OFSI have issued guidance on how this will be done. OFSI is part of the UK Government Treasury which runs the UK Sanctions regime. (OFSI stands for 'Office of Financial Sanctions Implementation'.)
The Guidance was issued in March 2023.
Summary of Contents
The Guidance sets out:
• an explanation of the powers given to the Treasury in the 2017 Act
• a summary of our compliance and enforcement approach
• an overview of how we will assess whether to apply a monetary penalty, and what we will take into account
• an overview of the process that will decide the level of monetary penalty
• an explanation of how we will impose a monetary penalty, including timescales at each stage and rights of review and appeal
Click here for the link to the full guidance.
Sanctions Training
We can assist with training on the Sanctions Regime. Below is a link to that service. Feel free to contact us via the form below should you require assistance.
https://hunningsconsultancy.co.uk/sanctions-regime-training/
We don't publish most of the thanks and testimonials we get, but here is one.
It is from Firas Jayyusi, Senior Consultant at Cedar White Bradley
"Only a few people would have the chance to come across a remarkable professional like Ingemar. Ingemar, and his amazing team, helped me with the confirmation of my Qualifying Work Experience, which has now been accepted by the Solicitors Regulation Authority. Ingemar was extremely helpful, patient, knowledgeable and systematically walked me through the steps, with easy-to-use forms, into a great result. It is definitely a privilege to have that kind of professional and trusted service for Aspiring Solicitors like me."
QWE Confirmation - External Solicitor Service
We can be your External QWE Confirming Solicitor –
The deadline is 5pm on 31st March 2023. Contracts are planned to start 1st September 2023.
This is for the following Practice areas:
• Family
• Housing, Debt and Welfare Benefits
• Immigration and Asylum (including work at Immigration Removal Centres)
• Mental Health
• Community Care
• Claims Against Public Authorities (formerly known as ‘Actions Against the Police etc’)
• Clinical Negligence
• Public Law
• Family Mediation
• Education
• Discrimination
Here is a link to the document from the LAA called 'Selection Questionnaire Information for Applicants' which will give you more information: https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1140758/2018_Civil_Contracts_from_September_2023_SQ_IFA_V1.pdf
Help with obtaining the Contract & SQM or Lexcel
We assist firms with this process. Here is a link to this service with some more info.
To contact us, fill in the form below, or email our lead consultant, Ingemar, at [email protected] or call on 07887 524507 (leave a message if we are unable to answer).
We have checked out the process with the SRA.
The Agreed Exemption applies with regard to the application for exemption from SQE2. You fill in the details through your ‘MySRA’ profile on the SARA website.
The Agreed Exemption does NOT apply to any other exemption you are applying for – such as exemption from the SQE1 exam. For that you will need to complete the form with all the accompanying documentation to persuade the SRA that your experience and knowledge of a wide range of practice areas in English & Welsh law is so detailed that you do not need to take the SQE1 exam. You will need to prepare a detailed dossier of evidence, pay a fee and the SRA will take 6 months to assess this. The threshold is very high. Out opinion 8is that it is hard to get exemption from SQE1 (unless you have already passed the LPC).
Please remember that, if you are a Foreign Qualified Lawyer, you will be exempt from the QWE requirement.
For more information about the application for exemptions see the link below: https://hunningsconsultancy.co.uk/sqe2-exemption-for-foreign-lawyers-review-advice/
External QWE Confirmation Service
If you know of someone who needs an SRA regulated solicitor to confirm their QWE but there is no-one in their organisation to do so - we can help. This would apply to someone who is NOT qualified as a lawyer. Please see the link below and feel free to signpost them to us: https://hunningsconsultancy.co.uk/external-qwe-certification-service-2/
The SRA has issued some guidance on the situation when a client has approached a firm asking them to hold monies on their behalf, but the firm does not wish to do so.
First of all it is worth pointing out that it is up to the firm to decide whether it has a Client Account. It is also for the firm to decide if it will accept the money. However, there are several factors that might influence that decision.
