Kevin Martin explains how China is the hub of a growing international legal market that offers genuine business opportunities for law firms of all sizes and not just the biggest

The Law Society continues to create opportunities for British law firms in China – the world’s fastest-growing economy.


The global legal market is estimated to be worth a staggering £240 billion. Every year, solicitors earn more and more of their income from abroad. The international market for UK legal services grew by nearly 300% between 1995 and 2003 and is now valued at around £2 billion.


The Law Society works hard to help the profession take advantage of the opportunities from international practice. Many solicitors from small to medium-sized practices jump to the conclusion that this work is done exclusively for the magic circle or the other big City firms and that it is not for them. But actually it is for everybody. There are opportunities for all firms, both large and small, in innumerable practice areas from commercial to private client and property work.


While the City is the centre for much of the UK’s international legal work, connected to institutions such as investment banks, the Lloyd’s insurance market or the London Stock Exchange, solicitors who are not at very large firms handle a great deal of international work, and many others have ambitions to do so. In fact, nearly one-third of sole practitioners tell us that they are now undertaking international work, and the opportunities are increasing all the time.


The Law Society is looking for every opportunity to support these developments. We are promoting the use of English law, the brand of solicitor, and England and Wales as a forum for dispute resolution.


There is huge interest among law firms of all sizes around the world in getting to know better and working more closely with UK firms outside the magic circle.


I have just returned from a ten-day trip to Beijing and Shanghai to highlight opportunities for legal co-operation between UK and Chinese law firms arising out of increasing economic links. This highly productive joint visit with the Bar Council, at the invitation of the All China Lawyers Association, was a useful occasion to meet with important stakeholders in the major legal communities and provided an invaluable insight into how the Chinese legal market is changing.


Over the past 20 years, the Chinese civil legal system has made great progress. In 1980, the number of commercial disputes filed in the courts in China was around 14,000 – by 1997 this had risen to 1.5 million. Confidence in the legal system has grown greatly, but there is still much room for improvement. We do not underestimate the size of the task ahead but we are looking at ways in which we can support further development of China’s legal system and promote English and Welsh legal services into this rapidly expanding market. We must also learn from our Chinese counterparts as their legal system continues to develop apace.


The Law Society and the British government have worked hard to develop a close relationship with the Chinese legal community as China has developed. We have been an integral part of the Lord Chancellor’s training scheme, which has trained more than 200 young Chinese lawyers in English legal traditions since 1989; many of them now occupy positions of influence in the Chinese system and provide a ready-made network for English firms in China.


This kind of initiative is helping us to embed English influence on the commercial law of the fastest growing economy in the world.


This is of growing significance, as China is a huge attraction for all kinds of business, from construction to pharmaceuticals and manufacturing. The British Consul-General in Shanghai told me that a growing number of British small and medium-sized businesses is expanding and looking for UK law firms to work with them and their Chinese legal advisers.


The English legal presence in China is already significant – more than 25 UK firms have already established offices in Beijing and or Shanghai. But there is room for firms of all shapes and sizes to build links in China.


I also visited Chinese law firms in Beijing and Shanghai and was impressed with both their sophistication and their interest in forming links with UK firms. The potential is almost limitless and we have a major role to play in unleashing that potential.


I am confident that our relationship with the Chinese legal community is set to go from strength to strength.


Already we are planning to organise a Sino-British law week in 2007 in Beijing, which will aim to highlight opportunities for legal co-operation between UK and Chinese law firms growing out of increasing economic links.


Globalisation may not be felt today in every corner of the profession, but it is having a growing influence and offering a wider range of opportunities and to an increasing number of solicitors.


As the national representative body for the profession, the Law Society will continue to support our members who wish to take advantage of the world of opportunity that comes from working internationally.


Kevin Martin is the Law Society President