| Legal Services Bill [Lords] - continued | House of Commons |
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Bridget Prentice 121 Clause 108, page 59, line 12, leave out ‘in which non-authorised persons have an interest’ and insert ‘held by non-authorised persons’. This amendment is related to amendment 111. It refines the third branch of the ownership condition for a low risk body, providing that the proportion of shares held by a non-authorised person in a parent undertaking of B is less than 10%. Bridget Prentice 122 Clause 108, page 59, line 14, leave out ‘power’ and insert ‘rights’. This amendment refines the third branch of the ownership condition for a low risk body, providing that the proportion of voting rights, rather than voting power, in a parent undertaking of B which non-authorised persons are entitled to exercise, or control the exercise of, is less than 10%. Bridget Prentice 123 Clause 108, page 59, leave out lines 20 to 23. This amendment is related to amendments 120 and 122, which replace the concept of voting power. A definition of voting power is therefore no longer needed. Bridget Prentice 124 Clause 111, page 60, line 21, leave out ‘in shares’. This amendment is related to amendment 111. It refines the test for whether a body falls under sub-paragraph (d), by replacing the reference to persons “with an interest in shares” with a reference to persons “with an interest”. Bridget Prentice 125 Clause 111, page 60, line 24, leave out sub-paragraph (ii) and insert— ‘(ii) are bodies in which persons within paragraphs (a) to (c) are entitled to exercise, or control the exercise of, more than 90% of the voting rights.’. This amendment is related to amendment 111. It refines the test for whether a body falls under sub-paragraph (d), providing that where a manager or person with an interest is a body, persons within (a) – (c) must exercise or control the exercise of more than 90% of voting rights. Bridget Prentice 42 Schedule 15, page 224, line 29, at end insert— ‘The terms of appointment of the chairman or any other member may provide for the Board to pay, or make payments towards the provision of, a pension, allowance or gratuity to or in respect of that person. If the Board thinks there are circumstances that make it right for a person ceasing to hold office as chairman or another member to receive compensation, the OLC may pay that person such compensation as the Board may determine.’. This amendment provides that the terms of appointment of the chairman or other ordinary members of the OLC may provide for pensions, allowances or gratuities. It also allows the OLC to pay compensation to the chairman or other ordinary members in certain circumstances. Bridget Prentice 43 Schedule 15, page 224, line 42, at end insert— ‘The OLC may pay compensation for loss of employment to or in respect of an ombudsman (or former ombudsman), or a member (or former member) of staff appointed under paragraph 11.’. This amendment allows the OLC to pay compensation to its ombudsmen or former ombudsmen, or to its staff appointed under paragraph 11 of Schedule 15 or former staff, for loss of employment with the OLC. Simon Hughes
227 Schedule 15, page 226, line 15, leave
out paragraphs 21 and 22. To ensure the operational independence of the OLC. Bridget Prentice 8 Clause 133, page 68, line 42, leave
out paragraph (i). This amendment reverses one made in the House of Lords enabling scheme rules to make provision for the award of costs in favour of the OLC against the respondent to a complaint in additional circumstances to those already specified in Clause 133(3). Simon Hughes
228 Clause 133, page 68, line 44, leave out from ‘complaint’ to end of line 4 on page 69. To ensure it is not possible for complainants to be liable to pay costs. Simon Hughes
229 Clause 133, page 69, line 5, leave out paragraph (j). See Members’ explanatory statement for amendment 228. Simon Hughes
230 Clause 133, page 69, line 14, at end insert— ‘( ) for the identity of respondents to be published.’. To prompt the OLC to make rules about identifying those legal services providers it has upheld complaints against. Bridget Prentice 9 Clause 133, page 69, line 38, leave
out ‘, (i)’. This amendment is consequential on amendment 8, removing a reference back to the provision which that amendment removes. Bridget Prentice 10 Clause 136, page 70, line 37, leave
out subsections (2) to (4). This amendment reverses amendments made in the House of Lords which— (a) limit the circumstances in which a complaint handling charge may be payable by the respondent to the complaint and (b) require reduction, waiver or refund of charges in specific circumstances. Simon Hughes
231 Clause 136, page 70, line 39, leave out paragraphs (a) to (c) and insert— ‘(a) the complaint against the respondent is determined or otherwise resolved at least partially in favour of the complaint; or (b) in the ombudsman’s in accordance with the regulatory arrangements which the approved regulator has made under section 112.’. This series of amendments requires the OLC to set rules enabling charges payable by respondents to be reduced or waived and indicates appropriate conditions for these to apply. Simon Hughes
232 Clause 136, page 71, line 5, leave out subsections (3) and (4). See Members explanatory statement for amendment 231. Bridget Prentice 11 Clause 136, page 71, leave
out line 19. This amendment is consequential on amendment 10, removing a reference back to the provision which that amendment removes. Bridget Prentice 12 Clause 136, page 71, line 22, leave
out from ‘circumstances’ to end of line 23. This amendment is consequential on amendment 10, removing a reference back to the provision which that amendment removes. Simon Hughes
