1); and

sections 70 to 74.

Orders as to remuneration for non-contentious business

23

(1) In relation to an order under section 56 of the 1974 Act prescribing (by virtue of paragraph 22) general principles to be applied when determining the remuneration of recognised bodies in respect of non-contentious business, subsection (5) of that section shall have effect as if—

(a) in paragraph (a), for “the solicitor” there were substituted “the recognised body”; and

(b) in paragraph (d), the reference to the solicitor or any employee of the solicitor who is an authorised person were a reference to any manager or employee of the recognised body who is an authorised person.

(2) In this paragraph “authorised person” means a person who is an authorised person in relation to an activity which is a reserved legal activity, within the meaning of the Legal Services Act 2007 (see section 18 of that Act).

Effect of contentious business agreements

24

(1) This paragraph applies in relation to a contentious business agreement made between a recognised body and a client.

(2) A provision in the agreement that the body shall not be liable for the negligence of any of its managers or employees shall be void if the client is a natural person who, in entering that agreement, is acting for purposes which are outside his trade, business or profession.

(3) A provision in the agreement that the body shall be relieved from any responsibility to which it would otherwise be subject in the course of carrying on its business as a recognised body shall be void.

(4) A provision in the agreement that any manager of the body shall be relieved from any responsibility to which the manager would otherwise be subject in the course of the carrying on by the body of its business as a recognised body shall be void.

Effect on contentious business agreement of supervening incapacity of recognised body to act for client

25

(1) If, after some business has been done under a contentious business agreement made between a recognised body and a client but before the body has wholly performed it, the body ceases to be capable of wholly performing it by reason of one of the following events, namely—

(a) the body ceases (for any reason) to be a recognised body;

(b) a relevant insolvency event occurs in relation to the body;

(c) the client terminates the retainer or employment of the body in favour of another recognised body or a solicitor (as, notwithstanding the agreement, he shall be entitled to do),

any party to, or the representative of any party to, the agreement may apply to the court, and the court shall have the same jurisdiction as to enforcing the agreement so far as it has been performed, or setting it aside, as the court would have had if the recognised body were still capable of wholly performing it.

(2) The court, notwithstanding that it is of the opinion that the agreement is in all respects fair and reasonable, may order the amount due in respect of business under the agreement to be ascertained by assessment, and in that case—

(a) the costs officer, in ascertaining that amount, shall have regard so far as may be to the terms of the agreement; and

(b) payment of the amount found by him to be due may be enforced in the same manner as if the agreement had been wholly performed.

(3) If in such a case as is mentioned in sub-paragraph (1)(c) an order is made for the assessment of the amount due to the recognised body in respect of the business done under the agreement, the court shall direct the costs officer to have regard to the circumstances under which the termination of the body’s retainer or employment has taken place, and the costs officer, unless he is of the opinion that there has been no default, negligence, improper delay or other conduct on the part of any manager or employee of the body affording the client reasonable ground for terminating its retainer or employment, shall not allow to the body the full amount of the remuneration agreed to be paid to it.

(4) For the purposes of this paragraph a relevant insolvency event occurs in relation to a recognised body if—

(a) a resolution for a voluntary winding-up of the body is passed without a declaration of solvency under section 89 of the Insolvency Act 1986;

(b) the body enters administration within the meaning of paragraph 1(2)(b) of Schedule B1 to that Act;

(d) a winding up becomes a creditors’ voluntary winding up under section 96 of that Act (conversion to creditors’ voluntary winding up);

(e) an order for the winding up of the body is made.

Assessments with respect to contentious business

26

(1) Subject to the provisions of any rules of court, on every assessment of costs in respect of any contentious business done by a recognised body, the costs officer may—

(a) allow interest at such rate and from such time as he thinks just on money disbursed by the body for the client, and on money of the client in the possession of, and improperly retained by, the body or any manager or employee of the body; and

(b) in determining the remuneration of the body, have regard to the skill, labour and responsibility on the part of any authorised person, being a manager or employee of the body, which the business involved.

