4 March 2010: Simon Lewis of Sinch Software Delivers Groundbreaking Conference on Online Legal Services: Sydney Australia was the venue for a conference of international significance on the latest trends in online legal services. The line up of speakers included international thought leaders such as Richard Granat, Adrian Dayton, Darryl Mountain and Peter C Hart. The conference also heard presentations from lawyers who are currently providing online legal services. Influential technologists Derek Giles and Julian Fenwick also presented. There were many more presenters, all of whom made a valuable contribution. Based in Australia,
Simon Lewis is our own home grown thought leader in the field of technology and law firms. Presenters and attendees were very fortunate to have participated in the conference. Read about the major themes, insights and stories from the conference. Conference Photos
4 March 2010: Financial Planners Are Skilling-Up On The Legal Aspects of Estate Planning: Speaking at the Sinch Online Legal Services Conference, Michael Perkins informed the audience about his view that the "professions are flattening". The course that he helped to develop on estate planning law, within the faculty of law at the University of Technology Sydney, has been embraced by the financial planners professional association. Financial planners and other advisors are skilling-up on legal literacy. According to Mr Perkins "Estate Planning is an area of practice that crosses professional boundaries, not a discrete area of law. This is why it is migrating out of the sole area of responsibility of lawyers. This development triggers the need to redefine the boundary of responsibilities between the professions working within Private Wealth Management." Mr Perkins emphasised the opportunity for financial planners to become lead generators for lawyers.
Link to web site of Estplan which is a business associated with Michael Perkins
4 March 2010: Lawyers Real Estate Announces Franchise Expansion Plans: Lawyers Real Estate provides a professional legal service which includes negotiating the sale of property - eliminating the need to use a real estate agent. It is a dual real estate sale and conveyancing service for a fixed price which is well below standard real estate agent commissions. The founder and principal of Lawyers Real Estate is Peter Mericka. He announced today at the Sinch Online Legal Services Conference that other law firms can now provide this service as a "bolt-on" to their existing practices by signing up as a franchisee to his system.
Link to Lawyers Real Estate
1 March 2010: In Search of KPIs for a NECS: At the beginning of this year some State governments kicked in $5m to keep the momentum going
for the setting up of the National Electronic Conveyancing System (NECS). The conveyancing industry has been heavily sold on the idea of a government NECS but how will we know whether a shiny new NECS is a success or failure? Legal Practice Intelligence considers some possible key performance indicators (KPIs) for a successful NECS ...
Read more
17 February 2010: Slater & Gordon Announces Gains in Family Law Revenue and Business & Private Client Revenue: The publicly listed law firm recently announced its half yearly results. Revenue for the 6 months to December 2009 was close to $59m. Over the past 3 years, revenue from Family Law work has doubled and Business & Private Client revenue has increased by more than 350%. However, the company notes that these increases come from a low base. The company also identifies that there is a significant opportunity for it to become a nationally recognised provider of family law services.
www.slatergordon.com.au
27 January 2010 Emerging Immigration Debate a Risk Factor for Migration Practices and Conveyancing Practices: Immigration to Australia (both temporary and permanent) over the past 18 months provided a significant economic stimulus, helping to keep the country out of a technical recession.(1)
However, on a per capita basis the country has been going backwards. "GDP per capita has not risen since the June quarter of 2008, the total fall in output per person since then reaching 2.1 per cent."(1) Why? The statistical explanation is meagre GDP growth combined with strong immigration-fuelled population growth.
A debate on Immigration could also include the argument that population growth has been a factor in recent home price rises and hence interest rate pressures. A political shift that leads to reduced immigration numbers will affect migration practices and conveyancing volumes.
Notes & links to recent debate in the media:
Update: 8/2/10 Government announces changes to skilled migration program: This
includes cancelling 20,000 visa applications.
