Broad summary of some of the key drivers of demand change (page 15 onwards).
Looking at employed barristers and what motivated them to join the employed Bar
Case law on CFAs and ATE insurance (pages 29 – 39). Case law on third party funding (page 47 – 50).
Children’s’ Act and the need to be accredited to act for Children
Australian example – justice reforms supported growth of ADR (page 14 – 16).
Barristers leaving the bar tend to go in-house (around 38 per cent take this path) – page 3 – 4. Reasons why also explained on these pages. A small majority of leavers had previously worked in mainly publically funded areas of legal practice (page 16). Further breakdown of where they go on page 17. Further breakdown of reasons for leaving on page 20.
Based on likely changes in funding report suggests CitA and CAS should seek to increase the effectiveness and efficiency of their networks by taking positive steps to encourage the further rationalisation of bureaux by amalgamation. – Pages 13-16
Diagrammatic presentation of legal grid – different ways of offering legal services to the market – slides 1-11
Different strategy’s for firms to respond – slides 12-19
Potential different future structures of law firms – slide 20
Current and future client service chain – slides 21 -25
Discusses Law Society’s Training Framework Review – aims to focus on outcomes not courses or processes (page 3).
Discusses the possible impact of the LSA 2007.
Discusses the use of technology as drivers of change throughout the report.
Cites the recession as causing a reduction of work in the legal sector (page 17). Short summary of reforms affecting legal sector – i.e. LSA (page 19-20)
Discusses varied demand for employment tribunal cases (page 72) over a number of years and basis of claims (page 73) – also possible explanations (page 75).
Access for justice reforms led to the creation of the CLS (page 5). How civil justice reforms led to the more widespread use of CFAs (page 23).
Cites various examples of regulation-led change: solicitor / barrister partnerships, referral fees /ABSs (page 9).
Access to Justice Act (1999) led to the formation of the Community Legal Service (page 5). Summarises which areas of law were no longer to be legally aided, and which areas of law would get more money (page 13).
Access to Justice Act capped legal aid budget. Down from 80% eligibility to 29% in 2004 (page 3).
Australia summary – government push to reform the way that legal professions in Australia were regulated (page 2).
covers the Criminal Defence Service Act 2006 (page 1) – which reintroduces legal aids means test (page 2). Also transfers power over criminal legal aid from the courts to the Legal Services Commission. Explains how previous arrangements worked (page 5) and how its changed more recently (page 7). Grant rate for criminal legal aid in 2005 compared with 1992 (up, considerably) – page 12 – in scenario outlined. More data on grant rates (page 14 – 15).
covers the rise of the in-house legal team as changing the dynamic between law firms and clients (page 674).Beauty parades etc (page 690). DuPont example (page 695). Consolidation of English firms (page 702) discussed. Tyco example (page 717).
A legal information solution can often substitute for the professional services of an attorney. This is the new reality that the legal profession now faces. Page 1
These new alternatives are capturing or acquiring clients from both the
Conditional cautions – a way of dealing with offences without prosecution (page 2).
Convention (page 6) gives defendants qualified right to free legal advice “when the interests of justice” so require.
Conventional wisdom was that firms had to grow in size (page 67). Cites example of dot com bust in US (page 73).
EU directive 87/344/EC – guarantees free choice of counsel before courts and administrative bodies (page 2).
Legal Service Commission / local authority tendering for provision of advice services (page 8).
Framework for knowledge management within law firms
Legislation affecting local governments (including HRA) – page 11.
Government has created 3,000 new criminal offences since 1997 (page 1).
Looking at Direct Access:
barristers that are employed are more likely to be in
favour of an extension to public access with 75 per cent of those employed by others agreeing with the statement as well as 70 per cent of those employed by authorised persons. This is against 52 per cent of self-employed barristers or those in chambers. – Page 66
Figure 30: Support of the extension of public access by barrister type
History of activities by TLS International division, looking to promote business.
History of regulatory liberalisation in England and Wales (page 9 – 11).
