RF1 notes – Part C
C. Main/head office for RELs and RFLs
3.1 Renewing RELs registration
RELs are listed according to their status within the organisation.
- In a partnership, partners are listed first followed by assistants, associates and consultants.
- In a limited liability partnership (LLP), members are listed first.
- In a company, directors are listed first.
If any REL has been omitted from the form, enter his/her details in the "New RELs" section for the office with which the REL is most closely associated (either section 4.2 or 5.7 of the form). Please ensure that you provide the exact start date (e.g. 10/03/2008).
SRA number
Every REL has a unique SRA number, which should be quoted when contacting us.
Status
A person's status in the organisation should be listed here. Include any dates when changes to status took effect in "Additional information". Use a separate sheet if necessary.
Client money and controlled trust money
For practice in England and Wales, "client money" and "controlled trust money" are defined in rule 13 of the Solicitors' Accounts Rules 1998.
For practice outside England and Wales,
- "client money" means money held or received for or on behalf of a client, and
- "controlled trust money" means money which is subject to a controlled trust of which you are a trustee. (See rule 15 and rule 24 of the Solicitors' Code of Conduct.)
All the questions in this section relate to the practising year 1 November 2007 to 31 October 2008. They apply to all offices where a REL practises, including offices of your organisation and any other organisation(s) through which the REL practises.
Change the answer to any question if it is printed incorrectly on the form and include the date any changes became effective.
Change the relevant fee calculation where changing an answer means the compensation fund contribution payable is different. For example, if the REL is shown on the form as a partner but became a consultant before the beginning of the practising year (1 November 2007 to 31 October 2008) and has not held client money directly or indirectly during that practising year, you should change his/her compensation fund contribution on the fee calculation page.
Questions A1 to B2
- Answer all four questions, even though some of them, at first sight, may appear to be covering the same ground.
- If you change the answer to A1 or A2, you may also need to change the fee calculation, because the compensation fund contribution for this REL may have changed.
- The answers to questions A1 to B2 should cover all office(s) of your organisation from which the REL's relevant
practice is carried on, and any other organisation(s) through which the REL practises. Examples include the following:
- a) If the question relates to practise in England and Wales and the REL is a partner, the answer should cover all English and Welsh offices of the partnership. If the REL is an employee, the answer should relate to the office at which the REL is based.
- b) If the question relates to practise anywhere in the United Kingdom, and the REL is a member of an LLP or a director of a company which is a recognised body, the answer should cover all offices of the recognised body in England and Wales, Scotland or Northern Ireland.
- c) If the question relates to practise in Scotland or Northern Ireland, and the REL is a partner in another law firm as well as being a partner in your firm, the answer should cover all offices of both firms which are in Scotland or Northern Ireland.
- The answers to questions A1 and A2 determine whether the solicitor must pay the higher rate of compensation fund contribution. The answers to questions B11 and B2 determine whether the solicitor must deliver an accountant's report.
Question A1
Did the REL hold or receive client money in respect of practise in the United Kingdom in the 12 months to 31 October 2008?
- The answer is "yes" if the REL held or received client money in relation to practise from an office anywhere in England and Wales, Scotland or Northern Ireland.
- If the money was held or received in relation to practise in Scotland or Northern Ireland, the answer is "yes"—even if the REL is exempt from the overseas accounts provisions in respect of that money.
- A REL will always have held or received client money (whether or not the REL was a signatory to the client account) if
- a) the REL was a partner, or was held out as a partner, in a partnership; and
- b) the partnership held or received client money.
This is not the case if the practise was in Scotland or Northern Ireland and the partnership was an LLP formed under the law of a jurisdiction, which gives the LLP a separate legal personality.
- If the REL was a partner but became a consultant before the beginning of the practising year (1 November 2007 to 31 October 2008), the answer to question A1 is "no", unless the REL held or received client money in a capacity other than as a partner in your firm.
- If a cheque was made out to a REL and was signed over to a client, beneficiary or employer, the REL "received" the money even though it was not banked in the REL's name.
Question A2
Did the REL hold or receive client money through a recognised body in respect of practise in the United Kingdom in the 12 months to 31 October 2008?
- The answer is "yes" if the REL was a director, member or shareowner of
- a) a recognised body which held or received client money in respect of practise anywhere in england and Wales, Scotland or Northern Ireland; or
- b) a body corporate which directly or indirectly owned the whole or any part of a recognised body which held or received client money in respect of practise anywhere in England and Wales, Scotland or Northern Ireland.
- The recognised body could be either an LLP incorporated in the United Kingdom, or a company incorporated in England and Wales, or a company incorporated in another European jurisdiction.
- Even if the recognised body is exempt from the overseas accounts provisions in respect of that money, the answer is "yes".