Link to announcement
27 Dec 2009 - 10 Jan 2010: National Regulation Latest Developments: The last of the seven reform taskforce discussion papers has been released: The papers cover Fidelity Cover, Trust Accounting, Professional Indeminty Insurance, Business Structures, Legal Costs, Legal Services Ombudsman and Regulatory Framework. Available here
No time to read the papers? Check back soon for our concise summary of the major changes proposed for the profession.
17 December 2009: A PricewaterhouseCoopers Report Suggests That More Legal Aid Salaried Lawyers Might Be A Money Saver Compared to Using Private Practitioners: We took up the challenge, using only publicly available information, to run the numbers to work out whether this could be the case.
Read full article
8 December 2009: Over 230 Law Firms Sign Up To legaltender.com.au: We analyse whether such a service is beneficial to the profession.
Read full article
28 November 2009: Offensive Begins Against Reform Taskforce: The Law Societies / Institutes and Law Council have been eerily silent since the release of the Costs and Ombudsman Papers a little over a week ago. Public dissent has instead begun from NSW attorney-general John Hatzistergos who The Australian reports as saying that he was worried the complexity of the proposed scheme could cause confusion, "buck-passing" and additional costs. He said he was unclear how the proposed scheme would generate enough efficiency savings to pay for the proposed new institutions, the national legal services board and the national legal ombudsman.
LPB Viewpoint: Who said this: "I am concerned that the model of national regulation that has been proposed by the taskforce may not meet the stated objectives of being simplified, streamlined and nationally consistent". No it was not any official of a law society, institute or The Law Council of Australia. It was NSW attorney-general John Hatzistergos, as reported in The Australian. Perhaps the officials representing the legal profession learned their lesson last time when they were hammered by the Federal Attorney-General in full public view and as a result are using the strategy of behind the scenes lobbying?
24 November 2009: ASIC has Released a Paper Outlining Proposed Guidance to Directors on Their Duty to Prevent Insolvent Trading: "ASIC wishes to ensure that directors, particularly those in small-to-medium enterprises in financial difficulty, fully understand this duty".
Download the Paper from the ASIC web site
20 November 2009: Profession Reform Taskforce Releases Lawyers Costs Discussion Paper & More Detail on Lawyer Complaints Process: Responses from the Law Societies, Institutes and Law Council are eagerly awaited. Find Taskforce documents here
LPB Viewpoint: The documents are jam packed with inflammatory game changing proposals. Has the whole process gone off track? Wasn't the goal to simplify regulation in the name of a seamless national economy? The Taskforce's involvement in the minutiae of legal practice is not a good sign for achieving simplification but rather points to the possibility of thousands of more pages of prescriptive regulations which will only increase the cost of running a legal practice and increase the cost of legal services to the community.
17 November 2009: Profession Under Attack from Reform Taskforce: The Australian has obtained a pre-release discussion paper on costs issues from the Legal Profession Reform Taskforce, which if reported accurately, outlines the worst possible outcome for lawyers. Link to article in The Australian
12 November 2009: Slater & Gordon Announces Two Major Acquisitions: Kenyons Lawyers - a litigation firm operating from two offices in Melbourne's northern suburbs, generating over $5m in fees and Adams Leyland Lawyers with around 30 staff and $4m revenue. Adams Leyland Lawyers' main offices are located in the NSW regional centres of Albury and Dubbo. The acquisitions comprise a heavy component of personal injury work, some general practice areas, plus a new practice area for Slater & Gordon being a motor vehicle property damage practice conducted by Kenyons.
12 November 2009: The Legal Sector Suffered the Biggest Decline in October Job Ads: Olivier today revealed that during the month of October the legal sector suffered the biggest percentage fall in job ads compared to all other sectors in the economy. Job ads declined by 13.6% for the month to be 50.1% below the level of 12 months ago. This followed a 4.9% rise in job ads during September. Legal Practice Bulletin's own analysis indicates that the data may not be as bad as it appears on the surface. Each year job ads naturally begin their decline at this time of the year until they reach their low point during the January holiday season.
