BCD and HCBA Request Stay on BCI Rules Allowing Entry of Foreign Lawyers and Law Firms In India

The Bar Council of Delhi (BCD), along with the Delhi High Court Bar Association (DHCBA) and other legal organizations in the capital, have sought a stay on the recently issued Bar Council of India (BCI) Rules.

These rules permit the entry of foreign lawyers and law firms to practice foreign law in India based on reciprocity.

BCD has submitted an interim report to the BCI, stating that a special committee was formed on March 20, 2023, to examine the BCI Rules concerning the registration and regulation of foreign lawyers and law firms in India.

During the committee meetings, all members unanimously agreed that the Rules would have severe and far-reaching implications for the legal profession in India.

“The same has been issued without taking the legal fraternity across the country into confidence,” the report noted.

The report concluded that the BCI Rules would significantly harm the legal profession and jeopardize the interests of all Indian advocates.

The members resolved that all bar associations should conduct meetings to inform their members about the Rules and their consequences.

In the meantime, they have requested the BCI to suspend the implementation of the Rules.

The interim report of BCD included the discussions held during the three committee meetings. Some of the key points raised were:

• The legal profession in India, which is regarded as noble, would be considered a commercial activity under the new Rules.
• The Rules do not explicitly outline reciprocity, as Indian lawyers are required to register with solicitor firms and pass the Solicitor Qualification Examination (SQE).
• Advocates will fall under the jurisdiction of consumer forum and may face cases filed by their clients before consumer redressal forums.
• Foreign lawyers would have the freedom to advertise, solicit, and share commissions, which is prohibited for Indian lawyers under the Advocates Act and BCI Rules.

On March 10, 2023, the BCI released the Bar Council of India Rules for Registration and Regulation of Foreign Lawyers and Foreign Law Firms in India, 2022, with the aim of enabling international lawyers and arbitration practitioners to provide advice in India.

On March 20, a press release was issued by the BCI to clarify that foreign lawyers and law firms could offer legal advice and services exclusively on international laws and only to foreign clients.

This week, the BCI signed a Memorandum of Understanding (MoU) with the Bar Council of England and Wales and the Law Society of England and Wales, which outlined the conditions under which Indian lawyers would be permitted to practice in the United Kingdom.

In a press release announcing the MoU, the BCI acknowledged that the recently introduced Rules allowing foreign law firms’ entry on a reciprocal basis required significant changes.

It further stated that it would consider representations from Indian law firms, sections of the Indian Bar, and opinions of foreign bodies before implementing such changes.