Question B1
Is the REL required to deliver one or more accountant's reports in respect of practise in England and Wales in the 12 months to 31 October 2008?
- The answer is "yes"—if, in respect of practise in England and Wales in the 12 months to 31 October 2008, the REL
- a) held or received client money,
- b) held or received controlled trust money,
- c) operated a client's own account as signatory,
- d) was a director of a company (a recognised body) which held or received client money or controlled trust money, or
- e) was a member of an LLP (a recognised body) which held or received client money or controlled trust money.
- A REL will always have held or received client money in respect of practise in England and Wales (whether or not the REL was a signatory to the client account) if
- A REL may hold or receive controlled trust money in his or her capacity as a partner—for example, when a will or trust appoints "the partners" in a firm as the only executors or trustees.
- A REL may hold or receive client money or controlled trust money in a capacity other than as a partner—for example, when a will or trust appoints the REL by name as an executor or trustee.
- A REL who ceases to be a partner and becomes a consultant may remain a trustee of one or more controlled trusts, and thus continues to hold controlled trust money.
- A client's own account means an account in the name of a client (not a solicitor's or REL's separate designated client account). A REL may be a signatory of a client's own account either under a power of attorney or, for example, as signatory for a company or charity.
- If the REL is required to deliver one or more accountant's reports in respect of practise in England and Wales, but not in respect of the practice of your firm, please answer "yes", but add a note "not through this firm". This is to make sure that the REL is not asked to send an accountant's report in respect of your firm. It would be helpful if you also give the name of the other firm.
Question B2
Is the REL required to deliver one or more accountant's reports in respect of practise in Scotland or Northern Ireland in the 12 months to 31 October 2008?
- The general rule is that a REL is required to deliver an accountant's report(s)
in respect of practise in Scotland or Northern Ireland if, in the 12 months to 31 October 2008,
the REL held or received client money or controlled trust money, either
- a) directly (as an individual or partner), or
- b) indirectly (through a body corporate).
- A REL will have held or received money directly if, for example, any of the following circumstances apply:
- a) The REL held or received client money or controlled trust money as a sole practitioner.
- b) The REL was a partner, or was held out as a partner, in a partnership; and the partnership held or received client money. (This will be so whether or not the REL was a signatory to the client account.)
- c) The REL held or received controlled trust money as a partner where a will or trust appointed "the partners" in the firm as the only executors or trustees.
- d) The REL held or received client money or controlled trust money as an individual where a will or trust appointed the REL by name as an executor or trustee.
- e) The REL received a cheque made out to the REL, which was signed over to a client, beneficiary or employer without being banked in the REL's name. (In this case, the REL has received the money but has not held it.)
As an exception to the general rule in relation to partnerships, a REL does not have to deliver an accountant's report in respect of money held or received as a partner if
- a) a majority of the partners were lawyers of jurisdictions other than England and Wales; and
- b) UK lawyers did not form the largest national group of lawyers in the partnership.
The REL is required to deliver an accountant's report in respect of client money or controlled trust money which the REL held or received in some other capacity—for example, as a named trustee.
- A REL will have held or received money indirectly if
- a) The REL was a member of an LLP, or a director of a company, which was a recognised body incorporated in England and Wales and which held or received client money.
- b) The REL was a member of an LLP, or a director of a company,
which was a recognised body incorporated outside England and Wales and which held
or received client money; provided that
- (i) solicitors and/or RELs owned a controlling majority of the shares if the recognised body was a company with shares;
- (ii) solicitors and/or RELs constituted a controlling majority of the members if the recognised body was an LLP or a company without shares.
- c) In relation to a body corporate
which was not a recognised body and which held or received client money, the REL was
- (i) a director or shareowner, if the body corporate was a company with shares and solicitors and/or RELs owned a controlling majority of the shares;
- (ii) a director or member if the body corporate was a company without shares and solicitors and/or RELs constituted a controlling majority of the members; or
- (iii) a member, if the body corporate was not a company and solicitors and/or RELs constituted a controlling majority of the members.
- d) The REL was a partner in a non-UK LLP which held or received client money, provided that
- e) The REL was a director or shareowner of a company with shares which was
not a recognised body and in which solicitors and/or RELs owned a controlling majority of the shares, and
- (i) the REL held or received controlled trust money as trustee; and
- (ii) the only other trustee(s) were director(s), shareowner(s) and/or employee(s) of the company.
- f) The REL was a director or member of a company without shares,
which was not a recognised body and in which solicitors and/or RELs constituted a controlling majority of the members, and
- (i) the REL held or received controlled trust money as trustee; and
- (ii) the only other trustee(s) were director(s), member(s) and/or employee(s) of the company.