233 Clause 137, page 71, line 34, at end insert— ‘( ) In considering what is fair and reasonable in the circumstances, the Ombudsman shall take into account the relevant levels of damages awarded by courts in similar circumstances, and relevant codes of practices, professional rules, standards and guidance.’. This amendment is intended to give guidance to the OLC as to the way in which it should determine what is ‘fair and reasonable’ when exercising its powers under the Act. Simon Hughes
234 Clause 138, page 72, line 32, leave out ‘£20,000’ and insert ‘£100,000’. To increase the maximum amount of redress that can be awarded by the OLC ombudsman to £100,000. Mr Kevan Jones 265 # Clause 138, page 72, line 32, leave out ‘£20,000’ and insert ‘£50,000’. Mr Kevan Jones 266 # Clause 138, page 72, line 39, leave out subsection (3). Simon Hughes
235 Clause 140, page 74, line 19, after ‘complaint’, insert ‘either while the ombudsman is considering the compliant or’. To stop respondents from beginning or continuing legal proceedings against a complainant while the OLC is considering the case (or vice versa). Bridget Prentice 13 Page 75, line 27, leave out
Clause 143. This amendment leaves out Clause 143, which was inserted by amendment in the House of Lords, and so reverses that amendment, which inserted provision enabling the Board to delegate to an approved regulator or regulators the handling of complaints which would otherwise be determined under the ombudsman scheme. Simon Hughes
236 Clause 150, page 80, line 4, leave out ‘a person (“the defaulter”)’ and insert ‘an authorised person’. This amendment would ensure that the Office for Legal Complaints can enforce requirements to provide information or produce documents only against an authorised person, and not against a complainant. Bridget Prentice 14 Clause 158, page 83, line 11, leave
out from ‘redress’ to end of line 13. This amendment is consequential on amendment 13, removing a reference back to the provision which that amendment removes. Bridget Prentice 15 Clause 158, page 83, line 17, leave
out ‘and except as permitted by subsection (1)’. This amendment is consequential on amendment 13, removing a reference back to the provision which that amendment removes. Bridget Prentice 16 Clause 173, page 91, line 25, after ‘Act’, insert ‘or any other enactment’. This amendment extends the power to pay grants to the Board to cover its functions under “any other enactment”. This ensures that grants can be paid in respect of Board expenditure resulting from functions it has under other Acts by virtue of amendments of those Acts made by the Bill. Simon Hughes
237 Clause 174, page 92, line 14, after ‘means’, insert ‘two-thirds of’. To ensure that the Government meets one-third of the running costs of the Legal Services Board. Bridget Prentice 17 Clause 174, page 92, line 16, leave out ‘the Compensation Act 2006’ and insert ‘any other enactment’. This amendment extends the “leviable Board expenditure” to include expenditure for the purposes of the Board’s functions under “any other enactment”. This ensures that the levy can recover amounts in respect of Board expenditure resulting from functions it has under other Acts by virtue of amendments of those Acts made by the Bill. Simon Hughes
238 Clause 174, page 92, line 16, leave out ‘including’ and insert ‘excluding’. This amendment, together with amendments 239 to 241, is designed to ensure that the start up costs of the new arrangements are borne by the Government, rather than being transferred to the legal profession. Simon Hughes
239 Clause 174, page 92, line 17, leave out ‘and’ and insert ‘but including’. See Members’ explanatory statement for amendment 238. Simon Hughes
240 Clause 174, page 92, line 26, leave out ‘including’ and insert ‘excluding’. See Members’ explanatory statement for amendment 238. Simon Hughes
241 Clause 174, page 92, line 33, leave out ‘means’ and insert ‘excludes’. See Members’ explanatory statement for amendment 238. Simon Hughes
242 Clause 177, page 94, line 33, at end insert— ‘( ) The duty to comply with regulatory arrangements overrides any obligations which a person may have, including to shareholders (otherwise than under the criminal law), if those obligations are inconsistent with the duty to comply with the regulatory arrangements.’. This amendment is intended to put beyond doubt that for all those within the regulated sector, the duty to comply with regulatory arrangements is paramount—irrespective of any other obligations which would otherwise apply, except for those under the criminal law. Bridget Prentice 44 Schedule 16, page 229, line 17, at end insert— ‘After section 1A insert— “1B Restriction on practice as sole solicitor (1) Rules under section 31 (rules as to professional practice etc) must provide that a solicitor may not practise as a sole solicitor unless he has in force— (a) a practising certificate, and (b) an endorsement of that certificate by the Society authorising him to practise as a sole solicitor (a “sole solicitor endorsement”). (2) The rules may provide that, for the purposes of the rules and this Act, a solicitor is not to be regarded as practising as a sole solicitor in such circumstances as may be prescribed by the rules. (3) The rules must prescribe the circumstances in which a solicitor may be regarded by the Society as suitable to be authorised to practise as a sole solicitor.”’. This amendment provides that Law Society rules must provide that a person may not practise as a sole solicitor without having a practising certificate and without a sole solicitor endorsement of that certificate. Rules must prescribe the circumstances in which a solicitor will be suitable for such authorisation. Bridget Prentice 45 Schedule 16, page 230, line 12, at end insert— ‘(1A) An application under this section may include an application for a sole solicitor endorsement.’. This amendment is related to amendment 44. It ensures that applications for practising certificates under section 9 may include applications for a sole solicitor endorsement. Bridget Prentice 46 Schedule 16, page 230, line 13, after
