COLP and COFA: Compliance in Practice

by Tracey Calvert

Overview

It is a condition of authorisation that all SRA-authorised law firms must have a compliance officer for legal practice (COLP) and a compliance officer for finance and administration (COFA), and that these individuals must comply with regulatory duties imposed on them personally. Now in its third edition, COLP and COFA: Compliance in Practice provides the role-holders, and anyone concerned with supporting the role-holders, with essential information about regulatory and ethical standards and compliance procedures that will support the achievement of these standards and facilitate a good working relationship with the SRA. Written by Tracey Calvert, a former employee of both the Law Society and the SRA, this edition has been updated to include the latest requirements as evidenced by the SRA Standards and Regulations, and includes lessons learned from supervisory and enforcement action.

Product Details

ISBN-13:	9781787429192
Publisher:	Globe Law And Business
Publication date:	12/31/2022
Edition description:	3rd Edition
Pages:	153
Product dimensions:	6.20(w) x 9.04(h) x 0.38(d)

Table of Contents

Executive summary vii

About the author xi

Chapter 1 The requirement to have a COLP and COFA

Introduction to roles 1

Brief background to the Legal Services Act 2007 1

Role of the SRA 3

Key extracts from Standards and Regulations that explain the authorisation process for compliance officer role-holders 5

Approval of role holders 6

Approval process for individuals who are not deemed approved 7

Individual role-holder and ongoing transparency requirements 8

Withdrawal of approval 12

Temporary emergency approval of a COLP or COFA 12

Chapter 2 Appointing your COLP and COFA

Key extracts from STaRs 17

Compliance and business systems 20

The duties of managers in SRA authorised firms 22

Compliance officers - necessary skills, knowledge, experiencev Compliance officers - time factors and other considerations 25

Specific considerations about the COFA role 26

Can the COLP and COFA be the same person? 27

Can we buy in a COLP or COFA? 28

Chapter 3 Working with the SRA - understanding entity and risk-based regulation

Regulatory objectives and a changed approach to regulation 31

The impact of the LSA on the work of approved regulators 31

The SRA's approach to risk 33

Regulatory reach over the authorised law firm 34

The SRA's supervision and enforcement work 35

Investigation and enforcement 35

What this style of regulation means for the COLP and the COFA 36

Enforcement powers against the COLP and COFA 36

Chapter 4 The COLP's essential knowledge and suggested systems and controls

The extent of the COLP's responsibilities contrasted with the role of the COLP and the firm's managers 39

Key knowledge from the SRA Standards and Regulations of relevance to the COLP 41

Overview of the STaRs from the COLP's perspective 42

SRA Principles 43

SRA Codes of Conduct 51

Chapter 5 The COFA's essential knowledge and suggested systems and controls

The extent of the COFA's responsibilities contrasted with the role of the COLP and the role of the firm's managers 95

Key knowledge from the SRA Standards and Regulations of relevance to the COFA 96

SRA Principles 96

SRA Codes of Conduct 99

SRA Accounts Rules 101

Chapter 6 Identifying, recording, and reporting non-compliance

How will compliance officers know what they need to know? 126

Record-keeping 127

File-based or central records? 129

Centralised or decentralised record-keeping? 129

Self-reporting by staff or file reviews and supervisory oversight? 129

Just STaRs breaches or oil complaints data? 130

Records of decisions to deviate from the firm's systems and controls 130

What information should be included in the record? 130

Identifying serious breaches - where to start 131

The role of the management team in dealing with non-compliance issues 131

Common breaches 133

Chapter 7 Compliance officers and international issues

Occasional or temporary practice outside England and Wales 135

Firms with an "overseas practice" 135

How to respond to this section of the SRA Standards and Regulations 138

Other international regulatory issues 139

Chapter 8 Behaviours outside of practice

Equality issues outside of practice 144

Chapter 9 Personal perspectives

The relationship of the COLP and COFA with the management of the firm 147

Is the role full-time or part-time? 147

Should the role be held for a fixed period? 148

Should there be a deputy or understudy? 148

Remuneration 149

When and how often the compliance officer should report to the management team 149

How will compliance officers work with the management team? 150

Insurance and indemnity 151

Sources of help 152

About Globe Law and Business 153

Editorial Reviews

This is highly recommended reading for all in-post compliance officers – and those not yet wearing the cape.

Fiona du Feu