SLAS voices opposition to alternative business structures in Scotland

SLAS voices opposition to alternative business structures in Scotland

The Scottish Law Agents’ Society (SLAS) has expressed its opposition to alternative business structures (ABS) ahead of the Law Society of Scotland’s AGM this week.

SLAS debated a motion by Michael Sheridan that the society should call upon the Scottish Parliament and Scottish government to exclude section 80 from the Regulation of Legal Services (Scotland) Bill 2023 and also to repeal sections 47, 48 and 49 of the Legal Services (Scotland) Act 2010 Act and to make such other statutory amendments as may be required to exclude the operation of ABS in Scotland.

The three sections of the 2010 Act – licensed providers, eligibility criteria and majority ownership respectively – all concern ABS, and section 80 of the bill has the effect of reducing from 51 per cent to a mere 10 per cent the percentage of solicitor ownership required in an ABS.

The AGM heard speakers raise concern about ABS related problems that the Solicitors Regulation Authority has encountered in England. It was noted also that SLAS has consistently opposed ABS on the grounds of its jeopardising the independence of the profession to the detriment of the public interest and creating hazards that have been identified by bar associations and regulators across the world, including in the USA.

A vote took place on the motion and it was passed by an overwhelming majority of attendees.

A motion in similar terms has been forwarded by Mr Sheridan to the Law Society of Scotland in time for its AGM this Thursday. SLAS said it hopes that the motion will be similarly successful at that meeting.

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