Legal Services Act 2007 - legislation

1 Legal Services Act2007 CHAPTER 29 Explanatory Notes have been produced to assist in theunderstanding of this Act and are available separately 37 50 Legal Services Act 2007 CHAPTER 29 CONTENTSPART 1 THE REGULATORY OBJECTIVES1 The regulatory objectivesPART 2 THE Legal Services BOARDC onstitution2 The Legal Services BoardGeneral functions3 The Board s duty to promote the regulatory objectives etc4 Standards of regulation, education and training5 Corporate governance6 Annual report7 Supplementary powersConsumer Panel8 The Consumer Panel9 Committees and the procedure of the Consumer Panel10 Representations by the Consumer Panel11 Advice and research functions of the Consumer PanelLegal Services Act 2007 (c.)

2 29)iiPART 3 RESERVED Legal ACTIVITIESR eserved Legal activities12 Meaning of reserved Legal activity and Legal activity Carrying on the activities13 Entitlement to carry on a reserved Legal activityOffences14 Offence to carry on a reserved Legal activity if not entitled15 Carrying on of a reserved Legal activity: employers and employees etc16 Offence to carry on reserved Legal activity through person not entitled17 Offence to pretend to be entitledInterpretation18 Authorised persons19 Exempt persons20 Approved regulators and relevant approved regulators21 Regulatory arrangementsContinuity of existing rights and transitional protection22 Continuity of existing rights to carry on reserved Legal activities23 Transitional protection for non-commercial bodiesAlteration of reserved Legal activities24 Extension of the reserved Legal activities25 Provisional designation as approved regulators and licensing authorities26 Recommendations that activities should cease to be reserved Legal activitiesPART 4 REGULATION OF

3 APPROVED REGULATORSI ntroductory27 Regulatory and representative functions of approved regulatorsGeneral duties of approved regulators28 Approved regulator s duty to promote the regulatory objectives etcSeparation of regulatory and representative functions29 Prohibition on the Board interfering with representative functions30 Rules relating to the exercise of regulatory functionsLegal Services Act 2007 (c. 29)iiiPerformance targets31 Performance targets and monitoringDirections32 Directions33 Directions: procedure34 Enforcement of directionsCensure35 Public censure36 Public censure: procedureFinancial penalties37 Financial penalties38 Financial penalties: procedure39 Appeals against financial penalties40 Recovery of financial penaltiesIntervention41 Intervention directions42 Intervention directions: further provision43 Intervention directions: enforcement44 Revocation of intervention directionsCancellation of approval45 Cancellation of designation as approved regulator46 Cancellation of designation.

4 Further provision47 The Board s power to recommend orders made under section 4648 Cancellation of designation: powers of entry etcPolicy statements49 The Board s policy statements50 Policy statements: procedurePractising fees51 Control of practising fees charged by approved regulatorsRegulatory conflict52 Regulatory conflict with approved regulators53 Modification of provision made about regulatory conflict54 Regulatory conflict with other regulatory regimesInformation55 Provision of information to the Board56 Enforcement of notices under section 55 Legal Services Act 2007 (c. 29)ivCompetition57 Reports by the OFT58 The Board s response to OFT report59 Referral of report by the Lord Chancellor to the Competition Commission60 Duties of the Competition Commission61 Lord Chancellor s power to give directionsThe Board as approved regulator62 The Board as an approved regulator63 The Board s designation under section 62(1)(a)64 Modification of the Board s functions under section 62(1)(b)65 Cancellation of the Board s designation under section 62(1)(c)

5 66 The Board s power to recommend orders made under section 6267 Effect of the Board s designation as an approved regulator68 Regulatory conflict and the Board as approved regulatorFunctions of approved regulators etc69 Modification of the functions of approved regulators etc70 Procedural requirements relating to recommendations under section 69 PART 5 ALTERNATIVE BUSINESS STRUCTURESI ntroductory71 Carrying on of activities by licensed bodies72 Licensable body Licensing authorities73 Licensing authorities and relevant licensing authorities74 Designation of approved regulator as licensing authority75 Automatic cancellation of designation as licensing authority76 Cancellation of designation as licensing authority by order77 Cancellation of designation: further provision78 The Board s power to recommend orders made under section 7779 Cancellation of designation: powers of entry etcAppeals80 Functions of appellate bodies81 Procedural requirements relating to recommendations under section 80 Policy statement82 Licensing authority policy statementLicensing rules83 Licensing rulesLegal Services Act 2007 (c.)

