Maintain foreign law firm status quo: American Bar to BCI, with eye on Chennai

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In a letter to BCI chairman Gopal Subramanium, American Bar Association (ABA) president N Zack urged the Bar Council of India (BCI) to maintain “status quo” when discussing the entry of foreign law firms tomorrow (29 January).

“Currently, U.S. lawyers may travel to India on an ‘in-and-out basis’ to advise their clients on non-Indian laws. That ‘status quo’ should be maintained as the Bar Council considers the broader issue of whether to allow the practice of law by foreign law firms in India,” Zack said according to the ABA Journal.

Voicing general support for the liberalisation of the Indian legal sector, Zack added: “The ABA believes that allowing such activities is critical not only for the mutual benefit of the legal practitioners in both countries, but also for fostering the vital and already close relationship between India and the United States and to promote the robust growth of trade and investments between our two countries. Allowing such activities is also essential in making India a preferred venue for international arbitration proceedings.”

He acknowledged the BCI’s mandate for adoption of rules to govern the future course of legal activity by international firms in India and expressed hope that a meaningful solution comes by soon.

“I understand that the Bar Council of India needs to evaluate fully, and adopt rules and regulations addressing, the broader issue of whether, for example, U.S. lawyers should be permitted to establish offices in India and give advice on the laws of their home countries and international law, which I hope you will adopt in the not too distant future.”

Only a few months earlier Zack had written to president Obama requesting him to press for legal reforms in India during his official visit to the country.

In December 2010 the England & Wales Law Society’s head of international Alison Hook, who had been a key figure in UK law firm’s push for liberalisation resigned from the post to launch a global legal consultancy. The Law Society’s Brussels office head Julia Bateman is the acting head of international until a permanent replacement can be recruited.

Tomorrow’s BCI members’ meeting follows this week’s latest adjournment in the Chennai writ petition against 31 foreign law firms, where the BCI’s counsel requested more time for discussions.

Photo by redvers

Comments

Anonymous guest 29 Jan 2011, 11:47
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It should not be one way trafic. Let the American Bar Association,
allow Indian Lawyers to practice law in America. In USA only lawyers licensed in the State are permitted to practice law.Each State has its own bar council and no lawyer from out side State can practice law, even if licensed in any outside State. In India each State has bar council, but any lawyer licensed in any of the State bar councils, can pratice law in any other State. When US lawyers are restricted and allowed to practice law only in the state, a lawyer is licensed, then how American Bar Association will permit Indian Lawyers on reciprocal basis? If they can not allow Indian lawyers, why then, American Bar Association is asking BCI to permit American lawyers to pratice law in India?
Globalization did not mean one way trafic. It has to be level field for lawyers of both the countries. Till date BCI has been successfully safe guarding the interests of its members. Let us wait and watch what happens next?
Jyoti 30 Jan 2011, 13:54
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Santosh,

You're a bit mixed up in your comments.

The legal systems of the 50 US states is very different from the Indian states and due to this (and the strongly state-centric administration), there are restrictions is practice of law between many states (though many are very liberal). In India there is a very slight level of distinction in law between states and presumably that is why there are no such comparable restrictions on practise of advocates.

Second, unlike what you think, there is no restriction on Indian lawyers advising on Indian law in the US. So a partner of an Indian law firm is free to travel to Chicago and advise an NRI or the implications of his business restructuring under Indian law.

Lastly, it is far, far more easy for an Indian to obtain a license to practise in the US than the other way round. An indian can get away with a one year LL.M. (usually containing only a modest amount of US law) and sit for the Bar Exam (though in a small minority of states a two year degree is required). An american has to neccessarily obtain a five or three year LL.B. degree in India (intensively covering Indian law) before he can qualify with the BCI.

It does not seem to me that the BCI has successfully safeguarded anyone's interests except their own (and those of a few lazy Indian legal families such as the [...], the [...] and some others). By not allowing foreign firms to set up shop, they've encouraged these unprofessionally run, nepotistic, overpriced and dodgy firms to continue, kept the job market for legal professionals in India smaller than it could be and stifled competition.
Anonymous guest 31 Jan 2011, 15:34
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Jyoti; Recently, Indian lawyer who used to visit USA on Visa to advise NRI's about Indian laws to manage their business interests in India, was denied entry into USA. The reason was that without authorization to employment,he can not do or solicit any business in USA.Indian lawyers can not pratice law in USA, unless and until licensed by the any of the 50 State Bar Councils. It is another issue that it is easy to get license in USA, than in India. Let us not mix up the issue. Bar Council of India is a legally constituted elected body under the Advocates Act and represents the voice of about 11 lakh lawyers from all over India. Whereas American Bar Association is not the result of any
enactment passed by the legislature. If you can not pratice law in India or USA, how are you entitled to open law office? Are USA lawyers 'lazy'that they do not encourage competition with the Indian lawyers? Please stop comparing apples with oranges. There is no bar for Indian lawyers to compete with the so called family run law firms. Majority of Indian lawyers are hard working and competent to handle legal work of any type. Let lawyers of both the countries be permitted to practice law on reciprocal basis. No one way trafic, now or ever.
Jyoti 31 Jan 2011, 22:57
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Santosh - you must be better informed.

Detaining of the indian lawyer was due to misuse of visa - he was travelling on a visa that did not allow him to work. It has nothing to do with his being allowed to practise law.

Simply because you can practise in the US does not mean you can go there on a non-work visa and do so.

And please read more on the regulation of lawyers if you want to comment on the subject.
kianganz 31 Jan 2011, 23:00
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Interestingly, the Indian lawyer in question (Nishith Desai I assume) has got his US visa back now, as far as I know...

Haven't checked details but I guess it was mostly an unintentionally ironic technicality...
Anonymous guest 1 Feb 2011, 05:30
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Jyoti;I like your rebuttle. A lawyer's attitude also counts.Never give up, even if weak in substance. I wish you good luck in life.
Now may I state, that I am better informed on the regulation and role of lawyers in both the countries, India and USA. More than a decade, I am working to overhaul the justice delivery system in India. You only need to type my correct name: Santokh Singh Sahi: in the search column of: Google.com;Yahoo.com;tribuneindia.com and many other newspapers to read my articles, relating to both the systems and the role and responsibility of lawyers being played. I am proud to say that Indian lawyers are second to none in the world. Please note; my name is Santokh and not Santosh.
Anonymous guest 3 Feb 2011, 09:30
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Kian, can you please moderate the quality of comments provided on this blog? It seems to be dipping drastically. Completely agree with Jyoti and have little to offer to Mr. Sahi, except that he should read up and borrow some logic.