The Gazette 1973

Amalgamation with other professions What of amalgamation with other professions? Some may object to this type of professional supermarket as inimical to the historic traditions of our profession and the personal relationship and confidential privilege which exists between solicitor and client. Under our present legislation, we may not share our earnings with what the Act defines as unqualified persons, meaning thereby any person not holding a practising certificate. Even if it were desired, the position could not be changed without legislation. I do not express any opinion on this rather thorny subject except to say that we are too closely tied by statute and that this and many other matters in the Solicitors Acts should be the subject of enabling powers authorising the Society to deal with them by regulation. The Institute of Char- tered Accountants and other professions can deal with such matters autonomously by regulation or bye-law, whereas our profession must approach the Government for legislation which experience shows involves a time- lag of 12 to 15 years. Events will not wait so long. Professional Indemnity Insurance The same observation applies to the problems in practising in corporate form either with limited or un- limited liability. We must never abandon our Accounts Regulations nor seek to limit our liability for moneys which we hold for clients. But, is there a case for limited liability for professional negligence? I think not, because it would in the end be detrimental to our pro- fessional standing. The only remedy here is an adequate system of professional indemnity insurance which is becoming continually more costly. The Society has esta- blished a group scheme of which about half the offices in the country are members. The day may come when there will be a demand for compulsory insurance against liability for professional negligence similar to the exist- ing system for motorists. The suggestion has been made that Solicitors should be allowed to practise as com- panies with unlimited liability motivated partly, I think, by possible tax advantages for the larger or more prosperous offices. The view of the Council has been that this would require legislation which might be opposed by the Revenue Commissioners but here again I cannot see the justice of shackling our profession by Statute in a way which applies to no other. It should be a matter for ourselves to prescribe by regulations. Ladies and gentlemen, I have posed a number of questions concerning the future of our profession with- out, in most cases, suggesting the solutions. They are merely guides or sign-posts as to the directions on which the profession should be looking. Much depends on associations such as the Kerry Law Society which, to use a hackneyed phrase, is at the grass-roots of the profession. Suggestions from Bar Associations are wel- come to the Council, and all the more welcome if aicompanied by some practical indications of the best method of implementing them. I assure you that they will receive the. most careful attention. I could con- tinue on this theme but I will resist the temptation leaving the topics and any others which may occur to you open to discussion. A discussion followed in which Messrs W. B. Allen, Leslie Kearon, T. J. O'Donoghue and David Twomey participated. The President in reply dealt with the various points raised. As there was no further business the President de- clared the meeting closed. 138

Change necessary Do these predictions sound too depressing? Certainly not. With the growth of affluence and better distri- bution of wealth, there is a growing need for profes- sional legal services and advice. Legal expertise in the field of Company Law, take-overs and mergers is ever in greater demand in urban centres. Throughout the country, solicitors must learn to familiarise themselves with the problems on an ever-growing scale in which the public, their clients, need advice and assistance, problems of Redundancy, Labour Law, Family Law, Private International Law and the problems arising from membership of the E.E.C., commercial relations of all kinds and the difficult field of Tax-Law with its ever- changing facets. Above all, solicitors must learn to cost the value of their own time and charge just as other professions, medicine, dentistry and accountancy do, at rates which will cover the cost of operating their offices, paying reasonable salaries to staff, and provide a reasonable profit for themsélves to include interest on capital and the reward for risks undertaken in prac- tice. We have been sheltered so long by our conveyanc- ing practice that we have paid little or no attention to the need to look at changes which the future may bring. Solicitors as men of busine:s With the growth of large corporations, an increasing number of solicitors may be absorbed in whole-time law departments of commercial undertakings employing highly skilled technical legal staff as the banks already do. This has been a marked development in England, but less noticeable here because of the* comparatively undeveloped state of our industrial sector in the past. This situation however will probably change with the influx of foreign capital under E.E.C. conditions. Solicitors in the past were men of business as well as lawyers. Our Scottish friends have never lost this tradi- tion and engage actively in house and business pro- perty negotiations and sales. The entire business of the sale and the title work is conducted in the solicitors' office or with the aid of a property centre set up, staffed and operated under the supervision of the local Bar Association. Solicitors in the Republic are entitled to act as house and Estate Agents without any licence. Like- wise, there is nothing to prohibit a solicitor from apply- ing for and obtaining an Auctioneer's Licence except the Society's Professional Practice Regulations against advertising which were made by the Society and could be changed in like manner. We know that in many rural areas solicitors do in fact carry out very much of the work connected with an auction of property for which they receive no additional fees. It appears to me that the profession in rural areas could provide a first class comprehensive service in negotiating, selling and conveyancing work combined, at rates which would be economic for themselves and satisfactory for the public. I am not saying that these developments will occur overnight but they could form part of the picture of the future development of the profession in conditions where pure title work would assume a decreasing im- portance. The planning legislation is another important field to which we have paid too little attention. There is a need for greater expertise and study here, and indeed a gap in our educational system which must certainly be filled when we get the powers which we are seeking from the Government.