From 1 April 2021, Beauchamps will operate as a limited liability partnership, under the name 'Beauchamps LLP'.
WHAT IS A LIMITED LIABILITY PARTNERSHIP?
A limited liability partnership allows partners to limit their liability for the debts of the partnership, rather than being personally liable for all the debts and liabilities of their firm. The Legal Services Regulation Act 2015 (the Act) permits partnerships of solicitors, such as Beauchamps, to apply to the Legal Services Regulatory Authority (LSRA) for authorisation to operate as a limited liability partnership (LLP).
INFORMATION RELATING TO THE CHANGE OF STATUS
As and from 1 April 2021, and subject to the exceptions listed below, Beauchamps has been authorised by the LSRA to operate, and is now operating, as a limited liability partnership, Beauchamps LLP.
As and from 1 April 2021, a partner in Beauchamps has no personal liability for any debts, liabilities or obligations which are incurred for the purpose of carrying on the business of Beauchamps LLP. This limited liability applies whether these are liabilities of Beauchamps, of the partner himself or herself, of another partner or partners in the firm or of any employee, agent or representative of the firm and however such liability may arise.
This limitation of liability relates only to the personal liability of partners and does not prevent or restrict the enforcement against the property of the Firm of any debt, liability or obligation.
As and from 1 April 2021 the Partnership Act 1890 shall continue to apply to the Firm to the extent that it is not inconsistent with Chapter 3 of Part 8 of the Act.
A partner will not be able to avail of limited liability where the debt obligation or liability —
(a) is incurred as a result of an act or omission of the partner involving fraud or dishonesty which was the subject of a finding of misconduct under the Legal Services Regulation Act 2015, or which constituted an offence of which the partner was convicted;
(b) is incurred by the partner for a purpose not connected with the carrying on of the business of Beauchamps LLP;
(c) relates to any tax; or
(d) was incurred by reason of an act or omission of the partner which occurred prior to 1 April 2021.
WHAT IS THE IMPACT OF THIS CHANGE OF STATUS?
Other than limiting the personal liability of the individual partners of the Firm, there is no change to how we conduct our business. Beauchamps remains a partnership of solicitors as before and our change to a limited liability partnership does not create a new legal entity or company.
It is important to note that the Firm has, as it always has had, professional indemnity insurance which will continue to operate and protect the firm and its clients.
Should you have any questions or require further information on this change, please contact John White or your usual Beauchamps contact.