The Committee formed by the Bar Council of India (BCI) to review the entry of foreign law firms, headed by Cyril Shroff, recently submitted its report. .Although a full copy of the report is yet to be made available, sources revealed some key highlights:.Phased-wise opening of the market: 3years - 2years - 2 years.The Committee has recommended a phased opening of the Indian legal market, even as the market is open as of today.Phase one of three years - During this period, foreign law firms can’t advise on Indian law and also cannot hire Indian lawyers. Phase two of two years - Foreign law firms can enter into joint ventures or alliances, with a maximum of 49% holding only.Phase three of two years - The market is fully open. Foreign lawyers can advise on Indian law, except for litigation (in any of the phases). Foreign law firms can hire Indian lawyers..Dilution of Fly In Fly Out (FIFO).The report suggests that the rule of 'fly in, fly out' for foreign lawyers needs to become 60 days instead of 90 days, and the rules have to be amended in this regard. Days spent on business development will not be counted as part of the FIFO period, the report says.An entire group/law firm is covered in these 90 days. There will be no segregation between firms operating from different jurisdictions and those operating from a single jurisdiction - the entire firm/group will have a single limit of 90 days.For FIFO, there is no requirement for reciprocity.The disclosures have been simplified, and confidential information need not be disclosed..Level playing field .Few of the main suggestions in this regard are:1. Allow private equity investment in Indian law firms2. Advertising Rules need to be relaxed .In May this year, the BCI notified amended rules allowing foreign lawyers and law firms to practice foreign law in India on a reciprocity basis. Later in June, the BCI had formed a Committee to address concerns that Indian lawyers may have regarding the above rules.The Committee is chaired by Cyril Amarchand Mangaldas Managing Partner Cyril Shroff and will comprise Ajay Bahl (AZB & Partners), Suhail Nathani (ELP), Sandip Bhagat (S&R Associates), Mahesh Agarwal (Agarwal Law Associates) and Amit Kapur (JSA) as other members.
