Friday 17 March 2023

In a game changing move India allows entry of foreign lawyers and law firms in India

In a game changing move India allows entry of foreign lawyers and law firms in India

Bar Council of India has globalised legal industry and allowed entry of foreign law firms and foreign lawyers in India. As India’s economy is performing well despite of a global economic slowdown especially in the developed nations, this move will attract even more investment, more cross-border transactions, more employment opportunities and uniform seamless advice for multinational corporations operating in India.

The Bar Council of India has notified Bar Council of India Rules and Regulation of Foreign Lawyers and Foreign Law Firms in India, 2022 (Rules) which allows the foreign lawyers and Foreign Law Firms to practice foreign law and diverse international law and international arbitration matters in India on the principle of reciprocity in a well defined, regulated and controlled manner as specified in the Rules.

Principle of reciprocityThe said change has been made on the principle of reciprocity so as to promote and strengthen the legal profession in India to keep pace with the globalization and to provide a vibrant and effective framework of legal profession that can cater to the ever changing needs of the people, belonging to different religions, faiths and having different personal laws, migrating from one country to the other and to promote international progress, coherence and unity.

Principle of reciprocity shall mean that Indian lawyers or Indian law firms are being allowed by the concerned counterpart foreign country. The Bar Council of India is responsible for ensuring the reciprocity. The reciprocity rule, however, will not apply if the foreign lawyer or law firm works on ‘fly in and fly out’ basis to advise Indian clients on foreign law.

Registration - A foreign lawyer or foreign law firm shall not be entitled to practice law in India unless he/it is registered with the Bar Council of India under these Rules. Chapter-III of the Rules deal with applications for registration, renewal of registration and matters connected with law practice in India.

Scope of law practice by Foreign Lawyers - A foreign lawyer registered under the rules will be allowed to practice law in India in non-litigious matters. They shall be allowed to practice on transactional work /corporate work such as joint ventures, mergers and acquisitions, intellectual property matters, drafting of contracts and other related matters on reciprocal basis. They shall not be involved or permitted to do any work pertaining to conveyancing of property, Title investigation or other similar works. The foreign lawyers or foreign Law Firms shall not be permitted to appear before any courts, tribunals or other statutory or regulatory authorities. Scope of practice will also include doing work, transacting business, giving advice and opinion concerning the laws of the country of the primary qualification and other areas as specified under Rule 8.

Opening of office and engaging local lawyers - The registered foreign lawyer or foreign Law Firm shall be entitled to do to open law office or offices in India for carrying on law practice in India as mentioned in Rule 8 of Rules and Bar Council of India has to be informed of the details of the office. The registered foreign lawyer or foreign Law Firm to engage and procure legal expertise/advise of one or more Indian Advocates Registered as foreign lawyers, (iii) to procure the legal expertise/advise of any Advocate enrolled with any State Bar Council in India on any subject relating to Indian Laws. But such registered foreign lawyer or foreign Law Firm shall not be entitled to appear before any Indian Court, Tribunal or any other statutory forum except for the maters mentioned under provision of Rule 8 of Rules. The registered foreign lawyer or foreign Law Firm shall also be allowed to enter into Partnership with one or more Foreign Lawyers or Foreign Law Firm registered in India under these rules.

This Article has been Compiled by Ayushi Misra (Senior Associate) and Arun Gupta (Partner). 

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