Legislation – Regulation of Legal Services (Scotland) Act 2025

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Introduction

Part 1
Regulatory framework

Chapter 1 Objectives, principles and key definitions

Overview of Part

1 Overview of the regulatory framework

Regulatory objectives

2 Regulatory objectives

3 Application of the regulatory objectives

Professional principles

4 Professional principles

Meaning of key expressions

5 Meaning of “legal services” and “legal services provider”

6 Meaning of regulatory functions

Chapter 2 regulators

Regulatory categories

7 Regulatory categories

Requirements of category 1 regulators

8 Exercise of regulatory functions

9 Regulatory committee: composition and membership

10 Regulatory committee: lay and legal members

11 Regulatory committee: convener, sub-committees and minutes

12 Annual reports of category 1 regulators

13 Compensation funds

Requirements of category 2 regulators

14 Exercise of regulatory functions

15 Annual reports of category 2 regulators

Requirements of both category 1 and category 2 regulators

16 Register of regulated legal services providers

17 Professional indemnity insurance

Powers of the Lord President in relation to regulators

18 Review of regulatory performance by the Lord President

19 Measures open to the Lord President

Special rule changes

20 Power to direct special rule changes

21 Powers to amend or revoke directions

22 Register of directions

Chapter 3 New regulators of legal services

Applications

23 Right to provide legal services

24 Regulatory scheme

25 Regulatory scheme – additional matters to be included: further provision

26 Publication of draft regulatory scheme and representations

Consideration and grant

27 Consideration of applications

28 Approval of application and giving effect to the regulatory scheme

Exercise of the acquired rights

29 Exercise of rights to provide legal services

30 Surrender of rights

31 Offence of pretending to have acquired rights

Review of regulatory scheme

32 Review of regulatory scheme on initiative of accredited regulator

33 Review of regulatory schemes

34 Revocation of acquired rights

Miscellaneous

35 Replacement regulatory arrangements for authorised providers

36 Consequential amendments and repeals

37 Transitional and saving provision for regulators approved under the 1990 Act

Part 2
Regulation of legal businesses

38 Overview of Part

39 Requirement for legal businesses to be authorised to provide legal services

40 Offence of pretending to be an authorised legal business

41 Rules for authorised legal businesses

42 Authorisation rules

43 Appeals in relation to authorisation decisions

44 Practice rules

45 Financial sanctions

46 Reconciling different rules

47 Monitoring of performance of authorised legal businesses

48 Law Society of Scotland

49 Entities changing regulatory regime

Part 3
Complaints

50 Receipt of complaints: preliminary steps

51 Complaints initiated by, or continued by, the Commission

52 Ineligible or premature complaints

53 Commission process relating to complaints

54 Commission’s duty to investigate and determine services complaints

55 Regulatory complaints against authorised legal businesses

56 Services complaint: sanctions

57 Commission decision making and delegation

58 Commission review committee

59 Disclosure of information by practitioners etc. to the Commission and relevant professional organisations

60 Power of Commission to request practitioner’s details in connection with complaints

61 Services complaints: special provision for complaints against unregulated persons

62 Handling complaints

63 Annual general levy and complaints levy

64 Unregulated providers of legal services: register, annual contributions and complaints contributions

65 Commission rules as to practice and procedure

66 Conduct or regulatory complaint raised by relevant professional organisation

67 Conduct or regulatory complaint appears to relevant professional organisation during investigation to be services complaint