- g) The REL was a member of a body corporate which was not a company
or a recognised body, in which solicitors and/or RELs constituted a controlling majority of the members, and
- (i) the REL held or received controlled trust money as trustee; and
- (ii) the only other trustee(s) were member(s) and/or employee(s) of the body corporate.
- h) The REL was a partner in a non-UK LLP which was not a body corporate, but had separate legal identity in which solicitors and/or RELs constituted a controlling majority of the partners, and
Work categories
Our directory holds information on the types of work undertaken by RELs. Our online directory is Find a solicitor. The form is pre-printed with details from our current records. Please check the details and amend them if necessary, referring to our list of work categories. Please note that our records hold a maximum of six categories.
Languages
Our directory holds information on languages (other than English) spoken by RELs. Our online directory is Find a solicitor. The form is pre-printed with details from our current records. Please check the details and amend them if necessary, referring to our list of languages. Please note that our records hold a maximum of six languages.
Additional information
You should use this section to detail the effective dates of changes that have been made. Examples include the following:
- Changes in positions in your organisation should be noted. If there is not enough space, use another sheet and attach it to the form.
- If a REL has moved permanently to another of your offices, give the details under "Additional information". Please provide the SRA number and name of the office to which he/she has moved and the exact date of the move. You do not need to include his/her details under the new office if this office is included in the same form.
- If a REL has left your organisation, please cross out their details and give the exact date they left, together with a forwarding address, if known. You should also cross out their fees from the fee calculation page.
- If admitted in another EU jurisdiction.
3.2 Renewing RFLs registration
If any RFL has been omitted from the form you should enter his or her details to the "New RFLs" section for the office with which the RFL is most closely associated (either section 4.3 or 5.8). Please ensure you provide his or her exact start date (e.g. 10/03/2008).
Client money and controlled trust money
- "client money" and "controlled trust money" are defined in rule 13 of the Solicitors' Accounts Rules 1998.
- All the questions below relate to the practising year 1 November 2007 to 31 October 2008.
They apply to all English and Welsh offices of
- a) any multi-national partnership (MNP) in which the RFL is a partner; or
- b) any company which is a recognised body of which the RFL is a director; and
- c) any LLP which is a recognised body of which the RFL is a member;
- d) including MNPs and recognised bodies which are not part of your own organisation.
- Change the answer to any question if it is printed incorrectly on the form.
- Change the relevant fee calculation if changing an answer means the compensation fund contribution payable is different. For example, if an RFL partner who is shown on the form as practising mainly from an office in England and Wales went to work from an office outside England and Wales before the beginning of the practising year 2007/2008, you should change his/her compensation fund contribution on the fee calculation page.
Questions A to D
- Answer all four questions, even though some of them, at first sight, may appear to be covering the same ground.
- Change the answer to any question if it is printed incorrectly on the form.
- If you change the answer to A, B or C, you may also need to change the fee calculation because the compensation fund contribution for this RFL may have changed.
- The answers to questions A, B and D should cover all office(s)
of your organisation from which the RFL's relevant practise is carried on,
and any other MNP(s) or recognised body/bodies through which the RFL practises. Examples include the following:
- a) If the RFL is a partner, the answer should cover all English and Welsh offices of the MNP.
- b) If the RFL is a member of an LLP or a director of a company which is a recognised body, the answer should cover all English and Welsh offices of the recognised body.
- c) If the RFL is a partner in another MNP as well as being a partner in your firm, the answer should cover all English and Welsh offices of both MNPs.
- Questions A, B and D relate to the activities of all English and Welsh offices of
- a) any MNP in which the RFL is a partner,
- b) any company which is a recognised body of which the RFL is a director, and
- c) any LLP which is a recognised body of which the RFL is a member; including MNPs and recognised bodies which are not part of your own organisation.
- The answers to questions A, B and C determine whether the RFL must pay the higher rate of compensation fund contribution, a reduced rate or a nil contribution. The answer to question D determines whether or not the RFL must deliver an accountant's report.
Question A
Was the RFL a partner in a multi-national partnership (MNP) which held or received client money in respect of practise in England and Wales in the 12 months to 31 October 2008?
- Even if the RFL was only held out as a partner, the answer to question A is "yes".
- If a cheque was made out to the RFL or to the MNP and was signed over to a client or beneficiary, then the answer to question A is "yes", because the money has been "received" by the MNP, even though it was not banked in the MNP's account.
- If money was held or received only in relation to an office or offices of the MNP outside England and Wales, the answer to question A is "no".
- If the RFL was a partner in the MNP but became a consultant before the beginning of the practising year 2007/2008, the answer to question A is "no", unless the RFL was a partner in another MNP which held or received client money.