Here is a link to the reply to the FAQ that the SRA has produced. Go to number 12.
https://www.sra.org.uk/solicitors/guidance/operate-client-account/#collapse_6a1d
Also the SRA has provided more case studies to help law firms avoid providing Banking Facilities. Here is the link.
https://www.sra.org.uk/solicitors/guidance/improper-use-client-account-banking-facility/
Help with SRA Accounts Rules Compliance
We have a team of experts in the SRA Accounts Rules. Please feel free to reach out for advice. They can also provide training for the COFA & COLP and the accounts team. In addition they can also assist with a review of the firm's finances, benchmarking against other law firms (as they are involved in one of the major annual benchmarking exercises for the Legal sector), cashflow forecasting and work on improvement of profitability. We can also assist should there be an SRA inspection or investigation. (The same applies for CLC regulated firms.)
For help, fill in the form below or contact our lead consultant, Ingemar Hunnings: [email protected]
These changes will come into effect on 1st April 2023. In summary:
1 – A change to time limits for referring a complaint to the LEO (reduced to 1 year from the date of the act or omission giving rise to the complaint, or date of knowledge)
2 – Discretion to decline to issue a formal Ombudsman decision after investigator case
decision if neither party raise any substantive objection to the findings of the case decision (seems to enhance their ability to proceed in the absence information)
3 – Changes to Ombudsman discretion to dismiss or discontinue a complaint in certain
Circumstances (seems to enhance their ability to dismiss or discontinue)
4 – Minor drafting changes to update Scheme Rules including new dates and correcting previous typographical drafting errors
The impression we get is that they are seeking to streamline the process.
Please refer to the detail. Link:
Legal Ombudsman Guidance: https://www.legalombudsman.org.uk/media/xfrfzben/guidance-scheme-rules-april-2023.pdf
Compliance Support from HCL
We provide compliance support across all areas of compliance affecting law firms regulated by the SRA & CLC. Our Data Protection consultants/DPOs also provide support and act as DPOs for businesses outside of the Legal Services sector. Fill in the form below to make an enquiry and see the drop down menus above for more details of services.
Our lead consultant, Ingemar Hunnings, has spoken with Tim Prior, Authorisation Officer at the SRA on 22nd February 2023 to get clarification on this. Tim was quite clear in his response. Foreign Qualified Lawyers who are taking the SQE1 and SQE2 exams are exempt from the requirement for Qualifying Work Experience (QWE). This is the case even if they are newly qualified in their local jurisdiction. This is because they will be tested on the skills in the SQE2 exam.
If the foreign qualified Lawyer wants to be exempted from the SQE2 exam, THEN there is a requirement for them to have 2 years' professional legal experience. That is because they are seeking to be exempted from the SQE2, which would otherwise test this.
Applying for Exemption from the SQE2 exam
See here for more info on how to do this: https://hunningsconsultancy.co.uk/sqe2-exemption-for-foreign-lawyers-review-advice/
QWE External Confirming Solicitor Confirmation Service
See here for more info on how we can help you: https://hunningsconsultancy.co.uk/external-qwe-certification-service-2/
If you are a foreign qualified lawyer from Ukraine, Russia or Belarus (and other ex-Warsaw Pact or Soviet Union countries), the set up of your legal profession, inherited from soviet days, would appear to present a problem if you are seeking exemption from the SQE2 exam on your route to qualifying as a solicitor of England & Wales.
Amongst other things, you are required to provide with your application for exemption a 'Certificate of Good Standing' from your professional regulatory body. In these countries the profession is divided into 2 segments. 1) people who pass a law degree are permitted to practice law and are 'lawyers', but have no regulation or professional regulatory body; 2) there is second group who pass further exams and are then called 'Advokats' and do have a professional regulatory body. Group 2 should have no problem complying with the requirement for providing the 'Certificate of Good Standing' to accompany their application to the SRA for exemption form the SQE2 exam. But what about group 1? They have no professional body to issue that certificate.
We wrote to the SRA asking for clarification on this issue. Below is the email we sent and the reply we received. However, in summary - they will accept other evidence. So this is good news. The SRA have previously confirmed to us that both category 1 & category 2 above of lawyers are regarded as 'foreign qualified lawyers and so may apply for exemption from the SQE2 exam and will be exempted form the QWE requirement. [Please note that people in the above categories may not qualified as advokats may not qualify through the QLTS route.]
(See below for help if you are NOT qualified & need your QWE confirmed to the SRA)
Question
"9.2.23
Subject: SQE2 exemption question
Hi,
I spoke with a colleague of yours in Admissions today. She did not know the answer to my question and suggested I email you.
