Legal Services Bill [HL]

House of Lords

Session 2006 - 07
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Other Bills before Parliament

Legal Services Bill [HL]

Legal Services Bill [HL]
Schedule 8 — Intervention directions: procedure
Part 2 — Revoking intervention directions
159

      (3)
A body is within this sub-paragraph if it represents persons authorised by
the approved regulator to carry on activities which are reserved legal
activities.
      (4)
The Board may allow any other person to make written or oral
representations about the advice.
5
      (5)
The Board must make rules governing the making of oral and written
representations.
      (6)
Representations under this paragraph must be made within—
(a)
the period of 28 days beginning with the day on which the advice is
published under sub-paragraph (1), or
10
(b)
such longer period as the Board may specify in a particular case.
      (7)
Where oral representations are made, the Board must prepare a report of
those representations.
      (8)
Before preparing that report, the Board must—
(a)
give each person who made oral representations a reasonable
15
opportunity to comment on a draft of the report of those
representations, and
(b)
have regard to any comments duly made.
      (9)
The Board must, as soon as practicable after the end of the period within
which representations may be made under this paragraph, publish any
20
written representations duly made and the report (if any) prepared under
sub-paragraph (7).
Further provision about publishing advice and representations
22    (1)
Nothing in paragraph 21 operates—
(a)
to prevent a person who gives advice under paragraphs 15 to 19 from
25
publishing that advice, or
(b)
to prevent a person who makes representations under paragraph 21
from publishing those representations.
      (2)
A person (“the publisher”) publishing any such material (whether under
paragraph 21 or otherwise) must, so far as practicable, exclude any matter
30
which relates to the private affairs of a particular individual the publication
of which, in the opinion of the publisher, would or might seriously and
prejudicially affect the interests of that individual.
Decision by the Board
23    (1)
After considering—
35
(a)
in a case within paragraph 13(1)(a), the application and any
accompanying material,
(b)
any advice duly given under paragraphs 15 to 19,
(c)
any representations duly made under paragraph 21, and
(d)
any other information which the Board considers relevant to the
40
application or notice,

the Board must decide whether to revoke the intervention direction in
accordance with the application or notice.

Legal Services Bill [HL]
Schedule 9 — Cancellation of designation as approved regulator
160

      (2)
The Board must give notice of its decision (“the decision notice”) to the
approved regulator.
      (3)
Where the Board decides to revoke the intervention direction, the decision
notice must state the time the revocation is to take effect.
      (4)
Where the Board decides not to revoke the intervention direction, the
5
decision notice must specify the reasons for that decision.
      (5)
The Board must publish the decision notice.
Schedule 9
Section 44

Cancellation of designation as approved regulator
Introductory
10
1
This Schedule applies where the Board considers that it may be appropriate
for it to make a recommendation under section 44(5).
Notification of the approved regulator
2     (1)
The Board must give the approved regulator a notice (“a warning notice”)
accompanied by a draft of the proposed recommendation.
15
      (2)
The warning notice must—
(a)
state that the Board proposes to make a recommendation under
subsection (5) of section 44 in the form of the accompanying draft,
and
(b)
state the reasons why the Board is satisfied of the matters mentioned
20
in paragraphs (a) and (b) of that subsection.
      (3)
The Board must publish a copy of the warning notice.
      (4)
The approved regulator may make to the Board—
(a)
written representations, and
(b)
if the Board authorises it to do so, oral representations,
25

about the proposed recommendation.
      (5)
The Board must make rules governing the making of oral and written
representations.
      (6)
Representations under this paragraph must be made within—
(a)
the period of 28 days beginning with the day on which the warning
30
notice is given to the approved regulator, or
(b)
such longer period as the Board may specify in a particular case.
      (7)
The Board must consider any representations duly made by the approved
regulator.
      (8)
Where oral representations are duly made, the Board must prepare a report
35
of those representations.
      (9)
Before preparing that report, the Board must—

Legal Services Bill [HL]
Schedule 9 — Cancellation of designation as approved regulator
161