6 29)vLicensing84 Application for licence85 Terms of licence86 Modification of licence87 Registers of licensed bodies88 Evidence of statusOwnership of licensed bodies89 Ownership of licensed bodiesRegulation of licensed bodies90 Duties of non-authorised persons91 Duties of Head of Legal Practice92 Duties of Head of Finance and Administration93 Information94 Enforcement of notices under section 9395 Financial penalties96 Appeals against financial penalties97 Recovery of financial penalties98 Referral of employees etc to appropriate regulator99 Disqualification100 Lists of disqualified persons101 Suspension and revocation of licence102 Intervention103 Regulatory conflict and the Board as licensing authority104 Prevention of regulatory conflict: accounts rulesSpecial kinds of body105 Trade union exemptions106 Power to modify application of licensing rules etc to special bodies107 Modifications under section 106: supplementary108 Low risk body 109 Foreign bodiesSupplementary provision110 Reporting requirements relating to Part 5111 Interpretation of Part 5 PART 6 Legal COMPLAINTSC omplaints procedures of authorised persons112 Complaints procedures of authorised personsOverview of the scheme113 Overview of the schemeLegal Services Act 2007 (c.

7 29)viThe Office for Legal Complaints114 The Office for Legal Complaints115 The ombudsman scheme116 General obligations117 Corporate governance118 Annual report119 Supplementary powers120 Reporting to the Board121 Performance targets and monitoringThe ombudsmen122 Appointment of the Chief Ombudsman and assistant ombudsmen123 Annual report of Chief Ombudsman124 Additional reports of Chief OmbudsmanJurisdiction and operation of the ombudsman scheme125 Jurisdiction of the ombudsman scheme126 Complaints excluded because respondent s complaints procedures not used127 Complaints excluded by scheme rules128 Parties129 Pre-commencement acts and omissions130 Orders under section 128131 Acts and omissions by employees etc132 Continuity of complaints133 Operation of the ombudsman scheme134 Delegation of an ombudsman s functions135 Notification requirements136 Charges payable by respondentsDeterminations under the scheme137 Determination of complaints138 Limitation on value of directions under the ombudsman scheme139 Alteration of limit140 Acceptance or rejection of determination141 Enforcement by complainant of directions under section 137142 Reporting court orders made against authorised personsReporting misconduct143 Reporting possible misconduct to approved regulatorsCo-operation with investigations144 Duties to share information145 Duties of authorised persons to co-operate with investigations146

8 Reporting failures to co-operate with an investigation to approved regulatorsInformation147 Information and documents148 Reporting failures to provide information or produce documentsLegal Services Act 2007 (c. 29)vii149 Enforcement of requirements to provide information or produce documents150 Reports of investigations151 Restricted information152 Disclosure of restricted information153 Data protectionDefamation154 Protection from defamation claimsScheme rules155 Consent requirements for rules156 The Board s powers in respect of rulesEffect on existing arrangements for redress etc157 Approved regulators not to make provision for redress158 Regulatory arrangements not prohibited by section 157159 Legal Services Complaints Commissioner and Legal Services OmbudsmanInterpretation160 Interpretation of Part 6 Claims management services161 Extension of Part 6 to claims management servicesPART 7 FURTHER PROVISIONS

9 RELATING TO THE BOARD AND THE OLCG uidance162 GuidanceVoluntary arrangements163 Voluntary arrangements164 Power to establish voluntary scheme for resolving complaints165 Procedure for making orders under section 164166 Operation of voluntary schemeDisclosure and use of information167 Restricted information168 Disclosure of restricted information169 Disclosure of information to the Board170 Data protection171 Use of informationLegal Services Act 2007 (c. 29)viiiPayments by Lord Chancellor172 FundingThe levy173 The levy174 The levy: supplementary provisionsPayments into the Consolidated Fund175 Amounts payable into the Consolidated FundPART 8 MISCELLANEOUS PROVISIONS ABOUT LAWYERS ETCD uties of regulated persons176 Duties of regulated personsSolicitors, the Law Society and the Disciplinary Tribunal177 The Law Society, solicitors, recognised bodies and foreign lawyers178 The Solicitors Disciplinary Tribunal.

10 Approval of rules179 Board s power to give directions to the Tribunal180 Functions of the TribunalOther lawyers181 Unqualified person not to pretend to be a barrister182 Licensed conveyancers183 Commissioners for oaths184 Trade mark attorneys185 Patent attorneys186 Immigration advisers and immigration service providers187 Claims management servicesAdvocates and litigators188 Duties of advocates and litigators189 Employed advocatesLegal professional privilege190 Legal professional privilegeEmployees of housing management bodies191 Rights of audience etc of employees of housing management bodiesSavings192 Powers of court in respect of rights of audience and conduct of litigation193 Solicitors to public departments and the City of LondonLegal Services Act 2007 (c.)