Delhi High Court to Evaluate Legality of BCI's Decision Allowing Foreign Law Firms' Entry in India

Read Time: 04 minutes

Synopsis

The plea filed by a group of practicing lawyers disputes the BCI's authority under the Advocates Act, 1961. They argue that the BCI lacks the power to authorize foreign lawyers' registration and practice in non-litigious matters

The Delhi High Court is to entertain a petition challenging the Bar Council of India's (BCI) move to permit foreign law firms to operate in India on February 6.

The plea filed by a group of practicing lawyers disputes the BCI's authority under the Advocates Act, 1961. They argue that the BCI lacks the power to authorize foreign lawyers' registration and practice in non-litigious matters.

The case, listed before Acting Chief Justice Manmohan and Justice Manmeet Pritam Singh Arora on February 2, was deferred to February 6 as BCI's counsel was absent.

Advocates Narendra Sharma, Arvind Kumar Bajpai, Siddharth Srivastav, Ekta Mehta, Arvind Kumar, Sanjeev Sareen, Harish Kumar Sharma, and Deepak Sharma, who filed the petition, assert that the BCI's decision violates the Advocates Act and a Supreme Court ruling in Bar Council of India v. AK Balaji & Ors.

The petition contends that the legal profession should not succumb to foreign market forces, and BCI's move disregards the principle of reciprocity with other countries. It highlights opposition from various legal bodies, asserting that such a move harms young lawyers by diminishing competitive norms established under Indian competition law.

The plea states, “Obviously, the Bar Council of India takes care about the interests of the entire fraternity; however, in the present circumstances, the issuance of the impugned notification clearly reflects their mindset, which would definitely going to harm the interests of young lawyers or the advocates who would not be able to compete establishment of foreign lawyers hence, it violates the competitive norms established under the competition law of India.”

On March 13, 2023, the BCI notified in the official gazette the Rules for Registration and Regulation of Foreign Lawyers and Foreign Law Firms in India, 2022. Although they cannot appear in court, they can advise clients on foreign law and work on corporate transactions.

The BCI had said it “resolves to implement these Rules enabling the foreign lawyers and Foreign Law Firms to practise foreign law and diverse international law and international arbitration matters in India on the principle of reciprocity in a well defined, regulated and controlled manner”.

Case Title: Narendra Sharma and Ors. v. Bar Council of India and Ors.