New Delhi: The Supreme Court on Tuesday barred foreign law firms/companies or foreign lawyers from practising legal profession in India either in the litigation or in non-litigation (rendering legal advice) side.
Disposing of a batch of appeals filed by Bar Council of India, a Bench of Justices A.K. Goel and Uday Lalit, however, held that there was no bar for the foreign law firms or foreign lawyers to visit India for a temporary period on a “fly in and fly out” basis for the purpose of giving legal advice to their clients in India regarding foreign law or their own system of law and on diverse international legal issues.
Writing the judgment, Justice Goel made it clear that the expression “fly in and fly out” will only cover a casual visit not amounting to “practice”. In case of a dispute whether a foreign lawyer was limiting himself to “fly in and fly out” on casual basis for the purpose of giving legal advice to their clients in India regarding foreign law or their own system of law and on diverse international legal issues or whether in substance he was doing practice which is prohibited can be determined by the Bar Council of India. The court empowered the Bar Council of India or Union of India to make appropriate Rules in this regard, including extending Code of Ethics being applicable even to such cases. Regarding participation of foreign lawyers in arbitration proceedings, the court said that foreign lawyers cannot be debarred completely from coming to India to conduct arbitration proceedings in respect of disputes arising out of a contract relating to international commercial arbitration, if rules of arbitration permits such appearance. However, they will be governed by code of conduct applicable to the legal profession in India. Bar Council of India or the Union of India are at liberty to frame rules in this regard.
The court held that practicing of law includes appearance in courts but also giving of opinion, drafting of instruments, participation in conferences involving legal discussion.
