Consultation Discussion Draft CAYMAN ISLANDS
Supplement No. published with Gazette No. dated , , 2012
THE LEGAL PRACTITIONERS LAW, 2012 THE QUALIFIED FIRM OVERSEAS PRACTICE REGULATIONS, 2012
The Qualified Firm Overseas Practice Regulations, 2012 THE LEGAL PRACTITIONERS LAW, 2012 THE QUALIFIED FIRM OVERSEAS PRACTICE REGULATIONS, 2012 ARRANGEMENT OF REGULATIONS 1. 2. 3. 4. 5.
Citation Definitions General regulation as to recognition Reconsideration by the Council Revocation or suspension of recognition
Schedule 1- Certificate of Recognition as a Qualified Firm Schedule 2- Certificate Confirming Qualified Firm Status
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The Qualified Firm Overseas Practice Regulations, 2012 CAYMAN ISLANDS
THE LEGAL PRACTITIONERS LAW, 2012 THE QUALIFIED FIRM OVERSEAS PRACTICE REGULATIONS, 2012 The Governor in Cabinet, in exercise of the powers conferred by sections 2 and 16(2) of the Legal Practitioners Law, 2012, makes the following Regulations1. These Regulations may be cited as the Qualified Firm Overseas Practice Regulations, 2012.
Citation
2.
Definitions
In these Regulations “Law� means the Legal Practitioners Law, 2012.
3. (1) A firm which desires to be recognised as a qualified firm shall apply in writing to the Council for such recognition. (2) An application by a firm for recognition under these Regulations shall be accompanied by the prescribed fee. (3) In considering whether to recognise a firm as a qualified firm, the Council shall take into account all of the following criteria(a)
the number of equity partners, salaried partners and associate partners in the firm and, in respect of each category, the date on which they were made partners; (b) the number of equity partners, salaried partners and associate partners that are Caymanian; (c) the date on which an equity partner, salaried partner or an associate partner was admitted to practise as an attorney-at-law in the Islands; (d) the number of equity partners, salaried partners and associate partners who were Caymanians when admitted to practise as an attorney-at-law in the Islands; (e) the post qualification experience of all equity partners, salaried partners and associate partners admitted to practise as an attorney-at-law in the Islands; (f) the number of associates of the firm; 3
General regulation as to recognition
The Qualified Firm Overseas Practice Regulations, 2012 (g) the number of Caymanians who are associates of the firm; (h) whether the firm provides articles for Caymanian graduates of the Truman Bodden Law School or any other internationally accredited institution which offers a law degree programme; (i) the articled clerk training programme provided by the firm and the commencement of such programme; (j) whether the firm has awarded or undertakes to award scholarships to Caymanian students to pursue a law degree and legal professional qualification either in the Islands or overseas and the number of scholarships it has awarded or intends to award; (k) whether the firm has in-house training and succession programmes which are available to all attorneys-at-law; (l) whether the firm has a system in place to communicate in writing to all attorneys-at-law the specifics of the in-house training and succession programmes; (m) whether the firm has a system in place to afford all attorneys-atlaw an equal opportunity to become a partner of any description; (n) the number of attorneys-at-law who have benefited from in-house training and succession programmes prior to the application for recognition or renewal of status as a qualified firm; (o) the number of Caymanian attorneys-at-law who have benefited from in-house training and succession programmes; (p) whether the firm provides a relevant standard of postqualification training to all attorneys-at-law in order to provide for professional advancement in the firm; (q) the number of Caymanian attorneys-at-law who have advanced to become partners in the firm as a result of post qualification training; (r) the number of Caymanian attorneys-at-law who have advanced professionally within the firm or have left the firm over the period of fifteen years immediately preceding the date of application for recognition; (s) whether the firm provides Caymanian attorneys-at-law with written communication advising of opportunities to practise law in the overseas jurisdictions in which the firm is represented; (t) the number of Caymanian attorneys-at-law who have practised and are practising in the overseas jurisdictions in which the firm is represented within the past ten years; (u) the number of persons employed as corporate support staff of the firm; (v) the number of Caymanians who are employed as corporate support staff of the firm; 4
