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The Solicitors Regulation Authority is unlikely to relax its rules on allowing firms to enter into deals with other businesses in advance of the licensing of alternative business structures, a paper prepared by the regulator has indicated.
The paper, which will be discussed by the SRA board at its next board meeting, suggests that the profession would be ‘confused' if ‘the clarity of the message in the [SRA's] guidance of July 2009 is watered down in any way'.
It adds that ‘a bright-line position is clearer for the regulated community and for the public'.
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The Solicitors Regulation Authority has visited 88 firms in the assigned risks pool (ARP) since July, as part of its tougher enforcement strategy to clamp down on ‘financially unstable' firms in the pool.
The regulator announced a new enforcement regime in July designed to address the problem of unpaid ARP premiums. Firms that do not pay their premiums will face expulsion from the pool and be forced to cease trading.
The latest figures show that there are currently 214 firms in the ARP, of which 94 still have some outstanding premiums.
A Danish insurance company has entered the solicitors professional indemnity insurance (PII) market to provide cover to small and medium-sized law firms, as the 1 October renewals deadline approaches.
Copenhagen-based Alpha Insurance A/S will issue PII policies for firms of between one and 25 partners, in conjunction with Giles Insurance Brokers and St Giles Legal and Professional Risks.
Alpha's cover will be reinsured by Nasdaq-listed Greenlight Re, which has an ‘excellent' financial stability rating from analyst AM Best.
About 2,500 firms have been axed from Lloyds Banking Group's conveyancing panel in its recent cull, the Law Society has estimated.
Over the last month the group, which includes Lloyds TSB, Halifax, Bank of Scotland and Birmingham Midshires, has reviewed its panel membership to remove firms that have conducted a low volume of transactions over the past 12 months.
High street solicitors have claimed the new minimum volume threshold restricts client choice and gives an unfair advantage to bigger firms.
The Solicitors Regulation Authority's new Qualified Lawyers Transfer Scheme for foreign lawyers seeking admission to the profession was launched this week. It includes an English language requirement.
Gloomy ABS forecast Sixty per cent of law firms expect their businesses to suffer when alternative business structures are introduced, research by law firm comparison website LawyerLocator has found.
Transatlantic merger? City firm Hammonds and US firm Squire Sanders