Regulation of Legal Services (Scotland) Act 2025

Part 1Regulatory framework

Chapter 1Objectives, principles and key definitions

Overview of Part

1Overview of the regulatory framework

Regulatory objectives

2Regulatory objectives

3Application of the regulatory objectives

Professional principles

4Professional principles

Meaning of key expressions

5Meaning of “legal services” and “legal services provider”

6Meaning of regulatory functions

Chapter 2regulators

Regulatory categories

7Regulatory categories

Requirements of category 1 regulators

8Exercise of regulatory functions

9Regulatory committee: composition and membership

10Regulatory committee: lay and legal members

11Regulatory committee: convener, sub-committees and minutes

12Annual reports of category 1 regulators

13Compensation funds

Requirements of category 2 regulators

14Exercise of regulatory functions

15Annual reports of category 2 regulators

Requirements of both category 1 and category 2 regulators

16Register of regulated legal services providers

17Professional indemnity insurance

Powers of the Lord President in relation to regulators

18Review of regulatory performance by the Lord President

19Measures open to the Lord President

Special rule changes

20Power to direct special rule changes

21Powers to amend or revoke directions

22Register of directions

Chapter 3New regulators of legal services

23Right to provide legal services

24Regulatory scheme

25Regulatory scheme - additional matters to be included: further provision

26Publication of draft regulatory scheme and representations

Consideration and grant

27Consideration of applications

28Approval of application and giving effect to the regulatory scheme

Exercise of the acquired rights

29Exercise of rights to provide legal services

30Surrender of rights

31Offence of pretending to have acquired rights

Review of regulatory scheme

32Review of regulatory scheme on initiative of accredited regulator

33Review of regulatory schemes

34Revocation of acquired rights

35Replacement regulatory arrangements for authorised providers

36Consequential amendments and repeals

37Transitional and saving provision for regulators approved under the 1990 Act

Part 2Regulation of legal businesses

38Overview of Part

Requirement to be authorised to provide legal services

39Requirement for legal businesses to be authorised to provide legal services

40Offence of pretending to be an authorised legal business

Regulation of authorised legal businesses

41Rules for authorised legal businesses

42Authorisation rules

43Appeals in relation to authorisation decisions

44Practice rules

45Financial sanctions

46Reconciling different rules

47Monitoring of performance of authorised legal businesses

48Law Society of Scotland

49Entities changing regulatory regime

Part 3Complaints

50Receipt of complaints: preliminary steps

51Complaints initiated by, or continued by, the Commission

52Ineligible or premature complaints

53Commission process relating to complaints

54Commission’s duty to investigate and determine services complaints

55Regulatory complaints against authorised legal businesses

56Services complaint: sanctions

57Commission decision making and delegation

58Commission review committee

59Disclosure of information by practitioners etc. to the Commission and relevant professional organisations

60Power of Commission to request practitioner’s details in connection with complaints

61Services complaints: special provision for complaints against unregulated persons

62Handling complaints

63Annual general levy and complaints levy

64Unregulated providers of legal services: register, annual contributions and complaints contributions

65Commission rules as to practice and procedure

66Conduct or regulatory complaint raised by relevant professional organisation

67Conduct or regulatory complaint appears to relevant professional organisation during investigation to be services complaint

68Conduct complaints: consideration by relevant professional organisations

69Complaints: monitoring and setting of minimum standards by the Commission

70Compensation funds: setting of minimum standards by the Commission

71Enforcement of minimum standards

72Obtaining information from practitioners

73Power to disclose information about complaints: Commission

74Restriction on disclosure of information: Commission

75Power to disclose information about complaints: relevant professional organisations

76Restriction on disclosure of information: relevant professional organisations

77Conduct complaints: power to impose unlimited fine and removal of power to award compensation

78Faculty of Advocates: complaint of professional misconduct and publication of decision

79Commission membership

80Role of the independent advisory panel

81Commission reports

82Minor and consequential amendments

Part 4Miscellaneous

Financial sanctions

83Financial sanctions

Licensed legal services providers

84Licensing rules: fees

85Removal of requirement to act for fee, gain or reward

86Eligibility criteria: law centres

87Majority ownership

88Non-solicitor investors: factors as to fitness

Removal of certain practising restrictions

89Removal of practising restrictions: law centres, citizens advice bodies and charities

Offences relating to pretending to be a regulated provider of legal services

90Offence of taking or using the title of lawyer

91Offence of pretending to be a regulated legal services provider

92Offence of pretending to be a member of Faculty of Advocates

93Time limit for prosecution of offences

Power of the Scottish Ministers to adjust restricted legal services

94Power of the Scottish Ministers to adjust restricted legal services

Lord President’s functions under Parts 1 and 2: rule-making power

95Lord President’s functions under Parts 1 and 2: rule-making making power

Minor and consequential modifications

96Modification of other enactments

97Review of Act

98Individual culpability for offending by an organisation

99Civil enforcement in relation to offences

101Ancillary provision

102Interpretation

103Commencement

Schedule 1Law Society of Scotland

Part 1Category 1 regulator

1Exercise of regulatory functions

2(1) Section 3B of the 1980 Act is amended as...

