Edward Fennell’s LEGAL DIARY

Diary news plus insights, commentary and appointments from the legal world

July 5  2024

Editorial contact: fennell.edward@yahoo.com

SHORT THOUGHT FOR THE WEEK: Where do I put my ‘Very Cross’

Amidst today’s celebrations and recriminations there might also be a reflection on our so-called ‘broken electoral system.

The LegalDiarist was one of the many thousands who applied for and was awarded a postal vote – but the ballot paper never arrived and the opportunity to use a proxy was also denied. Given the highly marginal nature of the constituency every vote would, as the canvassers said, have counted. If, that is, the ballot paper had been issued in time (or even at all).

A major feature of this campaign has been frustration at the lack of competence in government and administration. The foul up over postal votes is a painfully clear illustration of this and symbolises the state of the system (or maybe the system of the state).

So will (non) voters be able to sue for being deprived of their human right to vote? One hopes so. Let’s start the way we mean to go on.

The LegalDiarist

In this edition

+ LEGAL DIARY OF THE WEEK

Bar Council launches (another) initiative to improve chambers management

Legal Tech – Don’t Ignore the Risks

More than One Bird Brain Required to Test AI with Leya

Frankfurt Seals the Deal with Signature

+ CONTRIBUTED ARTICLE OF THE WEEK

Can Labour’s Ambitious Green Energy Agenda Become Reality By 2030?

asks Laurence Lacey, partner in the commercial property team, Clarke Willmott LLP

+ LEGAL COMMENT OF THE WEEK

 Hague Convention 2019, family courts, rights of cohabitees under Labour, better tech and cyber security,

+ APPOINTMENTS OF THE WEEK

Spector Constant & Williams and Jenner & Block

LEGAL DIARY OF THE WEEK

Bar Council launches (another) initiative to improve chambers management

Relentless, it seems, is the Bar Council’s appetite for initiatives to support better chambers management – especially in relation to workplace culture. So this week’s new initiative is for a series of online events in the Autumn to support barristers and chambers professionals with effective people management ‘in a chambers setting’ (as opposed to what, one wonders?).

As reported in the LegalDiary recently, the Bar Council’s recent research on bullying, harassment and discrimination at the Bar has stressed the need for support and guidance for those dealing with inappropriate behaviours. Meanwhile the University of Portsmouth has shown the positive impact of a supportive working environment on barrister wellbeing.

So where does it go from here?

The new series of online events is aimed at members of chambers management committees, chief executives and directors, senior clerks and practice managers, and pupil supervisors. Over the course of the four-part series participants will learn about the statutory and regulatory duties of people management and how to investigate and handle grievances. “They will also hear examples of good practice in establishing a positive culture in chambers and how to implement performance and development programmes,” commented the Bar Council.

 The four topics to be covered are:

  • Handling challenging behaviour amongst barristers in chambers – 12 September
  • Introduction to employee management in chambers – 9 October
  • Advanced employee (and pupil barrister) management in chambers – 4 November
  • Conducting investigations and managing disciplinary processes in chambers – 2 December

“Through our research with chambers we identified a real need for support and guidance for senior barristers and chambers professionals when it comes to managing people and their behaviours,” explained Paul Newhall, Co-Chair of the Chambers Management Panel and Chief Executive at Landmark Chambers,  “It’s something that has become particularly important as we all navigate changing workplace cultures post-pandemic. We have an excellent line up of expert speakers across the event series providing insights into how to effectively manage challenging behaviours and create a positive culture in chambers. Anyone with a role in managing chambers should find the events interesting, practical and useful.”

For more information about the event series visit: Managing people and behaviours in chambers: https://www.barcouncil.org.uk/bar-council-services/for-chambers-and-aetos/managing-people-and-behaviours-in-chambers-events.html 

Legal Tech – Don’t Ignore the Risks

The rapidly mutating and expanding beast which is Legal Tech, is causing huge cyber defence issues for UK legal firms, according to a new report from  e2e-assure, a ‘Managed threat detection & response provider’. 

Part of the problem, apparently, is that those who are driving the process, so-called ‘citizen developers’ are putting more of a priority on the demands of ‘task optimisation and business continuity’ rather than the security issues which, historically, would have been of primary importance to lawyers.