The Qualified Firm Overseas Practice Regulations, 2012 (w) the opportunities given to Caymanian corporate support staff to pursue a legal career or to upgrade their skills if an interest is expressed; (x) the amount of fees generated and paid to the Government by the firm; (y) whether there have been any complaints to the Labour Board, Department of Employment Relations, Labour or Immigration Tribunals, the Business Staffing Plan Board, the Chief Immigration Officer, any association representing members of the legal profession, the Chief Justice, the Attorney General or similar bodies or persons whether in the Cayman Islands or in other jurisdictions in relation to the employment practices of the firm or any of its members and the nature and number of those complaints over the past fifteen years; (z) whether any complaints of misconduct have been made against the firm or members of the firm to the Council, Labour Board, Labour or Immigration Tribunals, the Business Staffing Plan Board, the Chief Immigration Officer, any association representing members of the legal profession, the Chief Justice, the Attorney General or similar bodies or persons whether in the Cayman Islands or in other jurisdictions whether any complaints of misconduct have been made against the firm or any of its members under any other law in the Cayman Islands or any other jurisdiction; (aa) the firm’s contribution to the community in any area including the following(i) assisting the poor; (ii) assisting in a youth programme; (iii) assisting in a counselling or drug programme; (iv) assisting in the rehabilitation of offenders; (v) participation or assisting in a sports programme; (vi) participation or assisting in an arts programme; (vii) participation or assisting in cultural programmes; (viii) contributing from its own resources to service clubs and charitable organisations; (ix) utilising resources derived from charitable trusts or other sources for the benefit of service clubs and charitable organisations; (bb) the details of any plan or structure governing the business operations and ownership of the firm which provides the Council with a clear understanding of the operations of the firm and its human resource policies;
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The Qualified Firm Overseas Practice Regulations, 2012 (cc) the details of the insurance policies taken out by the firm to provide coverage on behalf attorneys-at-law approved to practise law overseas; (dd) the compliance of the firm with regulations relating to client accounts in the Islands and in the countries and territories in which the firm has employed non-resident attorneys-at-law to practise law; and (ee) the commitment of the firm to the funding of any charitable trust established for the advancement of legal education and the legal professional skills of Caymanians. (4) In considering an application under this regulation, the Council(a)
may require such documents and other relevant information as it considers necessary to make a determination; and (b) shall, take into account the number of persons that the firm wishes to be admitted to practise law pursuant to section 5(1)(d) of the Law. (5) The information to be provided by the firm under paragraph (4) shall include documents and undertakings filed or to be filed with the court in both the Islands and with relevant authorities in any foreign jurisdiction in which the firm operates in relation to each attorney-at-law employed by the firm outside of the Islands who intends to apply for a practicing certificate if the firm is recognised in order that a determination can be made by the Council that there have been no disciplinary violations by any such attorney-at-law. (6) Where the Council grants recognition to a firm under this regulation it may grant recognition subject to such conditions as it considers necessary and it shall issue a certificate of recognition in the form specified in Schedule 1 indicating the name of the firm, its registered office and the conditions attached to its recognition. (7) Where a firm has applied for recognition as a qualified firm in accordance with this regulation, the Council may recognise the status of the firm for a period of three years. (8) A qualified firm shall apply in the manner stipulated in paragraphs (1) and (2) for recognition at least three months before the expiry of its current recognition. (9) A qualified firm shall-
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The Qualified Firm Overseas Practice Regulations, 2012 st
on or by 31 January in each year certify to the Council in the form specified in Schedule 2 that it is in compliance with all the requirements attached to its recognition as a qualified firm; and (b) inform the Council within five days of a change in any aspect of its operations upon which its recognition as a qualified firm was approved.
(a)
(10) A certification provided under paragraph (9)(a) shall be signed by or on behalf of each partner, director or shareholder in the qualified firm. (11) Where a qualified firm contravenes paragraph (9) or, pursuant to paragraphs (4) and (5), provides the Council with false or misleading documentation or information, the partners, directors or shareholders in such firm are liable to disciplinary action under Part 6 of the Law. (12) Where the Council refuses to recognise a firm under this regulation it shall give the firm reasons for such refusal within twenty-eight days of its refusal and advise the firm of its right to seek a reconsideration of its decision. 4. (1) A firm which is aggrieved by a refusal of the Council under regulation 3 may apply in writing to the Council for a reconsideration of the decision.
