Part 2Regulation of licensed legal services

Chapter 2Licensed legal services providers

Non-solicitor investors

I1I263Exemption from fitness test

1

Section 62(1) is subject to this section.

2

The approved regulator need not act as required by that section in relation to any exemptible investor in the licensed provider.

3

Licensing rules must explain—

a

any circumstances in which the approved regulator proposes to rely on subsection (2),

b

any threshold below the percentage specified in subsection (4) by reference to which it proposes to rely on subsection (2),

c

where it proposes to rely on subsection (2), its reasons.

4

In subsection (2), an “exemptible investor” is an investor who has less than a 10% stake in the total ownership or control of the licensed provider.