 The report’s insights were derived from CISOs (Chief Information Security Officers) and IT Managers in the UK 200Group which is regarded as the UK’s leading professional services group of independent quality assured chartered accountancy and law firms. They were gathered at the 2024 British Legal Tech Forum in London, during a roundtable discussion conducted under Chatham House Rules and hosted by Rob Demain, e2e-assure’s CEO and Andrew Rose, 2018’s European CISO of the Year. 

The debate followed the release of  e2e-assure’s report ‘Threat Detection for Professional Services’, which quizzed more than one hundred CISOs and cyber security decision makers within larger professional services providers – including legal firms. The report revealed that 77% had been victims of a cyberattack. Moreover, an extraordinary 69% said their current cyber security team was underperforming and there was room for improvement.

It turns out that one of the problems specific to the law sector is the friction across the legal supply chain, between small and larger firms, and firms with the clients or suppliers, driven by the difference in access to technology, and the prevailing level of security. One attendee spoke of “getting massive pushback from clients” because “not everyone has authenticators.” Another spoke of resistance on the “usability” of methods such as number matching.

Equally distinctive is the necessity to monitor what’s going on 24/7 in the legal sector where major deals can take place at any time day or night. One of the challenges of this for lawyers is the pressure to close a big deal while, at the same time, access to certain files could be cut off while a potential threat is investigated thereby delaying completion.

 “The worst-case scenario is if an attacker breaks into an organisation’s environment, rather than a deal being put on pause before it can close,” commented Rob Demain. “A successful cyber attack could lead to six to nine months of major issues, potentially even causing a firm to go out of business.The right provider will help both staff and clients of legal organisations understand that a little disruption is ok, but a major disruption isn’t.”

More than One Bird Brain Required to Test AI with Leya

Along the same theme, Bird & Bird has become this week one of the first international law firms to launch a ‘proof of concept trial’ across multiple offices with Leya. This is a ‘revolutionary platform’ that uses AI to automate tasks and provides access to both public and internal data.

With its technology heritage Bird & Bird would be expected to be pioneering new IT territory and so it has proved with Leya. Following trials with various GenAI Legal assistants over the past few months, the firm will now work intensively with Leya through ‘a large-scale proof of concept to explore how this innovative tool can optimise the firm’s processes and bring value to clients’.

Clearly the firm is breaking new ground here and over the next six months

It will continuously assess the use of Leya across the firm’s international network. In particular it will focus on specific legal tasks including analysing local laws, court cases, case law, drafting contracts, and reviewing documents. “Starting with user groups in the firm’s offices in UK, Germany, Spain and the Nordics, the team will review use cases, the value the tool can bring to the firm, and prepare for future use cases,” it explains.

 “I’m very pleased to announce we are working with Leya to explore how we can take advantage of disruptive innovation in our sector,” said Hélder Santos, the firm’s Head of Legal Tech and Innovation. “At Bird & Bird, we believe that by leveraging the power of AI, upskilling our people, and ensuring the responsible use of AI, we can deliver innovative and efficient solutions to the complex legal challenges our clients face.”

Meanwhile Max Junestrand, CEO at Leya, observed, “Together with Bird & Bird, we will be able to refine and extend our tooling for applying GenAI to legal use cases across multiple practice areas and jurisdictions.”

Frankfurt Seals the Deal with Signature

Signature Litigation is going from strength as a high end disruptor of how to deliver legal services. It has recently expanded to a total of 26 partners and over 100 members of staff globally at its offices in London, Paris, Gibraltar and, now, also Frankfurt.  

Bear in mind that these 26 partners are all selected from the crème de la creme of Europe’s top law firms. Hence the two new partners leading the  charge in Frankfurt  are Ulrich Helm and Dr Jan Kraayvanger, who both join from Mayer Brown.

“Frankfurt is a burgeoning financial services hub in the continent, and its position in the German and wider European economies makes the city a natural fit for Signature Litigation’s financial and corporate disputes practice to launch its newest office,” said Kevin Munslow, the Signature Litigation CEO. ““The complexity and level of disputes litigated and arbitrated in the region makes for an exciting new environment to engage with, at a time where Frankfurt has climbed the list of top financial centres globally.”