68 Conduct complaints: consideration by relevant professional organisations

69 Complaints: monitoring and setting of minimum standards by the Commission

70 Compensation funds: setting of minimum standards by the Commission

71 Enforcement of minimum standards

72 Obtaining information from practitioners

73 Power to disclose information about complaints: Commission

74 Restriction on disclosure of information: Commission

75 Power to disclose information about complaints: relevant professional organisations

76 Restriction on disclosure of information: relevant professional organisations

77 Conduct complaints: power to impose unlimited fine and removal of power to award compensation

78 Faculty of Advocates: complaint of professional misconduct and publication of decision

79 Commission membership

80 Role of the independent advisory panel

81 Commission reports

82 Minor and consequential amendments

Part 4
Miscellaneous

83 Financial sanctions

84 Licensing rules: fees

85 Removal of requirement to act for fee, gain or reward

86 Eligibility criteria: law centres

87 Majority ownership

88 Non-solicitor investors: factors as to fitness

89 Removal of practising restrictions: law centres, citizens advice bodies and charities

90 Offence of taking or using the title of lawyer

91 Offence of pretending to be a regulated legal services provider

92 Offence of pretending to be a member of Faculty of Advocates

93 Time limit for prosecution of offences

94 Power of the Scottish Ministers to adjust restricted legal services

95 Lord President’s functions under Parts 1 and 2: rule-making making power

96 Modification of other enactments

97 Review of Act

Part 5
General

98 Individual culpability for offending by an organisation

99 Civil enforcement in relation to offences

100 Regulations

101 Ancillary provision

102 Interpretation

103 Commencement

104 Short title

SCHEDULES

Schedule 1 Law Society of Scotland

Schedule 2 Further provision about measures open to the Lord President

Schedule 3 Minor and consequential modifications of enactments

Changes to legislation:

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Part 3Complaints

58Commission review committee

(1)

The 2007 Act is amended as follows.

(2)

After section 20, insert—

“Reviews

20AApplications to review committee

(1)

A person mentioned in subsection (2) may make an application for a review of a decision by the Commission in relation to a complaint that is mentioned in subsection (3).

(2)

The persons are—

(a)

the complainer,

(b)

the practitioner to whom the complaint relates,

(c)

the practitioner’s firm,

(d)

the employing practitioner,

(e)

the relevant professional organisation.

(3)

The decisions are—

(a)

a decision by the Commission that a complaint referred to in section 2(1) is not an eligible complaint in accordance with any provision in rules made under section 32(1),

(b)

a decision to discontinue the investigation of a services complaint in accordance with section 9(1A)(a),

(c)

a decision to reinstate the investigation of a services complaint in accordance with section 9(1A)(b),

(d)

a determination under section 9(1) to uphold a services complaint,

(e)

a determination under section 9(1) to not uphold a services complaint,

(f)

a decision to discontinue the investigation of a services complaint (and not to determine it under section 9(1)) in accordance with section 9(5),

(g)

a decision not to initiate the investigation of a services complaint (and not to determine it under section 9(1)) in accordance with section 9(6)(a),

(h)

a decision to discontinue the investigation of a services complaint (and not to determine it under section 9(1)) in accordance with section 9(6)(b),

(i)

a decision to take any of the steps mentioned in section 10(2) other than—

(i)

a direction to the practitioner or the employing practitioner (as the case may be) to pay compensation to the complainer, or

(ii)

a decision as to the amount of such compensation to be paid under the direction.

(4)

Subject to subsection (5), an application for review must be made before the expiry of the period of 28 days beginning with the day on which notice of the decision was given to the complainer and the practitioner.

(5)

The review committee may decide that it may consider an application for a review of a decision under subsection (1) that is made after the expiry of the period referred to in subsection (4) if it considers that to be appropriate.

(6)

Following a review, the review committee may make such decision as it considers appropriate (including a decision that substitutes its own decision for the decision to which the application for review relates).

(7)

Where a decision of the review committee upholds a services complaint or confirms a determination under section 9(1) to uphold a services complaint, the review committee may direct that such of the steps mentioned in section 10(2) as it considers fair and reasonable in the circumstances be taken.

(8)

A decision of the review committee under this section is final.”.

(3)

The following provisions are repealed—

(a)

section 21 (appeal against Commission decisions) (and the italic heading before it),

(b)

section 22 (appeal: supplementary provision).

(4)

In schedule 1 (the Scottish Legal Complaints Commission)—

(a)

in paragraph 10 (procedure), in sub-paragraph (2), for “determination” substitute “review”,

(b)

in paragraph 11 (committees)—

(i)

in sub-paragraph (1)(a), for “determination”, in both places where it occurs, substitute “review”,

(ii)

in sub-paragraph (3), for “determination” substitute “review”,

(c)

in paragraph 13 (delegation of functions), for sub-paragraph (2)(d), substitute—

“(d)

the function of considering an application for review of a decision of the Commission under section 20A(1) to be exercised only by the review committee, but a review in respect of any of the following decisions may be taken by a single member of the review committee—

(i)

a decision by the Commission that a complaint referred to in section 2(1) is not an eligible complaint in accordance with any provision in rules made under section 32(1),

(ii)

a decision to reinstate the investigation of a services complaint in accordance with section 9(1A)(b).”.

Annotations:
Commencement Information

I1S. 58 not in force at Royal Assent, see s. 103(3)