The impact of the recession has led to an increased demand at the CAB for advice (page 4).
In 2004, Japana saw its first ever graduate law school opened (page 5).
The recession has led to an increased demand for legal advice, especially in relation to social welfare law (page 6). Covers Carter reforms in relation to legal aid (page 38 onwards).
Introduction of DSCC and CDS direct
The rise of the in-house legal team as changing the dynamic between law firms and clients (page 674).Beauty parades etc (page 690). DuPont example (page 695). Consolidation of English firms (page 702) discussed. Tyco example (page 717).
Introduction of fixed fees for police station and criminal court work has reduced the amount of work that lawyers can do on cases (page 8). Europe-wide, makes recommendations for what a legal aid directive should contain (page 16 onwards).
Discussing commercial legal market, suggests that in-house counsel are increasingly consolidating their number of external law firm providers into a smaller number of preferred firms – case histories and anecdotes (page 697 – 700). Also, very large law firms are actively pruning unprofitable clients from their books (page 703).
June 2004 a formal documented advocacy strategy was launched by CPS to increase the volume of Crown Court work undertaken by in-house advocates significantly. This new approach would inevitably reduce the amount of work available to the self employed Bar – Page 3
Table of CPS advocate deployment levels 2004-2009 including estimated level of counsel fees saved by CPS – page 61
Discussion of the linked impacts of the Great Recession on the legal profession in the US, comparing this with reactions of the legal profession to the Great Depression.
Different parts of profession experienced the Great depression in different ways with larger law firms seeing declining profits and smaller firs struggling to survive – see page 3.
“Intraprofessional strife caused by severe economic stress has the potential to bring about mobility within the profession, unsettle hierarchies, threaten established elites, and open the door for the rise of alternative elite structures” Page 4
Legal aid as a driver
Discussion on removal of the right to trial by jury (page 20).
Legal expense insurance was not allowed in E&W until 1967, many years after it was allowed in Germany (page 2).
This report suggests that very large law firms have become financalised – i.e. measure their performance via metrics such as PEP – in recent years (page 9).
The arrival of claims farms post 1999 and their subsequent regulation (page 28).
US based legal business reports that:
Large corporate clients have had a substantial impact on the way law firms handle core matters, such as billing and staffing. This has led to legal services being split into three distinct types of matters:
1. “Outsourceable” matters, such as document review and standard contracts.
2. “Running the Business” matters that are deeply ingrained into how businesses work, like intellectual property, compliance and employment issues.
3. “Betting the Business” matters that are critical to the success of the company, such as antirust or securities litigation, bankruptcy, or IPO.
This hierarchy has an implicit value attribution, whereby matters that can be outsourced have a lower value, because, arguably, they can be performed by anyone with fundamental legal training. Clients therefore expect these kinds of legal services to cost the least out of the different layers of service.
At the top of the hierarchy, Betting the Business matters include not only major transactions and litigation, but also knowledge of how to work government agencies or understanding how a case will be positioned in the media.
The drive by the MoJ to save
The impact of the recession has led to an increased demand at the CAB for advice (page 4).
Summarises key regulatory changes allowing for BTE legal expense insurers – Access to Justice Act, Compensation Act etc (page 6). More key events summarised – i.e. CFAs, Woolf etc (page 20 – 21).
Reports that significant growth in recent years has come from law firms of more than 100 lawyers – Page 1
Summarises the move to deliver legal information online (page 3).
Summary of market drivers affecting legal; services market (pages 4 – 5).
Summary of road to liberalisation in relation to referral fees (page 3).
There are too many suppliers of profitable defence work. Suggests mergers of firms may be required to bid for work being tendered (page 46)
Summary of some major trends in legal advice – i.e. the right to free legal advice for arrested persons (page 1), formation of the Legal Aid Board.
This report summarises key regulatory changes that led up to pre-LSA liberalisation of the legal services market. Key liberalisations in relation to advocacy, conveyancing and probate summarised (page 17). Key regulatory liberalisation dates summarised (pages 40/65 – 41/66).