7 November 2009: SCAG Wants National Legal Profession Reform Taskforce to Look Into the Advertising of Legal Services: It wants advertising of legal services, including personal injury advertising, to be part of the Taskforce's report to the COAG meeting in April 2010. SCAG Communiqué
7 November 2009: Litigation Funding for Class Actions - Business as Usual at Least Until 30 June 2010: ASIC: " The relief will allow time for Government and ASIC to consider and consult on how funded class actions should be regulated under the Act in future. Depending on the outcome of that process, existing class actions may need to be restructured to meet the requirements of the Act by the end of the relief period." Read Media Release
6 November 2009: The Big Four Banks Dominating Market: Big Bank takeovers of smaller competitors has contributed to an increase in their market share for home mortgages from 56.8% to 73.8% over the last two years. Big four market share for deposits has increased from 58.8% to 72.6% over the same period. Analysis from theage.com.au
4 November 2009: Standing Committee of Attorneys-General (SCAG) to Consider a National Ban on Personal Injury Advertising: The Federal Attorney-General is pushing for a national ban as well as cracking down on loopholes that currently permit some advertising in the States where it is already technically banned. Report in smh.com.au.
3 November 2009: Online Marketing Group Makes Major Play in Legal Industry with Online Directory www.lawyers.com.au :
Part owned by Fairfax Digital, the site arbitrages its strength in searching, particularly with Google. It is targeted to consumers and small businesses who use the internet to find a lawyer.
31 October 2009: Slater & Gordon Achieves Marketing Coup in Tie-Up with National Seniors Australia (NSA): Slater & Gordon will make available discounted legal services to members of NSA. Read the full Media Statement
31 October 2009: Growth in Home Values Flat in September 09: Could this be the end of the current cycle of home price increases? Nationally for the 12 months to August 09, house values increased 6% and units 8.3%. But this trend appears to have ended with a thud in September 09 with a national increase of only 0.1% for the month [Source RPData]. Commentators refer to the end of the first home buyer wave and the changing interest rate cycle as possible explanations. This is only one month and the coming months will be keenly watched.
29 October 2009: NSW - In the Under 35 Age Group Female Solicitors Now Represent 62% of the Profession: The Law Society of NSW recently released statistics showing that overall female solicitors at 1 July 2009 represented 45% of the profession. The percentage of female to male solicitors has been increasing steadily over the last two decades but the rate of increase has picked up in the last few years. The under 35s statistics provide a sign of the gender composition of the profession in the decades ahead.
21 October 2009: Judges in Muddle over Litigation Funding for Class Actions: Their solution: seek out a regulator somewhere, anywhere who can clamp down on such activity. How about calling it a Managed Investment Scheme? Link to article in The Age.
16 October 2009: e.law Australia Pty Ltd to Buy CCH Workflow Solutions from Wolters Kluwer Asia Pacific: e.law has been in operation since 1999 and is a privately held company with approximately 50 full time staff plus casuals.
11 October 2009: Federal Government Acting to Increase Competition in the Home Lending Market: Competition setbacks in the banking industry include Westpac's takeover of St George and CBA's takeover of BankWest. Also, due to the credit squeeze, the major four banks have almost entirely pushed all other players out of the home lending market. Now the Federal Government is pumping an extra $8 billion into the mortgage market to "support competition".
8 October 2009: Lawyers Found Guilty of Conspiring to "Steal Clients" from Employer. Thinking of starting your own practice? Here's how not to go about doing it. Link to reported judgment. Link to reporting in smh.com.au.
4 October 2009: The American Lawyer has released its annual list of the top 100 firms in the world by revenue and by profit per equity partner.
Five Australian firms made it in the top 100 revenue list. Rankings in brackets: Mallesons Stephen Jaques (74); Freehills (86); Minter Ellison (87); Clayton Utz (89) and Allens Arthur Robinson (90)
To get a perspective on the size of Australian firms, the combined revenue of these five firms is still less than the individual revenue of any of the top four in the list.
