Dáil debates

Thursday, 21 July 2016

Appointment of Members of the Legal Services Regulatory Authority: Motion

 

11:20 am

Photo of David StantonDavid Stanton (Cork East, Fine Gael) | Oireachtas source

I thank Deputies for their contributions which I know will also be appreciated by the Tánaiste, on whose behalf I am taking the motion. The motion, along with the similar motion of approval that was agreed before the Seanad on Tuesday, can enable the formal appointment of the 11 nominated members of the new Legal Services Regulatory Authority. Underlying the comments just made, I sense an appreciation of the need to ensure that we will now have an effective new regulatory framework for the legal services sector. It is also important, with the necessary agreement of this House to today's motion, that the members of the new Legal Services Regulatory Authority be able to set about the early recruitment of a chief executive. Under section 24 of the Legal Services Regulation Act, the holder of this important office will be responsible for implementing the policies and decisions of the authority and the managing and controlling generally of its staff, administration and business while also being responsible to the authority for the performance of his or her functions. To minimise any delay in filling this pivotal role, administrative preparations are being made in support of the public recruitment by the new authority of a suitably qualified person for that post. A start-up support team is also being established and a suitable premises is being identified from which the new authority can commence its operations. Deputy Catherine Murphy asked about that point.

These are the initial steps that will enable the chair, members and chief executive of the new regulatory authority to oversee and drive the coming into operation of the new legal services regulatory regime and to shape it in the discharge of its powers and functions. It is also planned that the stage we are now entering in the setting up of the new authority will include the phased commencement of parts of the Act such as those dealing with legal costs, the new Office of the Legal Costs Adjudicator, the roll of practising barristers and pre-action protocols.

Following establishment of the authority, its appointment of a chief executive and the initial commencement of parts of the Act along the lines that I have just mentioned, the key provisions centred around Part 6 of the 2015 Act will be commenced. These deal with the new public complaints and professional conduct and disciplinary procedures, and the appointment of the new legal practitioners disciplinary tribunal. The managed roll-out and commencement of these functions is planned for the autumn. This is being done to allow adequate time and preparation to ensure their effectiveness and success as crucial components of the new regulatory framework.

Let us not lose sight of the fact that this new complaints framework will be a regulatory watershed. For the first time in the history of the State and under legislation, members of the public who are aggrieved with the services they have received from a legal practitioner, whether solicitor or barrister, will now make their complaints to the independent Legal Services Regulatory Authority. They will no longer do so through the legal professional bodies as they do at present.

The new legal practitioners disciplinary tribunal being established under the 2015 Act will deal with matters of serious misconduct arising in relation to solicitors and to barristers. This single and independent tribunal will, in time, replace the respective and separately operating conduct tribunals that deal with solicitors and barristers at the moment. Both the legal professions and the public who avail of their services will be served objectively by the new authority and tribunal in the event that they come before the new professional conduct and discipline regime.

I also emphasise that the new regulatory authority will not be a static entity. The Legal Services Regulation Act has laid out a future path for the new authority which its chair, members and chief executive will have to drive and manage. There is a substantial programme of workto be undertaken in the initial years of the new authority. This, in turn, can pave the way for future reforms under various provisions of the Act. These reforms cover admission policies of the legal professions, education and training for legal practitioners, unification of the solicitors' and barristers' professions, and public consultations on the operation of legal partnerships and on multidisciplinary practices as I have just mentioned, as well as on barristers holding clients' moneys and on barristers receiving direct instructions from lay clients in contentious matters.

By way of responding to the concern that new regulators should be set up in a more sustainable and publicly accountable way, there will be periodic reviews of the operation of the Legal Services Regulation Act. The first of these is to take place 18 months after the establishment of the new regulatory authority to allow it some time to bed down in the discharge of its functions and to meet its early working commitments. This and the subsequent periodic reviews of the Act will be in addition to the normal annual, strategic and business planning obligations of the new body. Moreover, these reviews will include consultation with the Competition and Consumer Protection Commission, professional bodies and other stakeholders. I think the House will agree that having an inherent review mechanism within the Act should make the new regulatory authority more focused and responsive as an instrument of regulated change and reform.

In support of the planned and managed commencement of the relevant parts of the 2015 Act between now and the end of this year, an allocation of €1 million was made under the Justice and Equality Vote for 2016 as set-up support for the new regulatory authority. Any funding advanced from this allocation will be provided on a recoupable basis. Once in operation, the new regulatory regime will be self-funding by means of a levy on the regulated legal professions under the terms set out in Part 7 of the 2015 Act. The essential building blocks are now in place for a modernised and reformed legal services regulatory regime. What we need right now is the team to make that regime come into being. This has been reflected in Members’ contributions just now on this motion to approve for appointment the members of the new Legal Services Regulatory Authority.

The Committee on Justice and Equality is independent and will make its own decisions. When I was Chairman of the committee in the previous Dáil, we carried out a comprehensive review of this proposal and held hearings on the subject. Deputy O'Callaghan mentioned the initial draft and the committee intervened in this to allow everyone to have their say, which has had an impact on what is before us now.

Deputy Catherine Murphy asked about a couple of matters. Section 218 of the Act will meet some of the concerns when it is commenced. The infringement has not been determined but formally notified and alleged by the European Commission. We have made legislative repairs in the Act. No fines arise and it was not rushed on account of the directive, as might have been thought.

In answer to Deputy Clare Daly, the new Act puts far greater distance between the regulatory and representative functions of the Law Society and the Bar Council. It also puts an objective distance between practitioners and consumers. The independent disciplinary tribunal will also allow redress through the High Court. The board will be totally separate from the complaints handling and determination functions, to ensure due process.

Deputy Mattie McGrath asked about the Irish Human Rights and Equality Commission, the Citizens Information Board and the Competition and Consumer Protection Commission. These are at the cutting edge of ordinary people's concerns and are all on the authority. They are totally independent bodies and will take note of issues relating to the courts and receivers etc., though this not a courts Act. The courts will be dealt with in other areas of reform in the administration of justice.

We have had an election and a change of Government and that has delayed the process but we are now pressing on with the appointment of the authority. With the approval of the House of today's motion there is no barrier to a discussion between members of the committee and the new authority. The enhanced provisions for the oversight of State contracts will continue.

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