Costs: Paralegals will require supervision
The Association of Costs Lawyers (ACL) has backed the creation of a new membership category for non-costs lawyers, with launched a further consultation on describing them as ‘costs paralegals’.
They will have to be supervised by a qualified costs lawyer to ensure they meet certain standards.
A consultation on updating the ACL’s articles of association found that 82% of members broadly agreed with the introduction of a ‘costs draftsperson’ category and with the requirements for it, while 88% supported the introduction of a Fellow category for experienced members.
To avoid public confusion or dilution of the costs lawyer brand, the ACL’s council has proposed ‘costs paralegal’ to describe a costs draftsperson, in line with three of the other main legal bodies that have a specific paralegal category of member: CILEX, the Chartered Institute of Patent Attorneys, and the Chartered Institute of Trade Mark Attorneys.
A key question was whether the purpose of the new category was to expand the tent to experienced practitioners who have chosen not to seek qualification, or to introduce people working in costs to the association, and costs lawyers, at an early stage of their career.
“The council has resolved that the purpose of this membership category should be for the latter,” the new consultation said.
With around half of all costs lawyers working for solicitors’ firms, the ACL said it recognised that unqualified staff would have a range of potential professional qualifications.
“The council considers that the benefit of bringing these potential costs lawyers into the proverbial ‘tent’ is greater, as it allows these individuals to have access to ACL membership at an early stage, supervised by a costs lawyer member.
“This should assist with their professional development and introduce them to qualifying as a costs lawyer rather than achieving qualification via the alternative Solicitors Qualifying Exam or CILEX Professional Qualification routes.
“This is distinct from costs draftspersons that do not intend to qualify at all, despite the number of flexible routes that are now open to them.”
The consultation added that it was liaising with the regulator, the Costs Lawyer Standards Board (CLSB), to ensure that the requirement for supervision of a costs paralegal by a full member of the ACL was “in line with their regulatory objectives”.
The ACL is one of the approved regulators listed in the Legal Services Act and costs lawyers are authorised persons like solicitors and barristers.
It is an unusual corner of the regulated legal market in that unregulated costs professionals are able to do largely the same job, although only costs lawyers have rights of audience and their clients the benefits of protections imposed by the CLSB.
The ACL delegates its regulatory functions to the CLSB – which is chaired by former Liberal Democrat MP David Heath – and, unlike the Law Society, Bar Council and CILEX, does not take any money from practising fees, relying instead on costs lawyers joining and paying a membership fee.
The consultation, which also seeks views on a minimum time before a member can join the council, is open until 4pm on Friday 6 September.
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