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Whether advocates can be an employed in a non lawfirm organisation?

(Querist) 24 July 2008 This query is : Resolved 
Standards of Professional Conduct and Etiquette
(Rules under Section 49 (1) (c) of the Act read with the Proviso thereto)

49. An advocate shall not be a full-time salaried employee of any person, government, firm, corporation or concern, so long as he continues to practise, and shall, on taking up any such employment, intimate the fact to the Bar Council on whose roll his name appears and shall thereupon cease to practise as an advocate so long as he continues in such employment.
Nothing in this rule shall apply to a Law Officer of the Central Government of a State or of any Public Corporation or body constituted by statute who is entitled to be enrolled under the rules of his State Bar Council made under Section 28 (2) (d) read with Section 24 (1) (e) of the Act despite his being a full time salaried employee.
Law Officer for the purpose of these Rules means a person who is so designated by the terms of his appointment and who, by the said terms, is required to act and/or plead in Courts on behalf of his employer.

Could somebody explain to me the interpretation of this section under the Advocates Act, 1961?
I wish to know how the private firms are employing the lawyers to represent their case.
adv.ranchi (Expert) 24 July 2008
Hi Eliza,

You have raised an interesting issue, which buzzed me when i went through the said provision during my starting career.

So far as employment of an Advocate is concerned, upon perusal of the said section, it is evident that:

An advocate shall not be a full-time salaried employee of any person

Shall, on taking up any such employment, intimate the fact to the Bar Council

cease to practise as an advocate so long as he continues in such employment.

However, the same will not apply in case of Law Officers of the Central Government of a State or of any Public Corporation or body constituted by statute despite his being a full time salaried employee.

As is evident, no lawyer can be appointed in employment. By employment it would always signify existing of Employer - employee relationship between the firm and the lawyer.

Your query is not clear,
It may signify,
Law Firms appointing Lawyers as their employees.
Law Firms engaging Lawyers.
Other firms appointing Lawyers as their employees.
Other firms engaging Lawyers.

So far as third is concerned, Lawyers cannot be enrolled and enter into employment.
So far as second and fourth, Lawyers are being engaged by the firms just like pvt. clients, hence no big deal about that.

So far as the first one is concerned, it is quite tricklish.
First of all the nature of appointment is to be concerned. If there is no employer - employee relationship, the bar would not apply.
Say, a Legal Firm who appoints law graduates, the appointment may be in form of Associate, Partner, etc.. in such situation, he can be a Lawyer too.
However, if teh appointment is in form of a Full time research person who has to perform the reserach work for the Firm, and he is paid a determined salary, he comes within the ambit of 'employment', hence he cant be a Lawyer and an employer.

Hope it satisfies ur query.

Regards,

Adv. Ashutosh
adv.ranchi@gmail.com
SANJAY DIXIT (Expert) 24 July 2008
Adv Ashutosh has explained the interpretation very nicely. Nothing more to say.
kumar sachin (Expert) 25 July 2008
hmm
anantha krishna n.v. Advocate (Expert) 25 July 2008
I am retaining the words I wish to highlight from the above Section.

"" Nothing in this rule shall apply to a Law Officer of any body constituted by statute""

companies are constituted by statutes. His job is doing the advocates job only.
as far as remuneration is concerned, just think-- how is it different from retainer fees. both are regular periodical payments and the advocate is obliged to assist them as per terms agreed upon.

So, a little serious look at the provision may at best suggest that a private firm, not a company, may not fit into the definition.

As we know, law is widened by its interpretation by the judges.

anyway, if one is seriously into employment, he may seek temporary suspension of his certificate of practice.


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