Reconsideration by the Council
(2) The application shall be made within twenty-eight days after the date on which notice of the relevant decision is given to the firm. (3) The Council may decline to reconsider a decision if it has already reconsidered that decision or a decision relating to substantially the same issue. (4) An appeal shall lie to the Grand Court against any decision of the Council to refuse to approve an application. 5. (1) The Council may, in its discretion, revoke or suspend the recognition of a qualified firm(a)
where the partners, directors or shareholders of the firm on two or more occasions have been disciplined in accordance with section 13, or 30 of the Law; or (b) where pursuant to regulation 3(9) it is no longer in compliance with the requirements attached to its recognition or its operations have changed from the type upon which its recognition was initially based. (2) If the Council proposes to revoke or suspend a firm’s recognition the Council7
Revocation or suspension of recognition
The Qualified Firm Overseas Practice Regulations, 2012 (a)
shall give to the firm notice in writing of the proposal and the Council’s reasons for the proposal; (b) shall invite the firm to show cause why the Council should not proceed as proposed; and (c) may invite the firm to take steps to rectify any breach in the terms of its recognition within such period of time as the Council determines. (3) A notice to show cause under subsection (2) shall state that within twenty-eight days of service of the notice, the firm may make presentations in writing or otherwise show cause to the Council concerning the matter; and the Council shall not determine the matter without considering any submissions or representations received within that twenty-eight day period. (4) Where the Council is satisfied that the qualified firm has failed(a)
to show reasonable cause as to why its recognition should not be revoked or suspended; or (b) to rectify any breach in the terms of its recognition within the period of time determined under paragraph (2)(c), it may proceed with the revocation of the qualified firm recognition or it may suspend recognition for such period of time as may be determined. (5) Where the status of a firm as a qualified firm has been revoked or suspended, the attorneys-at-law who are employed by the firm outside of the Islands who are not Caymanian shall immediately cease to practise Cayman Islands law outside the Islands until the Council determines that the qualified firm status of the firm should be reinstated or approves a subsequent application for recognition as a qualified firm. (6) Where there is a contravention of paragraph (5), the partners, directors or shareholders in the qualified firm and the affected attorneys-at-law are liable to disciplinary action under Part 6 of the Law. (7) If the Council revokes or suspends recognition of a qualified firm under this regulation it shall give to the firm notice in writing of the revocation or suspension and inform the firm that it may appeal such decision to the Grand Court. (8) The revocation or suspension of recognition under these Regulations shall be published in the Official Gazette. (9) An appeal under these Regulations shall not operate as a stay of any decision which is being appealed. 8
The Qualified Firm Overseas Practice Regulations, 2012
SCHEDULE 1
Regulation 3(6)
CAYMAN ISLANDS BAR COUNCIL LEGAL PRACTITIONERS LAW, 2012 CERTIFICATE OF RECOGNITION AS A QUALIFIED FIRM The firm of [name of firm], having its registered office at [location] and having satisfied the requirements provided under regulation 3 of the Qualified Firm Overseas Practise Regulations, 2012 is hereby [unconditionally/conditionally] recognised as a qualified firm for purposes of the Legal Practitioners Law, 2012 and is entitled to carry on business within or outside the Islands as a qualified firm until the thirty-first day of December, [year]. The conditions (if any) upon which recognition is granted are as followsDated this
day of
20
_____________________________ Chairman Cayman Islands Bar Council
SCHEDULE 2 CAYMAN ISLANDS BAR COUNCIL LEGAL PRACTITIONERS LAW, 2012 CERTIFICATE CONFIRMING QUALIFIED FIRM STATUS It is hereby certified that the firm of [name of firm], with its registered office at [location] was granted recognition as a qualified firm for purposes of the Legal Practitioners Law, 2012 on the[ ]day of [ ] 20 [ ] and continues to be in compliance with all the requirements and conditions attached to its certificate of recognition and has in accordance with regulation 3(9)(b) notified the Council, where applicable, of a change in any aspect of its operations upon which its recognition as a qualified firm was approved. 9
Regulation 3(9)
The Qualified Firm Overseas Practice Regulations, 2012 Dated this
day of
20
___________________________________ Partner/Director/Shareholder
Made in Cabinet this
day of
, 2012.
Clerk of the Cabinet
Laid in the Legislative Assembly on the day of accordance with section 64 of the Legal Practitioners Law, 2012.
, in
Clerk of the Legislative Assembly
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