Jon Robins considers how the profession is addressing a fundamental shift in regulation
The contrasting attitudes towards COLPs/ COFAs speak volumes about a divided profession. On the one hand, according to a recent survey, some three quarters of law firms expressed alarm as to the additional level of personal responsibility of taking on the role of compliance officers for legal practice (COLP) or compliance officers for finance and administration (COFA); and on the other some 800 law firms failed to nominate new style compliance officers by last month’s deadline.
To complete an unlovely trio of new style legal service acronyms, COLPs and COFAs are essential to the new world of OFR, or outcomes-focused regulation. OFR is the move to a principles-based system away from prescriptive detailed rules under the old code of conduct. The COFA is responsible for ensuring a firm complies with the Solicitors Regulation Authority’s (SRA’s) accounts rules and the COLP for compliance with other rules. This puts a particular burden of responsibility on the one or two employees chosen for the new roles.
Upping the tempo
This month