3The following sections of the 1980 Act are repealed—

4(1) Section 3F of the 1980 Act (meaning of regulatory...

5(1) Section 3G of the 1980 Act (extended meaning of...

6Client Protection Fund

7(1) Schedule 3 of the 1980 Act is amended as...

8In section 39 of the 2007 Act (monitoring effectiveness of...

Part 2Regulation of legal businesses

9Regulatory functions

10Suspension of authorisation

12Offence of disqualified solicitors dishonestly seeking employment

13Rules as to professional practice, conduct and discipline

14Rules as to accounts etc.

15(1) Section 36 of the 1980 Act (interest on client’s...

16(1) Section 37 of the 1980 Act (accountant’s certificates) is...

17(1) Section 37A of the 1980 Act (accounts and anti-money...

18Powers where excessive fees etc. charged

19Powers where failure to comply with rules

20Judicial factors

21Distribution of sums in client bank account

22Client Protection Fund

23(1) Part 1 of schedule 3 of the 1980 Act...

24(1) Part 2 of schedule 3 of the 1980 Act...

25Professional indemnity

26Safeguarding interests of clients

27Recovery of expenses of intervention

28Restrictions on employing a struck off or suspended solicitor

30(1) Section 52 of the 1980 Act (procedure on complaints...

31(1) Section 53 of the 1980 Act (powers of Tribunal)...

32(1) Section 54 of the 1980 Act (appeals from decisions...

33(1) Part 2 of schedule 4 of the 1980 Act...

34Protection of banks

35Recovery of Council’s expenses

36Service of notices

37Interpretation

38Revenue powers in respect of authorised legal businesses

Schedule 2Further provision about measures open to the Lord President

Part 1Performance targets

2Power to set targets

Part 2Directions

5Power to direct

7Extension of time to comply

10Power to censure

Part 4Making changes to regulatory functions

13Power to make changes

15Parliamentary procedure for regulations

Part 5Procedure for imposing a measure

17Notice of intention

20Meaning of relevant persons or bodies

Schedule 3Minor and consequential modifications of enactments

Part 1Regulatory framework

1Regulatory objectives and professional principles

2(1) The 2010 Act is amended as follows.

3New regulators

4(1) The Legal Aid (Scotland) Act 1986 is amended as...

5(1) The 2010 Act is amended as follows.

6(1) The Courts Reform (Scotland) Act 2014 is amended as...

7(1) The Inquiries into Fatal Accidents and Sudden Deaths etc....

8Renaming etc. of Association of Commercial Attorneys

Part 2Modification of the 1980 Act in relation to complaints

9Conduct complaints suggesting unsatisfactory professional conduct

10Regulatory complaints

11Procedure relating to complaints

12Publication of decisions

13Other modifications

Part 3Modification of other enactments in relation to complaints

14Legal Aid (Scotland) Act 1986

15Law Reform (Miscellaneous Provisions) (Scotland) Act 1990

16Legal Profession and Legal Aid (Scotland) Act 2007

17Legal Services (Scotland) Act 2010

Part 4Miscellaneous modifications of the 1980 Act etc.

18The roll and other registers

19(1) The 1990 Act is amended as follows.

20Restoration of name to roll: appeals

21Restoration of name to register of European lawyers: appeals

22Restoration of name to register of foreign lawyers: appeals

23Restoration of name to roll or register: expenses

24Practising certificates

25Registration certificates

26Powers where excessive fees etc. charged

27Powers where failure to comply with rules

28Previous findings of record

29The Client Protection Fund

30(1) The 2007 Act is amended as follows.

31(1) The 2010 Act is amended as follows.

32Investment business certificates

33Appeals from decisions of Tribunal

34Constitution of Tribunal

35Procedure of Tribunal

36Communicating and giving effect to Tribunal decisions

37Appeal against decision of Tribunal to dismiss before enquiry

38Finality of decisions

39Other modifications

Part 5Miscellaneous modifications of other enactments

40Freedom of information

41Removal of special provision for confirmation agents and will writers etc.

42(1) The 2010 Act is amended as follows.

43In the Enterprise and Regulatory Reform Act 2013, in schedule...

44Civil enforcement of certain offences

45After section 74 of the 2010 Act insert— Civil enforcement...

46Disclosure requirements in connection with new offences

47(1) The Rehabilitation of Offenders Act 1974 (Exclusions and Exceptions)...

Royal arms

Regulation of Legal Services (Scotland) Act 2025

2025 asp 8

The Bill for this Act of the Scottish Parliament was passed by the Parliament on 20th May 2025 and received Royal Assent on 27th June 2025

An Act of the Scottish Parliament to make provision in relation to the regulation of legal services.