UK firms snare China mandates

City law firms Ince & Co and Barlow Lyde Gilbert are thought to be the only two UK practices to have won licences to open offices in China in this year's delayed round.The licences, which are usually handed out around February, coincided with the agreement that will see China join the World Trade Organisation (WTO) after years of negotiation.

Solicitors have welcomed the agreement as the Chinese made further concessions to foreign lawyers.Both City firms have opted to open in Shanghai rather than Beijing.

It is understood that around 13 other foreign firms won licences this year, including US firm White & Case.Simon Latham, managing partner of Ince's Hong Kong office, said the Shanghai office - which will concentrate on shipping and insurance matters - will 'complete the coverage of the Far East in our eyes' as the firm is also in Singapore.Camille Jojo, head of Barlow's Hong Kong office, said Shanghai was a 'dynamic region' where it was possible for the firm to enjoy 'more market penetration' given that many UK firms are already established in Beijing.

The office will focus on insurance and corporate matters.The slow process of WTO negotiation has gradually seen the Chinese drop various restrictions - such as on the number of foreign firms allowed in China - and the final agreement said foreign law firms will, for the first time, be able to 'offer services' on Chinese law.This is likely to take the form of allowing foreign law firms to enter an 'entrustment' -- or long-term contract -- with a local firm to provide Chinese law advice.

Foreign firms would prefer to employ and go into partnership with Chinese lawyers.Colin Passmore, a partner at City firm Simmons & Simmons and solicitor chairman of the China Law Council, said the deal was 'all very good news'.

The details would now be the subject of further negotiation, he said.China has backed down on the prior experience requirements for foreign lawyers working in China.

Prior experience will no longer have to be consecutive, while the requirement for all lawyers except the chief representative has been reduced from three years to two.

It remains three years for the lead partner.XThe Young Solicitors Group is seeking solicitors with two years' experience of on-line services to join a government-funded trip to Hong Kong for British Law Week starting 3 July.

Write to Helen Potts at the Law Society, 113 Chancery Lane, London WC2A 1PL.

Neil Rose