(a)
give the approved regulator a reasonable opportunity to comment
on a draft of the report, and
(b)
have regard to any comments duly made.
Board’s duty to seek advice
3     (1)
After complying with paragraph 2, the Board must give each of the persons
5
listed in sub-paragraph (2)—
(a)
a copy of the warning notice and the accompanying draft,
(b)
a copy of any written representations duly made by the approved
regulator under paragraph 2 and a copy of the report (if any)
prepared under that paragraph, and
10
(c)
a notice specifying a period within which any advice under
paragraphs 4 to 6 must be given.
      (2)
Those persons are—
(a)
the OFT,
(b)
the Consumer Panel,
15
(c)
the Lord Chief Justice, and
(d)
such other persons as the Board considers it reasonable to consult in
respect of the proposed recommendation.
      (3)
In this Schedule, in relation to a proposed recommendation, “selected
consultee” means a person within sub-paragraph (2)(d).
20
Advice of Office of Fair Trading
4     (1)
The OFT must give the Board such advice as it thinks fit regarding whether
the proposed recommendation should be made.
      (2)
In deciding what advice to give, the OFT must, in particular, have regard to
whether making an order under section 44 in accordance with the proposed
25
recommendation would (or would be likely to) prevent, restrict or distort
competition within the market for reserved legal services to any significant
extent.
Advice of the Consumer Panel
5     (1)
The Consumer Panel must give the Board such advice as it thinks fit
30
regarding whether the proposed recommendation should be made.
      (2)
In deciding what advice to give, the Consumer Panel must, in particular,
have regard to the likely impact on consumers of making an order under
section 44 in accordance with the proposed recommendation.
Advice of selected consultees
35
6
A selected consultee may give the Board such advice as the selected
consultee thinks fit in respect of the proposed recommendation.
Advice of the Lord Chief Justice
7     (1)
The Board must give the Lord Chief Justice—
(a)
a copy of any advice duly given under paragraphs 4 to 6, and
40

Legal Services Bill [HL]
Schedule 9 — Cancellation of designation as approved regulator
162

(b)
a notice specifying a period within which advice under this
paragraph must be given.
      (2)
The Lord Chief Justice must then give such advice as the Lord Chief Justice
thinks fit in respect of the proposed recommendation.
      (3)
In deciding what advice to give, the Lord Chief Justice must, in particular,
5
have regard to the likely impact on the courts in England and Wales of
making an order under section 44 in accordance with the proposed
recommendation.
Information obtained by consultees
8
A person (“the consultee”) to whom a copy of the warning notice is given
10
under paragraph 3(1) may, for the purposes of giving advice under
paragraphs 4 to 7, request the approved regulator or any other person to
provide the consultee with such additional information as may be specified
by the consultee.
Representations by the approved regulator etc
15
9     (1)
The Board must—
(a)
give the approved regulator a copy of any advice duly given under
paragraphs 4 to 7, and
(b)
publish that advice together with any written representations duly
made by the approved regulator under paragraph 2 and the report
20
(if any) prepared under that paragraph.
      (2)
The approved regulator and any body within sub-paragraph (3) may make
to the Board—
(a)
written representations, and
(b)
if authorised to do so by the Board, oral representations,
25

about the advice.
      (3)
A body is within this sub-paragraph if it represents persons authorised by
the approved regulator to carry on activities which are reserved legal
activities.
      (4)
The Board may allow any other person to make written or oral
30
representations about the advice.
      (5)
The Board may make rules governing the making to the Board of written or
oral representations.
      (6)
Representations under this paragraph must be made within—
(a)
the period of 28 days beginning with the day on which the
35
representations and advice are published under sub-paragraph
(1)(b), or
(b)
such longer period as the Board may specify in a particular case.
      (7)
Where oral representations are made, the Board must prepare a report of
those representations.
40
      (8)
Before preparing that report, the Board must—
(a)
give each person who made oral representations a reasonable
opportunity to comment on a draft of the report of those
representations, and

Legal Services Bill [HL]
Schedule 10 — Designation of approved regulators as licensing authorities
Part 1 — Designation of approved regulators by order
163

(b)
have regard to any comments duly made.
      (9)
The Board must, as soon as reasonably practicable after the end of the period
within which representations under this paragraph may be made, publish
any written representations duly made and the report (if any) prepared
under sub-paragraph (7).
5
Publication of advice etc
10    (1)
Nothing in paragraph 9 operates—
(a)
to prevent a person who gives advice under paragraphs 4 to 7 from
publishing that advice, or
(b)
to prevent a person who makes representations under paragraph 2
10
or 9 from publishing those representations.
      (2)
A person (“the publisher”) publishing any such material (whether under
paragraph 9 or otherwise) must, so far as practicable, exclude any matter
which relates to the private affairs of a particular individual the publication
of which, in the opinion of the publisher, would or might seriously and
15
prejudicially affect the interests of that individual.
Decision by the Board
11    (1)
After considering—
(a)
any advice duly given under paragraphs 4 to 7,
(b)
any representations duly made under paragraph 2 or 9, and
20
(c)
any other information which the Board considers relevant,

the Board must decide whether to make the proposed recommendation.
      (2)
The Board must give notice of its decision (“the decision notice”) to the
approved regulator and to the Secretary of State.
      (3)
If the Board decides to make the proposed recommendation, the decision
25
notice must—
(a)
contain the recommendation, and
(b)
state why the Board is satisfied of the matters mentioned in section
44(5)(a) and (b).
      (4)
The Board must publish the decision notice.
30
Schedule 10
Sections 73 and 75

Designation of approved regulators as licensing authorities
Part 1
Designation of approved regulators by order
Application to the Board
35
1     (1)
This paragraph applies where a body wishes to become a licensing authority
in relation to one or more activities which constitute one or more reserved
legal activities.