Someone has asked me and I am trying to find out for them. He is a Russian qualified lawyer. In Russia the are 2 tiers of lawyers:
The gentleman who I am enquiring for falls under category a) above. Your colleague confirmed to us that the SRA would regard him to be a Foreign Qualified Lawyer for SQE2 purposes. Which is fine.
However, obtaining a ‘Certificate of Good Character’ is a problem – they do not have a professional body to which they may apply for this. Can you suggest what he can do to meet the requirement for the ‘Certificate of Good Character’?
Many thanks
Regards
Ingemar Hunnings"
Reply
"17.2.23
Our ref: AUTH/SQE/SP/Hunnings
Dear Ingemar
Thank you for your email of 9 February 2023.
In the absence of a certificate of good standing they can provide a copy of their admission certificate or any additional documentation to confirm they have the required title. This could include for example the academic qualifications that lead to them being recognised as a qualified lawyer in Russia.
All applications are reviewed by a caseworker to determine if the required documentation has been provided. If further information is needed we will let the applicant know before reaching a decision.
If you have any further questions please let me know.
Yours sincerely
Simon Prior
Authorisation Officer
Solicitors Regulation Authority
0121 820 2463"
Another point worth making: if you are qualified but not as an advokat, you might not have practice rights to conduct criminal litigation. If that is the case, you will have to complete section 8 of the exemption application form (see the section below for more info about applying for exemptions from SQE2 and to be able to download the application form.)
SQE2 Exam Exemptions in General
For further information about applications for exemption from SQE2 exam please see this link: https://hunningsconsultancy.co.uk/sqe2-exemption-for-foreign-lawyers-review-advice/
Service - External QWE Confirming Solicitor
If you need or know of anyone who needs an external solicitor to confirm their QWE to the SRA, we can help. Please see here a link to our service: https://hunningsconsultancy.co.uk/external-qwe-certification-service-2/
By statutory instrument the UK government quietly brought in a major change to the costs & damages regime for England & Wales. This will come into effect for all cases issued in the courts from 6th April 2023.
The LS Gazette reports that the government has quietly changed the CPR at the beginning of February to allow the recovery by Defendants of costs from the Claimant’s settlement. This reverses the court ruling in Cartwright v Ho. Defendants will be able to set off costs not only against orders but also deemed orders and agreements to pay against damages as well as claimant costs. This change will apply to all claims issued after 6th April 2023.
So, Claimants will want to ensure they issue as much as they can before 6.4.23. Defendants may want to reassess how they approach Part 36 offers. ATE insurers will want to reassess risk. All will need to ensure that they revise wording of advice to clients on costs.
The Government's financial sanctions regime now includes a ban on providing trust services to those connected with Russia.
The UK regime is operated by the Office of Financial Sanctions Implementation (OFSI). The measures are imposed by the Government to achieve specific foreign policy or national security objectives.
There have been a number of changes to the regime - which is underpinned by several pieces of legislation - in recent times. The SRA have already published guidance for firms to make sure they understand their obligations.
The Government has now made amendments introducing a ban on providing trust services to those connected to Russia (unless the services were provided immediately prior to the regulations coming into force), or to a designated person. The Russia (Sanctions) (EU Exit) (Amendment) (No. 17) Regulations 2022 came into force on 16 December 2022.
Paul Philip, SRA Chief Executive, said: 'Strengthening the financial sanctions regime is an important part of the government's response to war in Europe and law firms have a key role to play. The sanctions regime applies to all firms that provide legal services, not just those that are captured by the anti-money laundering regulations.
'This is a complex and fast-moving situation which is why we published our initial guidance last month. Firms would do well to sign up to alerts from OFSI to keep themselves up to date and also undertake appropriate checks on clients and potential clients.'
The amendment defines 'trust services' as:
A person is considered to be 'connected with Russia' is defined at regulation 19(A)2. Broadly, an individual is considered to be connected with Russia if they normally live in or are located in Russia. A person other than an individual is connected with Russia if it is incorporated/constituted under Russian law or domiciled in Russia. Further information is available in regulation 19(A)2.
OFSI will consider granting licences for trust work if that work falls within one of the following categories:
OFSI has published guidance on the sanctions legislation, including this amendment and updated their guidance on Russia.
Training on compliance with the Sanctions Regime
We provide remote training. Follow this link for more information or fill in the form below to get in touch. https://hunningsconsultancy.co.uk/sanctions-regime-training/