The industry sectors expected to be of key focus for Signature Litigation in Frankfurt include oil & gas and renewable energy – notably offshore wind farms and power plant projects – construction and infrastructure, automotive, financial services, as well as insurance. Should turn into quite a powerhouse.

CONTRIBUTED ARTICLE OF THE WEEK

Can Labour’s Ambitious Green Energy Agenda Become Reality By 2030?

asks Laurence Lacey, partner in the commercial property team, Clarke Willmott LLP

In their manifesto Labour pledged to deliver Clean Power by 2030 working with the private sector to double onshore wind, triple solar power, and quadruple offshore wind. They are looking to invest in carbon capture and storage, hydrogen and marine energy, and ensure the long-term energy storage our country needs.  However, we know from experience that these projects face a wide range of challenges from planning, grid connections and funding to negotiating site options and leases, alongside legal and technical due diligence and managing site assembly for these often complex, large-scale schemes, particularly those requiring rights across multiple land parcels.  So, whilst the increased political support is very welcome the delivery of this key manifesto pledge would be dependent on resolving a number of practical, technical and legal challenges. 

There will be an increasing need for advice that enables the delivery of these projects with some key statutory and infrastructure related hurdles to overcome.  The Labour party has pledged to reform the planning system which will be vital in enabling permissions for these large projects to be delivered to meet the 2030 target.  Grid reinforcement will also be essential in ensuring that projects can secure early grid connection dates.  All these elements require a thorough risk assessment, support and advice from your professional team.

On a recent onshore wind project in Wales our client faced numerous legal and logistical challenges that illustrate some of these constraints. We helped conduct intricate negotiations with local authorities and landowners, secure multiple project consents and address community concerns relating to the visual and environmental impacts of the project.

Taking a collaborative approach and supported by its professional services team, our client secured the necessary approvals. This experience highlights the need to involve all stakeholders from the outset to streamline processes and ensure that all relevant constraints are identified early in the process so that they can be dealt with efficiently alongside all regulatory and legal requirements.

Looking ahead, the Labour government’s commitment to green energy transition presents an unprecedented opportunity for the energy sector. However, realising this vision will require not only political will, but also significant investment in infrastructure, robust legal frameworks, and streamlined planning processes. As we move towards a cleaner, more sustainable future, it is crucial that all parties involved—government, private sector, and local communities—work together to overcome the challenges and seize opportunities. Our team stands ready to help navigate the complexities of these large-scale energy projects.

LEGAL COMMENT OF THE WEEK

TOPIC: The UK government’s ratification of the Hague Convention 2019

COMMENT BY: Sam Townend KC, Chair of the Bar Council

“The Bar Council has welcomed the UK government’s ratification of the Hague Convention 2019 that enables a unified framework for recognising and enforcing judgments between the UK and all EU member states except Denmark.

“The ratification is good news for the UK, the EU and other international signatories because it will enhance international confidence that judgments obtained in relation to commercial and other disputes will be adhered to on a reciprocal basis.”

TOPIC: The move by Family Courts (following the introduction of new rules to encourage the greater use of mediation and arbitration) to halting proceedings, forcing separating couples to explore non-court dispute resolution proceedings

COMMENT BY: Annie Wogel, Associate, BDB Pitmans

“All good family lawyers will encourage their clients to try and reach a settlement without turning to the courts, but these new rules add further weight and their impact is now being felt.

“We have seen family judges halt and delay proceedings that have already begun in order to force couples into non-court dispute resolution proceedings.

“These rules have also created a new exception to the default position in most family law cases, which is that each party pays their own legal costs. Now, if you do not agree to non-court dispute resolution you could find yourself having to meet your former partner’s legal costs as well as your own.

“There are, of course, many advantages in resolving a family law dispute outside of court. It can help to keep both acrimony and legal costs to a minimum and can result in matters being resolved much quicker. Delays in the family courts are widespread and can leave separating families in limbo for many months.

“Despite what many people may believe, family lawyers do work hard to keep proceedings out of the courts. We regularly encourage clients to explore mediation, arbitration and other ways to try and reach a settlement, and a court application should be a last resort. 

“The family courts do, however, recognise that there are sometimes good reasons why non-court dispute resolution proceedings may not be appropriate for a particular couple. For example, the courts recognise that some types of non-court dispute resolution might not be appropriate for someone who has been in an abusive marriage.”