(2) In this paragraph “authorised person” means an authorised person, in relation to an activity which is a reserved legal activity, within the meaning of the Legal Services Act 2007.

Power of court to order delivery of bill of costs, etc.

27

Any jurisdiction—

(a) of the High Court to make any such orders as are referred to in subsection (1) of section 68 of the 1974 Act in relation to a solicitor (whether or not business has been done by him in the High Court); or

(b) of the county court or the family court to make any such orders as are referred to in subsection (2) of that section in relation to a solicitor,

shall be exercisable in like manner in relation to a recognised body.

Power of court to order recognised body to pay over clients’ money

28

Any jurisdiction of the High Court to make, in the case of a solicitor who is acting or has acted as such for a client, an order requiring the payment or delivery up of, or otherwise relating to, money or securities which the solicitor has in his possession or control on behalf of the client shall be exercisable in like manner in the case of a recognised body which is acting or has acted as such for a client or any manager or employee of such a body.

Actions to recover costs

29

(1) Subsection (2A) of section 69 of the 1974 Act shall have effect in relation to a bill of costs delivered by a recognised body as if for paragraphs (a) and (b) there were substituted—

(a) signed on behalf of the recognised body by any manager or employee of the body authorised by it to do so, or (b) enclosed in, or accompanied by, a letter which is so signed and refers to the bill.

(2) Subsection (2E) of that section shall have effect in relation to such a bill as if for “the solicitor” there were substituted “ the recognised body ”.

Power of Society to inspect files relating to certain proceedings

30

Section 83 of the 1974 Act shall apply in relation to proceedings which have been brought with respect to a recognised body for any of the following purposes, namely—

(a) for the winding-up of the body;

(b) for the appointment of an administrative receiver within the meaning of section 251 of the Insolvency Act 1986; or

as it applies in relation to proceedings in bankruptcy which have been taken against a solicitor.

Bank accounts

31

Where rules made under section 32(1) . . . of the 1974 Act are applied to recognised bodies in accordance with section 9(2)(f) of this Act, section 85 of the 1974 Act shall apply in relation to a recognised body which keeps an account with a bank or building society in pursuance of any such rules as it applies in relation to a solicitor who keeps such an account in pursuance of rules under section 32.

Intervention by Society

32

(1) Subject to sub-paragraph (2), where—

(a) the Society is satisfied that a recognised body or a manager of such a body has failed to comply with any rules applicable to the body or manager by virtue of section 9 of this Act; or

(b) a person has been appointed receiver or manager of property of a recognised body; or

(d) the Society has reason to suspect dishonesty on the part of any manager or employee of a recognised body in connection with

(i) that body's business,

(ii) any trust of which that body is or was a trustee,

(iii) any trust of which the manager or employee is or was a trustee in his capacity as such a manager or employee, or

(iv) the business of another body in which the manager or employee is or was a manager or employee or the practice (or former practice) of the manager or employee; or

(da) the Society considers that there has been undue delay on the part of the personal representatives of a deceased solicitor who immediately before death was practising as the sole principal of a recognised body in connection with the recognised body’s business or in connection with any trust; or

(db) the Society is satisfied that a solicitor practising as the sole principal of a recognised body is incapacitated by illness, injury or accident to such an extent as to be unable to attend to the solicitor’s practice or to the recognised body’s business; or

(e) the Society is satisfied that it is necessary to exercise the powers conferred by Part 2 of Schedule 1 to the 1974 Act (or any of them) in relation to a recognised body to protect—

(i) the interests of clients (or former or potential clients) of the recognised body,

(ii) the interests of the beneficiaries of any trust of which the recognised body is or was a trustee, or

(iii) the interests of the beneficiaries of any trust of which a person who is or was a manager or employee of the recognised body is or was a trustee in that person's capacity as such a manager or employee;

the powers conferred by Part II of Schedule 1 to the 1975 Act shall be exercisable in relation to the recognised body and its business in like manner as they are exercisable in relation to a solicitor and his practice.