Summary of various reforms to the legal profession, including Clementi (page 2).
This report discusses “megatrends” in the justice sector, in relation to public sector agencies.
Survey found that most PI work tended to come via paid-for referrals (page 3). More mixed picture for residential property work (page 16). Referral ban lifted in 2004 (page 39).
This report discusses litigation funding as a possible driver of market change. Case studies include Australia
Table summarises forces affecting large (US) – page 115.
Submission refers to changes to the solicitors code, permitting third party introductions for the first time (page 2). No such liberalisation at the bar. The Bar argues this would distort the market, and lead to solicitors instructing the wrong barristers (page 3). Claims referral fee incentives are stopping solicitors referring work to the bar (page 17).
Report refers to government intention to cut legal aid expenditure (page 9)
Suggests personal tax rate changes may impact on a firm’s decision to become an LLP (page 26)
Report suggest LSC funding regime means that specialist work is consolidating among a smaller number of specialist providers (page xii). Also NHS is shrinking its number of preferred supplier firms. Legal aid for most PI cases abolished in April 2000 (page 17).
Suggests regulatory liberalisation may help drive market change (page 795). For example, lawyers can (and do) now advertise (page 796-797).
Report suggests that, as more law firms have gone “global”, the legal world has become flatter (page 3). Offshoring, self-service legal services etc (page 4).
Suggests that the recession has pushed legal process outsourcing beyond the tipping point of acceptance (page 12).
Reports on issues facing the criminal Bar in 2007:
(1) The CPS
New laws bring new legal remedies (i.e. in relation to domestic violence) – page 4 onwards
Page 1. Decline of 29% in number of civil court cases between 1997 – 2003. Suggests decline was due to reforms of civil justice system.
Research report looking at the potential impact of ABS on geographical access -
Interviews with 15 stakeholders (existing providers and potential new entrants).
Reforms to legal aid, increasing use of non solicitors to provide legal advice, technological change and consumer adaptation to new technology, outsourcing, and referral fee changes, are all cited as drivers of market changes. – see pages 12-13
Professor Mari Sako – Said Business School, University of Oxford – reports that:
Discontinuous change happens as a result of five things: the introduction of a new product or process, the opening of a new market or source of supply of intermediate goods, or a new organization design. For law firms discontinuous change is happening as a result of his last two factors – new sources of supply and new organizational design. The value chain for law firms is disintegrating. This possibility had existed for some time, with new ICT technology. Much of legal knowledge can be standardized, systematized, and packaged for delivery using self-service and smart systems. Moreover, the billable hour, which developed as a common way of charging clients, has come under severe attack, as the notion of professional autonomy and self-regulation came into conflict with the notion of business efficiency and consumer interest. Combined with the availability of new locations as sources of supply of talent, ICT has pushed global corporations in the direction of off shoring. Page 20-21
Senior self-employed lawyers use IT systems
and processes, including internet-based practice management and case management systems, remote telephone answering and outsourced typing services to service their clients from outside a traditional office. Last year Woolley & Co claimed in an industry magazine to have taken on 80 new divorce cases a month, citing the firm
Rapid increase in the number of law students from 1970s onwards (page 89). covers other past market drivers including the housing market boom of the 1980s and the expansion of corporate work post Big Bang (page 95). Also mentioned Access to Justice Act 1999, which extended rights of audience for solicitors and employed bar (page 98).
Small firms merge for several reasons (page 3) – not just the LSA.
Refers to US survey of general counsel, where 85% of respondents said that economic considerations were putting pressure on them to reduce spend on outside counsel (page 2)
Some analysis of accountancy market
Report expresses a fear that the market for CFA may collapse (page 14).
MPA tendering was supposed to happen for legal aid work, It hasn’t, because solicitors weren’t interested in bidding for it.
Requirements that chambers pay pupils has led to a reduction in pupillages available (page 63)