The Gazette 1974

recently the College of Law has appointed a Director of Continuing Education with a view to providing the assistance which the profession needs. I look forward to the extension of continuing education. To sum up, our aim is the conti-n«ed service of our profession to the community, and with it the continuing prosperity of our profession. We believe in an initial education which will train the mind and which, in its vocational stage, will inculcate the entrants to the profession with proper standards and procedures and we believe that those entrants so initially trained should during their growing experience in practice continue to educate themselves and should be assisted by us in that pursuit. We shall now have to consider further, how, in the light of the profession's views, this aim may be attained. It has seemed to me that your thoughts are largely similar to ours. Mr. Joseph Dundon, in proposing the vote of thanks to Mr. Edwards, emphasised that the Court of Exam- iners had been guided by the President, Mr. Prentice, in trying to raise legal educational standards which would be deemed to have parity in other EEC countries. It was essential that, as in England, the profession should maintain the control of practical legal subjects. Mr. Brendan McGr a th emphasised that he con- sidered continuous courses in specialized subjects essen- tial if we are to compete successfully against outside specialists. It will also be necessary to advertise the services of specialists. Since our entry into the Com- munity, it is essential for us to learn how other pro- fessions work. Mr. Edwards replied that the question of specialisa- tin was difficult. The Law Society had considered whether specialist Diplomas could be awarded in certain subjects, but had finally opposed it. He thought it would be a mistake to try to train a lawyer as an accountant or other profession, although he would favour short managerial courses. Mr. Horsfall Turner, Secretary-General of the Law Society, emphasised that they had encouraged the local Law Societies to provide lists of specialists, which would be made available to lawyers of foreign countries, if required. Mr. J. M. Sweeney (Athenry), Acting Professor of Law in UCG, stated that it would be unrealistic to provide for specialisation in Ireland. In the B.C.L. course, there were 20 subjects to be studied in three years, and this only induced excessive cramming. Mr. Liam MacHale (Ballina) emphasised the diffi- culty of obtaining legal assistants in the country, and hoped that steps would be taken to overcome this. It might be possible to obtain financial assistance for legal education f r om industry. Mr. Lomas, Secretary of the Incorporated Law Society of Northern Ireland, emphasised that the num- ber of firms specialising in the North was very limited.

in which we could all spend the next hour is that we all participate in a discussion on this subject. I propose, to talk with you about the results of the pilot survey which we have carried out on the solicitors earnings in Ireland and which document was circulated to you yesterday and also on the draft paper on solici- tors' time costing and financial accounts, which, again» you have had since yesterday. (It is hoped to publish the text in a subsequent issue.) It is then intended to have a general discussion with all of you and to have your views. Jim Ivers, your Director-General, Brian Barry, our Coopers & Lybrand management consultant and I will be very happy t 0 answer any questions which you may have. We have not mentioned in any of the documentation which has been given to you that one of the mam reasons why your Society in recent years has been concerned with obtaining information on the overall earnings and profits of the profession and the profit- ability, or lack of profitability, of different types ot work is so that it would be in a position to have meaningful information available in the event of an enquiry by the National Prices Commission into solici- tors' earnings. You are all aware that this has been mentioned and written about on a number of occasion* and already there has been an enquiry into the auc- tioneering profession. It may well be that one category of work, convey- ancing for example, may well be carrying another cate- gory of work within a solicitor's practice and, if a ® enquiry by the National Prices Commission should reveal that the present scale rates on conveyancing are excessive, due to the inflationary climate in which we have lived over the last many years, it might be that those scale rates would be reduced, thereby creating a n all-over profitability problem within a firm, due to the fact that this particular category of work was carrying unprofitable work. The compilation by your Society of a comprehensive picture of overall earnings and profit' ability, and of the profitability of different types work is, therefore, an essential step on the road to resisting an enquiry or dealing with adverse recoíp' mendations arising out of an enquiry. It is also essential for the development of a satisfactory fee structure m the profession. The results of the pilot survey which we have under- taken on solicitors' earnings in Ireland shows, among other things : 1. Audited accounts do not always exist. Where they do, the latest accounts often refer to periods which ended up to two years ago. 2. The up-to-date value of fixed assets, particularly premises, is not always known. 3. There is among solicitors unease about certain aspects of the survey: (a) Solicitors do not want their individual earning 5 ' even if given anonymously, examined by the Incorporated Law Society or by the general mib- lic or by the National Prices Enquiry. (b) The profits of individual practices often vary from one period to another. It is to be resolutely stressed that average figure 5 only will be used and that strict and utter confiden- tiality will be maintained by Coopers & Lybrand. 4. There is general agreement among your profession that the earnings survey is desirable and that there ' 5 154

T H E F I NANC I AL MANAGEMENT OF T H E LEGAL PRACT I CE

The Director-General, Mr. Ivers, presided at the first meeting on Sunday, 12 May 1974 in which Mrs. Margaret Downes delivered the first lecture on The Financial Management of the Legal Practice. She said : In speaking on the Financial Management of the Legal Practice I believe that the most meaningful way