(1A) For the purposes of this paragraph a relevant insolvency event occurs in relation to a recognised body if—

(a) a resolution for a voluntary winding-up of the body is passed without a declaration of solvency under section 89 of the Insolvency Act 1986;

(b) the body enters administration within the meaning of paragraph 1(2)(b) of Schedule B1 to that Act;

(d) a meeting of creditors is held in relation to the body under section 95 of that Act (creditors' meeting which has the effect of converting a members' voluntary winding up into a creditors' voluntary winding up);

(e) an order for the winding up of the body is made.

(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

33

The powers conferred by Part II of Schedule 1 to the 1974 Act shall also be exercisable as mentioned in paragraph 32(1) of this Schedule where—

(a) the Society is satisfied that there has been undue delay—

(i) on the part of a recognised body in connection with any matter in which it is or was acting on behalf of a client or with any trust of which it is or was a trustee, or

(ii) on the part of a person who is or was a manager or employee of a recognised body in connection with any trust of which the manager or employee is or was a trustee in his capacity as such a manager or employee;

(b) the Society by notice in writing invites the body to give an explanation within such period following the giving of the notice as may be specified in it, being a period of not less than eight days; and

(d) the Society gives notice of the failure to the body and (at the same or any later time) notice that the powers conferred by Part II of Schedule 1 to the 1974 Act are accordingly exercisable in its case by virtue of this paragraph.

34

(1) Where the recognition of a body . . . under section 9 of this Act—

(a) has been revoked in accordance with rules under that section or by an order of the Tribunal under this Schedule; or

(b) has expired and no further recognition of that body has been granted under that section,

the powers conferred by Part II of Schedule 1 to the 1974 Act shall be exercisable in relation to the body . . . and its former business as a recognised body as they are exercisable in relation to a solicitor and his practice.

(2) Where the powers conferred by Part II of Schedule 1 to the 1974 Act are exercisable in relation to a recognised body in accordance with paragraph 32 or 33 of this Schedule they shall continue to be so exercisable after that body’s recognition under section 9 of this Act has been revoked or has otherwise ceased to be in force.

35

In connection with the application of Part II of Schedule 1 to the 1974 Act for the purposes of this Schedule, in that Part of that Schedule—

(a) any reference to the solicitor or to his practice shall be construed as including a reference to the body . . . in relation to which the powers conferred by that Part of that Schedule are exercisable by virtue of paragraph 32, 32A, 33 or 34(1) of this Schedule or to its business (or former business) as a recognised body;

(b) any reference to paragraph 1 of that Schedule shall be construed as including a reference to paragraph 32 or 34(1) of this Schedule; . . .

(ba) any reference to paragraph 2 of that Schedule shall be construed as including a reference to paragraph 32A of this Schedule;

(c) any reference to paragraph 3 of that Schedule shall be construed as including a reference to paragraph 33 of this Schedule.

(d) paragraph 6(2)(a) of that Schedule is to be construed as including a reference to sums of money held by or on behalf of the recognised body in connection with any trust of which a person who is or was a manager of the recognised body is or was a trustee in his capacity as such a manager;

(e) paragraph 9 of that Schedule is to be construed—

(i) as if sub-paragraph (1) included a reference to documents in the possession or under the control of the recognised body in connection with any trust of which a person who is or was a manager or employee of the recognised body is or was a trustee in his capacity as such a manager or employee, and

(ii) as applying to such a manager or employee and documents and property in his possession or under his control in connection with such a trust as it applies to a solicitor and documents and property in the possession or under the control of the solicitor;

(f) paragraph 11(1) of that Schedule is to be construed as including a power for the Society to apply to the High Court for an order for the appointment of a new trustee to a trust in substitution for a person who is a trustee, in his capacity as a manager or employee of the recognised body; and

(g) paragraph 13A of that Schedule is to be read as if the references to a former partner were references—

(i) in the case of a recognised body which is a partnership, to a former partner in the partnership, and

(ii) in any other case to a manager or former manager of the recognised body.

Privilege from disclosure etc.

36

(1) Where a recognised body acts as such for a client, any communication, document, material or information is privileged from disclosure in like manner as if the recognised body had at all material times been a solicitor acting for the client.