‘application’, insert ‘under this section’. This amendment clarifies that the requirements which must be complied with in section 9(2) relate specifically to applications under section 9. Bridget Prentice 47 Schedule 16, page 230, line 41, at
end insert ‘(including, if the certificate has a sole solicitor
endorsement, an efficient practice as a sole solicitor);’. This amendment is related to amendment 44. It gives the Law Society the power to impose conditions, where a solicitor has a sole solicitor endorsement, requiring specific steps which will be conducive to efficient practise as a sole solicitor. Bridget Prentice 48 Schedule 16, page 231, line 11, after ‘certificate,’, insert— ‘( ) in relation to each solicitor who holds a practising certificate, a statement as to whether there is in force a sole solicitor endorsement,’. This amendment is related to amendment 44. It provides that the register of solicitors holding practising certificates must state whether the practising certificate has a sole solicitor endorsement. Bridget Prentice 49 Schedule 16, page 231, line 40, after ‘application’, insert ‘for a practising certificate, ( ) if the application included an application for a sole solicitor endorsement, a decision to refuse the application for the endorsement’. This amendment is related to amendment 45. It enables persons who have been refused endorsement as a sole solicitor to appeal against that decision. Bridget Prentice 50 Schedule 16, page 232, line 6, leave
out ‘for a practising certificate’ and insert ‘under
section 9’. This amendment is consequential on amendment 45. It ensures that the Law Society’s rule making powers under section 13(3) in relation to appeal procedures for applications neither granted nor refused, extend to applications for endorsements, in addition to applications for practising certificates. Bridget Prentice 51 Schedule 16, page 232, line 11, at end insert— ‘( ) direct the Society to make a sole solicitor endorsement on the applicant’s practising certificate and to issue that certificate subject to such conditions (if any) as the High Court may think fit,’. This amendment is related to amendment 49. It allows the High Court to direct the Law Society to endorse the solicitor’s practising certificate, on an appeal under section 13, subject to any such conditions (if any) as it thinks fit. Bridget Prentice 52 Schedule 16, page 232, line 16, after ‘it,’, insert— ‘( ) if the certificate has been endorsed with a sole solicitor endorsement, by order suspend the endorsement,’. This amendment is related to amendment 49. It provides the High Court with the power to suspend a sole solicitor endorsement, on an appeal under section 13. Bridget Prentice 53 Schedule 16, page 232, line 26, at end insert— ‘After section 13 insert— “13ZA Application to practise as sole practitioner while practising certificate in force (2) For the purposes of subsection (1) a practising certificate with a sole solicitor endorsement which is suspended is to be treated as having such an endorsement. (3) A solicitor may not apply under subsection (1) if he is suspended from practice as a sole solicitor. (4) An application must be— (a) made in accordance with regulations under section 28, and (b) accompanied by any fee payable under section 13ZB in respect of the endorsement applied for. (5) Where a sole solicitor endorsement is granted to an applicant of a prescribed description, the applicant’s practising certificate shall have effect subject to any conditions prescribed in relation to applicants of that description. “Prescribed” means prescribed by regulations under section 28(3B)(ea). (6) A person who makes an application under this section may appeal to the High Court against— (a) a decision to refuse the application, or (b) a decision to impose a condition on a practising certificate in accordance with subsection (5). (7) The Society may by rules make provision, as respects any application under this section 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 section in relation to the application as if it had been refused by the Society. (8) On an appeal under this section the High Court may— (a) affirm the decision of the Society, (c) direct that the applicant’s practising certificate is to have effect subject to such conditions (if any) as the High Court thinks fit, or (d) make such other order as the High Court thinks fit. (9) In relation to an appeal under this section the High Court may make such order as it thinks fit as to payment of costs. (10) The decision of the High Court on an appeal under this section shall be final. 13ZB Fee payable on making of sole solicitor endorsement (1) Before a sole solicitor endorsement is granted under section 13ZA, there must be paid to the Society in respect of the endorsement a fee of such amount as the Society may from time to time determine. (2) Different fees may be specified for different categories of applicant and in different circumstances. (4) In subsection (3) “practising fee” has the meaning given by that section.”’. This amendment provides that a person may apply for a sole solicitor endorsement at any time while that person’s practising certificate is in force. It also makes provision as to applicable criteria and procedures for such applications, including imposition of conditions, fees payable and appeal procedures. |
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