Legal Services Bill [HL]
Schedule 10 — Designation of approved regulators as licensing authorities
Part 1 — Designation of approved regulators by order
164

      (2)
The body may apply to the Board for the Board—
(a)
to recommend that an order be made by the Secretary of State
designating the applicant as a licensing authority in relation to the
reserved legal activity or activities in question, and
(b)
to approve what the applicant proposes as its licensing rules if such
5
an order is made (“the proposed licensing rules”).
      (3)
But the body may make an application under this paragraph in relation to a
reserved legal activity only if—
(a)
it is a relevant approved regulator in relation to the activity, or
(b)
it has made an application under Part 2 of Schedule 4 (designation of
10
approved regulators) for the Board to recommend that an order be
made by the Secretary of State designating the body as an approved
regulator in relation to the activity.
      (4)
An application under this paragraph must be made in such form and
manner as the Board may specify in rules and must be accompanied by—
15
(a)
a statement of the reserved legal activity or activities to which it
relates,
(b)
details of the applicant’s proposed licensing rules,
(c)
such explanatory material as the applicant considers is likely to be
needed for the purposes of this Part of this Schedule, and
20
(d)
the prescribed fee.
      (5)
The prescribed fee is the fee specified in, or determined in accordance with,
rules made by the Board with the consent of the Secretary of State.
      (6)
An applicant may, at any time, withdraw the application by giving notice to
that effect to the Board.
25
Dismissal of application
2     (1)
The Board may refuse to consider, or to continue its consideration of, an
application.
      (2)
The Board must make rules about the procedures and criteria that it will
apply when determining whether to refuse to consider, or to continue its
30
consideration of, an application under sub-paragraph (1).
      (3)
Where the Board decides to refuse to consider, or to continue its
consideration of, an application it must give the applicant notice of that
decision and of its reasons for it.
      (4)
The Board must publish a notice given under sub-paragraph (3).
35
Board’s duty to seek advice
3     (1)
The Board must give each of the persons listed in sub-paragraph (2)—
(a)
a copy of the application and accompanying material, and
(b)
a notice specifying a period within which any advice given under
paragraphs 4 to 6 must be given.
40
      (2)
Those persons are—
(a)
the OFT,
(b)
the Consumer Panel,
(c)
the Lord Chief Justice, and

Legal Services Bill [HL]
Schedule 10 — Designation of approved regulators as licensing authorities
Part 1 — Designation of approved regulators by order
165

(d)
such other persons as the Board considers it reasonable to consult
regarding the application.
      (3)
In this Part of this Schedule, in relation to an application, “selected
consultee” means a person within sub-paragraph (2)(d).
Advice of Office of Fair Trading
5
4     (1)
The OFT must give the Board such advice as the OFT thinks fit regarding
whether the application should be granted.
      (2)
In deciding what advice to give, the OFT must, in particular, have regard to
whether making an order under paragraph 15 in accordance with the
recommendation applied for would (or would be likely to) prevent, restrict
10
or distort competition within the market for reserved legal services to any
significant extent.
Advice of the Consumer Panel
5     (1)
The Consumer Panel must give the Board such advice as the Consumer
Panel thinks fit regarding whether the application should be granted.
15
      (2)
In deciding what advice to give, the Consumer Panel must, in particular,
have regard to the likely impact on consumers of the making of an order
under paragraph 15 in accordance with the recommendation applied for.
Advice of selected consultees
6
A selected consultee may give the Board such advice as the selected
20
consultee thinks fit in respect of the application.
Advice of the Lord Chief Justice
7     (1)
The Board must give the Lord Chief Justice—
(a)
a copy of any advice duly given under paragraphs 4 to 6, and
(b)
a notice specifying a period within which any advice under this
25
paragraph must be given.
      (2)
The Lord Chief Justice must then give such advice to the Board as the Lord
Chief Justice thinks fit regarding whether the application should be granted.
      (3)
In deciding what advice to give, the Lord Chief Justice must, in particular,
have regard to the likely impact on the courts in England and Wales of the
30
making of an order under paragraph 15 in accordance with the
recommendation applied for.
Information obtained by consultees
8
A person (“the consultee”) to whom a copy of the application is given under
paragraph 3(1) may, for the purposes of giving advice under paragraphs 4
35
to 7, request the applicant or any other person to provide the consultee with
such additional information as may be specified by the consultee.