(2) Any enactment or instrument making special provision in relation to a solicitor or other legal representative as to the disclosure of information, or as to the production, seizure or removal of documents, with respect to which a claim to professional privilege could be maintained shall, with any necessary modifications, have effect in relation to a recognised body as it has effect in relation to a solicitor.

(3) In ... sections 748(4), 749 and 771(5) and (6) and 788(5) and (6) of the Income Tax Act 2007 and section 832(5) and (6) of the Corporation Tax Act 2010 any reference to a solicitor’s client shall, in relation to a solicitor who is a manager or employee of a recognised body, be construed as a reference to a client of that body.

(4) This paragraph does not apply to a recognised body which holds a licence under Part 5 of the Legal Services Act 2007 (alternative business structures).

Modification of enactments relating to conveyancing etc.

37

In the following provisions, namely—

(a) sections 10(2), 48 and 182 of the Law of Property Act 1925;

(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(d) section 13 of the Local Land Charges Act 1975; . . .

(e) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

any reference to a solicitor shall be construed as including a reference to a recognised body, and any reference to a person’s solicitor shall be construed as including a reference to a recognised body acting for that person.

SCHEDULE 3

Status

1

The Council shall be a body corporate.

Constitution

2

(1) The Council shall consist of—

(a) not more than ten persons who are—

(i) licensed conveyancers; ...

(ia) licensed CLC practitioners; or

(ii) other persons practising as authorised persons in the course of a business which is carried on either by a recognised body or by a licensed body which holds a licence granted by the Council ; and

(b) not more than eleven persons who are lay persons,

being persons appointed as members of the Council in accordance with a scheme under paragraph 4.

(2) The Council shall in accordance with any such scheme appoint one of its members to be chairman of the Council.

(3) In sub-paragraph (1)—

“authorised person” has the meaning given by section 32A;

“lay person” has the same meaning as in Schedule 1 to the Legal Services Act 2007 (see paragraph 2 of that Schedule).

“licensed body” has the same meaning as in the Legal Services Act 2007 (see section 71).

3

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

4

(1) The Council shall prepare a scheme making provision as to—

(a) the appointment of persons for the purposes of paragraphs (a) and (b) of paragraph 2(1);

(b) the appointment of a person as chairman under paragraph 2(2); and

(2) A scheme under this paragraph shall secure that (except during any casual vacancy) the total number of persons appointed for the purposes of paragraph (b) of paragraph 2(1) exceeds ... the total number of persons appointed for the purposes of paragraph (a) of that provision.

(3) A scheme under this paragraph shall not come into force until it has been approved by the Legal Services Board.

(4) The Legal Services Board may approve a scheme under this paragraph either as submitted to it or subject to such modifications as it thinks fit; but where the Legal Services Board proposes to approve a scheme subject to modifications it shall notify the modifications to the Council and consider any observations of the Council on them.

(5) A scheme under this paragraph may be varied or revoked by any subsequent such scheme.

Remuneration of members

5

The Council shall have power to pay to the members of the Council or any of its committees such fees for attendance and such travelling, subsistence or other allowances as the Council may determine.

Incidental powers

6

The Council shall have power to do anything which in its opinion is calculated to facilitate the proper discharge of its functions, including the borrowing of money.

Officers and staff

7

(1) The Council shall have power to appoint such officers and servants as it may determine.

(2) The Council shall pay to its officers and servants such remuneration as it may determine.

(3) The Council shall, as regards any officers or servants in whose case it may determine to do so, pay to or in respect of them such pensions, allowances or gratuities, or provide and maintain for them such schemes (whether contributory or not) for the payment to or in respect of them of such pensions, allowances or gratuities, as it may determine.

Committees of the Council

8

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Proceedings

9

(1) The powers of the Council and of any of its committees may be exercised notwithstanding any vacancy, and no proceedings of the Council or of any of its committees shall be invalidated by any defect in the appointment of a member.