TOPIC: The future rights of cohabitees under a Labour Government

COMMENT BY: Nick Gova, partner and head of family, Spector Constant & Williams

“Although the rights of cohabiting couples were not mentioned in Labour’s manifesto I hope that the new government takes action in this area. In a speech at the Labour Party conference last year, Shadow Attorney General Emily Thornberry MP said that the Labour government would reform the law for cohabiting couples and I really hope they do so and bring the law into the 21st century.

“There are more than 3.6 million cohabiting couples in the UK and despite being the fastest growing type of family, they are ignored by the law as it stands. This means that there is very little protection available if a relationship breaks down and the financially weaker individual will lose out significantly.

“Giving more rights to cohabiting couples would also help to protect victims of domestic abuse. The sad reality is that abusers take advantage of the current lack of legal protection. They know their victims cannot afford to leave the relationship and would have no financial independence or ability to rebuild their lives. The law in this area is long-overdue for reform.”

TOPIC: The need for better tech and cyber security and the NIS2 Directive

COMMENT BY: Al Lakhani, CEO of IDEE

“For all the election noise, cyber security was absent. In a way this is understandable; there are many other social and economic issues to focus on when trying to woo voters. But as the dust settles on this election and a new party comes to power, continuing to overlook cyber security would be a grave mistake.

“The electoral commission: hacked. NHS hospitals: hacked. Countless UK businesses: hacked. How many attacks are too many? With Labour coming into power for the first time in 14 years, a comprehensive strategy to strengthen the UK’s cyber defences is urgently needed. The EU is implementing the NIS2 directive, why does the UK lag in securing its digital infrastructure? It’s time for the government to wake up, smell the coffee and develop a plan to change this.

“But businesses must also act. It’s high time for a radical shift away from outdated security methods and 1st generation MFA. We need state-of-the-art, same device MFA 2.0 solutions to crush phishing and password-based attacks. No more delays – let’s safeguard the UK’s digital landscape for good.”

APPOINTMENTS OF THE WEEK

Spector Constant & Williams

Naziana Mehdy has joined Spector Constant & Williams as a partner in the  Fitzrovia firm’s commercial and residential real estate practice.

Following training at a boutique firm, Mehdy gained a decade of experience working on complex high net worth corporate real estate transactions. acting for both domestic and international investors into the UK. She also specialises in Sharia/Islamic financial property transactions, wills and trust deeds, and has worked closely with a range of Islamic financial institutions.

“Our real estate team has never been busier and Naziana is a fantastic addition,” says Alun Williams, one of the firm’s founding partners. “She has a very well-deserved reputation and has been involved in several major commercial disposals in the West and the City. She has also acted on a number of retail and restaurant acquisitions in London and across the UK, as well as advising clients on landlord and tenant work.”

Mehdy commented, “With the inflation rate now down to 2% and interest rates increasingly likely to be cut by the end of summer, we expect the retail and hospitality industry to start picking up.”

JENNER & BLOCK

Ed Davis (No, not SIR ED) has joined Jenner & Block’s London Commercial Litigation Practice. Formerly with Stephenson Harwood where he spent his entire career and served in numerous leadership positions Davis’s practice has focused for 20 years on complex and high value financial disputes and investigations. These have covered a variety of markets and products, including derivatives, asset backed securities, swaps, and bond issues.

“Ed is a highly skilled litigator whose experience across a range of complex financial disputes and reputation in the London market will be an asset to our growing office,” said Chair of the firm’s London Litigation and Arbitration practice, Jason Yardley. “Ed is a very experienced litigator who has served in numerous leadership positions within a leading international litigation firm, his experience and skillset complements our existing team perfectly.” 

Commented Davis, “I am really looking forward to working with a deep bench of talented lawyers across the entire firm and having the opportunity to further develop Jenner’s litigation practice in London.”

WE hope that you have found this edition of the LEGAL DIARY interesting (and even useful). If so, please circulate it to colleagues.

In any case, please continue sending your diary-type stories, legal comment and insights plus latest appointments to fennell.edward@yahoo.com

Meanwhile kick back and contemplate the future five years under Labour.