Question B
Did the RFL hold or receive client money through a recognised body in respect of its practise in England and Wales in the 12 months to 31 October 2008?
If the answer to question B is "yes", the RFL must pay a compensation fund contribution (which will be the full RFL contribution unless the answer to question C is "yes").
- The RFL will have held or received client money through a recognised body if the RFL was a director,
member or shareowner of
- a) a recognised body which held or received client money in respect of practise in England and Wales ; or
- b) a body corporate which directly or indirectly owned the whole or any part of a recognised body, which held or received client money in respect of practise in England and Wales.
- The recognised body could be either an LLP incorporated in the United Kingdom, or a company incorporated in England and Wales, or a company incorporated in another European jurisdiction.
Question C
Did the RFL mainly practise from an office or offices outside England and Wales in the 12 months to 31 October 2008?
The answer to question C determines whether an RFL's compensation fund contribution (if payable) will be the full RFL contribution or the reduced RFL contribution.
- If the RFL spent more than half his or her time at an office or offices outside England and Wales, the answer to question C is "yes".
Question D
Is the RFL required to deliver one or more accountant's reports in respect of practise in England and Wales as a partner in an MNP, a director of a company or a member of an LLP which is a recognised body in the 12 months to 31 October 2008?
If you have answered "yes" to question A, the answer to question D is also "yes".
If you have answered "no" to question A, the answer to question D will not necessarily be the same.
- The answer to question D is "yes"—if, in respect of practise in England and
Wales in the 12 months to 31 October 2008, the RFL
- a) held or received client money as a partner in an MNP;
- b) held or received controlled trust money as a partner in an MNP;
- c) was a director of a recognised body (company) which held or received client money or controlled trust money;
- d) was a member of an a recognised body (LLP) which held or received client money or controlled trust money;
- e) held or received controlled trust money as a director of a recognised body (company) or as a member of a recognised body (LLP); or
- f) operated a client's own account as signatory, as a partner in a MNP, a director of a recognised body (company) or a member of a recognised body (LLP).
- An RFL will always have held or received client money as a partner of an MNP (whether or not the RFL was a signatory to the client account) if the RFL was a partner, or was held out as a partner, in a MNP which held or received client money in connection with the practise of its English or Welsh office(s).
- An MNP has received money (but has not held it) where a cheque has been received and signed over to a client or beneficiary without being banked in the MNP's account.
- A RFL who ceases to be a partner and becomes a consultant may remain a trustee of one or more controlled trusts, and thus continues to hold controlled trust money.
- A client's own account means an account in the name of a client (not an MNP's or recognised body's separate designated client account). An RFL may be a signatory of a client's own account, either under a power of attorney or, for example, as signatory for a company or charity.
- If the RFL is required to deliver one or more accountant's reports in respect of practise in England and Wales, but not in respect of the practice of your firm, please answer "yes", but add a note "not through this firm". This is to make sure that the RFL is not asked to send an accountant's report in respect of your firm. It would also be helpful if you give the name of the other firm.
Work categories
Our directory holds information on the types of work undertaken by RELs. Our online directory is Find a solicitor. The form is pre-printed with details from our current records. Please check the details and amend them if necessary, referring to our list of work categories. Please note that our records hold a maximum of six categories.
Languages
Our directory holds information on languages (other than English) spoken by RELs. Our online directory is Find a solicitor. The form is pre-printed with details from our current records. Please check the details and amend them if necessary, referring to our list of languages. Please note that our records hold a maximum of six languages.
Additional information
You should use this section to give full details of
- any changes you need to make on the form about the RFL,
- any office or offices in England and Wales from which he/she has practised plus his/her main practising address if outside England and Wales,
- the date of any changes or the event reported, and
- any "material events" that have occurred since his/her last application.
"Material events" include being
- no longer entitled to practise as a member of a foreign legal profession;
- admitted within the jurisdiction of another Law Society, Bar or Chamber (including being called to the Bar of England and Wales);
- prevented by a new rule of his/her own regulatory body from continuing to be a partner in a MNP (or a director, member or shareowner in a recognised body);
- found guilty of professional misconduct by a court or disciplinary tribunal;
- the subject of proceedings alleging professional misconduct before a court or disciplinary tribunal, even if there has been no decision yet;
- struck off or suspended from practise;
- made bankrupt in England and Wales or the equivalent in another country;
- convicted of a crime in any court; or
- committed to prison in civil or criminal proceedings.
If there is not enough space, use another sheet and attach it securely to the RF1 form.
Please note as part of the assessment checks to grant a renewal of a registration as a foreign lawyer, we carry out immigration status enquiries with the Home Office for all applicants practising from the UK who originally applied for initial registration before April 2006.