(2) The Council may make standing orders for regulating the proceedings (including quorum) of the Council and of any of its committees other than the Discipline and Appeals Committee established under section 25.

Expenses of Council

10

(1) The expenses incurred by the Council in the discharge of its functions shall be defrayed out of sums received by it in respect of fees and out of any sums received by it by virtue of sub-paragraph (2).

(2) The Lord Chancellor may make grants to the Council towards meeting the expenses incurred, or to be incurred, by it in the discharge of its functions.

(3) Any sums required by the Lord Chancellor for making grants under sub-paragraph (2) shall be paid out of money provided by Parliament.

Accounts

11

(1) The Council shall keep proper accounts of all sums received or paid by it and proper records in relation to those accounts.

(2) The Council shall appoint auditors to the Council, each of whom shall be eligible for appointment as a statutory auditor under Part 42 of the Companies Act 2006.

(3) The Council shall cause their accounts to be audited annually by the auditors to the Council; and, as soon as is practicable after the accounts for any period have been audited, the Council shall cause them to be published and shall send a copy of them to the Lord Chancellor together with a copy of any report of the auditors thereon.

SCHEDULE 4

Rules of procedure

1

(1) The Council shall make rules about the procedure and practice to be followed in relation to proceedings before the Discipline and Appeals Committee under this Part.

(2) As respects proceedings before the Committee under section 26, rules under this paragraph shall in particular make provision—

(a) for securing that, where proceedings are to be brought against any person, notice that the proceedings are to be brought shall be given to that person at such time and in such manner as may be specified in the rules;

(b) for securing that any party to the proceedings shall, if he so requires, be entitled to be heard by the Committee;

(c) for enabling any party to the proceedings to be represented by counsel or solicitor, or (if the rules so provide and the party so elects) by a person of such other description as may be specified in the rules;

(d) for requiring proceedings before the Committee to be held in public so far as may be provided by the rules.

(3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(5) In this paragraph and paragraph 2“party”, in relation to any proceedings, means—

(a) the person against whom the proceedings are brought;

(b) a person on whose complaint the proceedings are brought; or

Evidence etc.

2

(1) For the purposes of any proceedings before the Discipline and Appeals Committee under section 26—

(a) the Committee may administer oaths; and

(b) any party to the proceedings may sue out writs of subpoena ad testificandum and of subpoena duces tecum;

but no person shall be compelled under any such writ to produce any document which he could not be compelled to produce on the trial of an action.

(2) Section 36 of the Senior Courts Act 1981(subpoena issued by High Court to run through United Kingdom) shall apply in relation to any such proceedings before the Committee as it applies in relation to causes or matters in the High Court.

(3) Paragraph 1(5) applies for the purposes of this paragraph.

3

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Filing of orders of Committee

4

(1) Every order of the Discipline and Appeals Committee under this Part shall be filed with the Council, together with a statement of the Committee’s findings signed by the chairman or by some other member of the Committee authorised by him for the purpose.

(2) Any file kept by the Council under this paragraph may be inspected during office hours without payment.

(3) An order which has been filed shall be treated, for the purpose of enforcement, as if it had been made by the High Court.

SCHEDULE 5

Part I — Circumstances in which Council may Intervene

1

(1) Subject to sub-paragraph (2), the powers conferred by Part II of this Schedule shall be exercisable where—

(a) the Council has reason to suspect dishonesty on the part of—

(i) a licensed conveyancer, or

(ii) an employee or associate of a licensed conveyancer, or

(iii) the personal representatives of a deceased licensed conveyancer,

in connection with that licensed conveyancer’s practice or former practice or in connection with any trust of which that licensed conveyancer is or was a trustee;

(aa) the Council has reason to suspect dishonesty on the part of a licensed conveyancer (“L”) in connection with—

(i) the business of any person of whom L is or was an employee, or of any body of which L is or was a manager, or

(ii) any business which is or was carried on by L as a sole trader;

(b) following the death of a licensed conveyancer who, immediately before his death was practising as a sole practitioner, the Council considers that there has been undue delay on the part of the personal representatives of that person in connection with his practice or in connection with any trust;

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