The first chink of multi-disciplinary partnership (MDP) light has entered the English and Welsh legal profession after the Law Society approved German tax advisers (Steuerberatern) as potential partners for solicitors.
The decision by a rules and ethics committee - which followed requests from City firms Clifford Chance and SJ Berwin - means Steuerberatern may apply to become registered foreign lawyers. If approved, they can then practise in multi-national partnerships with English and Welsh solicitors.
Steuerberatern were determined to be foreign lawyers within the definition of the Courts and Legal Services Act 1990, and one which possessed the necessary regulations.
MDPs have long been allowed in Germany. Unlike in many countries, German lawyers, accountants and tax advisers have similar professional standards. Tax advisers have rights of audience there.
As a result, SJ Berwin can realise its six-year ambition to merge fully with its German associate firm, Knopf Tulloch Steininger - the majority of whose partners are Steuerberatern.
Senior partner David Harrel said: 'This is not only an important breakthrough for us, but for all firms like us operating in Germany. We can now fully incorporate our tax colleagues into our partnership and this will make mergers with German firms that much easier.'
Tax advisers from other European countries would have to apply for similar recognition to become partners with solicitors.
Barbara Ford, the legal relations manager at Clifford Chance, said that although the firm had no current plans to ask for other foreign advisers to be considered, 'it is perfectly possible that we might in the future; it is part of being an international, seamless service'.
Ms Ford said the exercise of quantifying different professions could be a useful one for the Law Society in light of its endorsement in principle of MDPs, as such an exercise would be necessary if they became legal.
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