21 September 2009: National - Law Council Disappointed at Attorney-General's Comments: Read Response to outbursts reported on 18 September 2009 below.
Your Say: "Could this be a reminder that a Labor politician with a Labor political agenda is in charge of reorganising the structures and rules that govern the legal profession?"
18 September 2009: National - News from the 36th Australian Legal Convention in Perth. Read about Federal Attorney-General Robert McLelland's outbursts criticising the legal profession and current state of regulation, a new role for consumers of legal services and about New South Wales' Lawcover itching to compete nationwide for the PI insurance pot of gold. Read the text of the Chief Justice of Western Australia's speech on "The future of regulating the Legal Profession: Is the Profession Over Regulated?"
11 September 2009: National - Further progress towards national regulation of the legal profession which could see a National Legal Ombudsman and the increasing likelihood of a National Practising Certificate.
August 2009: National - Banks are key to acceptance of E-Conveyancing: Alan West CEO NSW Division of the Australian Institute of Conveyancers, writing in their Journal (2nd Issue 2009), states: "the main drivers of acceptance of electronic conveyancing will be the banks" and "the main reason the system designed for Victoria has not worked ... is because the main banks want a national system and refuse to get involved with a 'State' based system".
July 2009: NSW - New Legal Aid Grants System likened to a game show where contestants who are fastest on the buzzer are likely to get first shot at being issued a matter. Contact Legal Practice Intelligence confidentially Tel: 02 9328 7676 or email your say.
10 July 2009: National - E-Conveyancing Roadshow: The National Electronic Conveyancing Office has launched a nationwide roadshow themed "Workshop about Electronic Conveyancing" however cynics might label this a public relations drive following the financial and political stumbling blocks encountered in recent months.
24 June 2009: Australia/Asia - A new top tier firm is born: Deacons will merge with UK's Norton Rose and form Norton Rose Group from 1 January 2010. Post merger it is expected that there will be 700 fee earners based in Australia and Asia. Link to News Source
19 June 2009: National - E-Conveyancing mired in a political circus: The NSW Government has kicked in $2m following cries for help from parties putting together our state of the art E-Conveyancing system. Link to News Source
12 May 2009: National - Federal Budget: 6 Month Reprieve for First Home Buyers Boost. Until 30 September 2009 scheme remains unchanged. From 1 October 2009 to 31 December 2009 there will be a reduction in the Boost of $3,500 for established homes and $7,000 for new home Link to News Source
30 April 2009: National - COAG Agrees on Plan for National Regulation of Lawyers: draft legislation to be prepared within 12 months. The last attempt at national uniform regulation was far less ambitious; the process dragged for 15 years and did not achieve adoption by all States. Now the goal is draft legislation in 12 months - perhaps a first draft. Link to News Source
24 April 2009: National - First Home Buyers Boost to be Reconstructed: Despite the Prime Minister suggesting that the Boost will end on schedule, it now appears likely that the Boost will continue in a modified form. Details are expected to be released in the Federal Budget, May 12. Link to News Source
22 April 2009: NSW - Legal Services Commissioner Provides Profit Tips for Law Firms: Steve Mark quoted in ALB "The whole concept of the billable hour limits firms' profit," said Mark. "The problem is it's used as a charging tool instead of a costing tool. What firms have to do is build a product into the billable hour, so fees go up." Link to News Source
16/17 April 2009: National - Single National Regulator of the Legal Profession and Lawyer Billing Practices: SCAG Meeting Communiqué: "...COAG be asked to consider the option of a national regulator for the legal profession". "Ministers also agreed to examine options to constrain overcharging and exploitation of vulnerable users of legal services." Link to News Source
6 April 2009: National - Job Ads Fall: For the 12 months ended March 2009 The ANZ Bank reports that job advertisements are down by 44.6% for the whole of the Australian economy Link to News Source. The Olivier Index reports a close 44.82% Link to News Source. The Legal sector, according to the Olivier analysis, has fared better than the economy as a whole being down by 36.3%.
