Malta International Trade in Legal Services

Is there legislation governing the legal sector

The Legal Profession (Advocates) Regulation Act, 2012

Under what title do lawyers practise?

Advocate (Avakut)

How does an individual lawyer obtain a "licence" to practise law? How often must this be renewed?

In order for a person to practice as an Advocate in Malta, he or she needs to be (a)of full legal capacity; (b) be a citizen of Malta or of a Member State or otherwise be eligible to work in Malta under any other law; and (c) have obtained the academic degree of Doctor of Law (LL.D.) from the University of Malta, or  a comparable degree from such other competent authority in accordance with the principles of mutual recognition of qualifications, after having read law in Malta or in another EU Member State; and (d) possess full knowledge of the Maltese language; and (e) the Chamber is satisfied that such he or she is fit and proper. The Act also requires candidates for admission as lawyers to be at least 18 years of age, to have studied law at University for at least three years and have undertaken a two year traineeship, passed an examination and meet the character and probity requirements.

Does this entitle the holder to practise throughout the country? If the law license only permits one to practice on a sub-national level, please explain the jurisdictional limits

The licence to practice in Malta is national.

Are there certain activities that are "reserved" to those who are licensed to practise law in the jurisdiction?

The Act governing the practise of law by Maltest lawyers states tht "the following shall be reserved legal services which may only be provided in Malta by a Practising Advocate or Registered European Legal Professional:  (a) the provision of legal advice to another person for consideration;
(b) Advocacy in any of the superior courts of Malta or other tribunals which, by virtue of any law, are reserved for Practising Advocates;
(c) the preparation and drafting of any acts or pleadings to be filed in any court or tribunal mentioned in paragraph (b)
above; (d) the preparation, drafting, negotiation of any document or contract, whether it is to be executed as a public deed or private writing, and which is intended to document, create or acknowledge legal rights and obligations between the contracting parties.
2. For the purposes of this Schedule, the words "legal advice" mean the communication by one person to another (the latter referred
to as the "Recipient"), whether oral, written or in any legible form or medium, of an opinion which is the result of or whose formulation
would requires the assessment and application of principles of law and, or provisions of law to a particular factual situation or dispute,
and which: (a) expresses the position at law of the Recipient;
(b) directs, guides, counsels or recommends a particular course of action to the Recipient; or (c) has the effect of predicting a specific resolution of a
legal issue; or (d) expresses a view on the legal implications or legal risks of or associated with an act, omission, course of action, contract, deed, agreement, document, particular set of facts or dispute.

No

Under Section 26 of the Act, advocates may form partnerships. This section further provides that no person, other than a practising Advocate may: (a) become a partner in a law firm; (b) have any voting rights in a law firm; or (c) account for more than thirty per cent (30%) of a law firm’s management or executive organs. However, any person being a member of a designated profession may have ownership rights in a law firm provided that such ownership rights are not in excess of 25% of the aggregate ownership rights in such law firm; and provided that at all times the ultimate control and decision making within the law firm is exercised by practising Advocates.

What other ethical or regulatory requirements must a licensed lawyer comply with? 

The Chamber of Advocates has the power to make general professional conduct rules.  A Code of Ethics for advocates was drawn up in consultation with the Commission for the Administration of Justice.

Do law firms need to receive a "license" (or permission/approval) to practice law?

Law firms must be registered with the Chamber of Advocates.

Which authority issues licences? Are there different authorities for individuals and firms? 

Licences to practice are issued by the Chamber of Advocates for both individual lawyers and law firms. The Chamber may be asked by the Committee for Advocates and Legal Procurators within the Commission for the Administration of Justice, to refuse a licence to an advocate whose conduct breaches requirements. The Commission was set up on the 3rd June 1994 by means of Act 369 of the Laws of Malta and has supervisory and disciplinary responsibilities for the courts, members of the judiciary and legal profession.   The Chamber of Advocates (Kamra tal-Avukati) statutorily nominates the majority of members of the Committee.

Is the jurisdiction a member of the WTO?

Malta joined the WTO on 1 January 1995

Has it made any commitments under GATS in legal services?

Malta made no specific commitments in legal services on joining the WTO.

Is the jurisdiction party to bilateral agreements which offer special treatment to businesses or individuals from particular countries?

As a member of the European Union, Malta extends special treatment to individuals and businesses from other EEA states (EU plus Norway, Iceland and Liechenstein. Moreover, Bulgaria is also party to the EU's many bilateral agreements with other countries and free trade areas ( a full list of these can be found at http://www.wto.org/english/tratop_e/region_e/rta_participation_map_e.htm?country_selected=none&sense=s)

The EU has comprehensive provisions covering the free movement of lawyers from EEA countries (EU plus Norway, Iceland and Liechenstein) and Switzerland. These include the Establishment Directive for Lawyers (98/5/EC), the Lawyers' Services Directive (77/249/EC), the Framework Services Directive (2006/123/EC) and the Professional Qualifications Directive (2005/36/EC). Collectively these directives permit EEA lawyers to provide services freely cross border within the EEA, to estblish and provide legal services in host as well as home country and international law and to requalify as a host country lawyer. There are limitations on the applicability of the Establishment Directive to EEA and Swiss lawyers holding specific legal titles and EEA (or Swiss) nationality. Provisions covering trade in services are included in the EU's Free Trade Agreements (FTAs) with South Africa, Mexico, Chile, Colombia, Peru, Central America and Korea. Of these, only the agreement with Korea covers legal services explicitly and on the EU side offers no concessions beyond those offered to other members of the WTO.   The EU's other FTAs simply contain a commitment from both sides to 'progressive liberalisation' of trade in services. Negotiations for future FTAs which might include provisions on legal services are ongoing with: Mercosur, Gulf Cooperation Council, Canada, India, Morocco, Ukraine, Moldova, Georgia, Armenia, Singapore, Malaysia, Vietnam.

Are foreign lawyers from different jurisdictions treated differently as a result of any such agreements?

Lawyers from within the EU, EFTA or Switzerland are covered by the various EU directives covering legal services (The Lawyers' Establishment Directive 98/5/EC, the Lawyers Services Directive 77/249/EC). The result of these directives is that any EU, EFTA or Swiss lawyer can provide legal assistance in Luxembourgish as well as foreign and international law and can requalify as a Luxembourg avocat.  Foreign lawyers from outside the EU,EFTA or Switzerland are more restricted in their scope of practice.

There are no foreign law firms present in Malta. 

The provision of temporary services in Malta by a lawyer from a non-EU Member State under his/her home title is not permitted. EEA lawyers may practise temporarily as a result of the Lawyers Services Directive (77/249/EEC).

Malta is one of the 25 countries in Europe that has signed the Schengen agreement. This allows a non-EEA national to obtain a visa to enter one or more of the Schengen countries for business or tourism purposes on a single visit of up to 90 days, or to make multiple entries to the Schengen area on any number of occasions over a 180 day period, provided none of these is for longer than 90 days.  A number of non-EEA countries are exempt from visa requirements.

The Maltese legislation makes no mention of foreign legal consultancy licences for non-EEA nationals and only covers the requirements which implement the European Establishment Directive.

An EEA lawyer who has established in Malta must register with the Chamber and adhere to the Maltese code of conduct. He must practise under his home title and maintain adequate indemnity insurance.

An EEA lawyer must hold EEA nationality and an EEA legal qualification.

Are foreign lawyers allowed to appear in court under any circumstances?

EEA lawyers may appear in court provided they do so in association with a local lawyer. Other nationals do not have the right to appear.

Can foreign lawyers requalify as local lawyers?

Can a foreign law firm obtain a licence to open an office?

There is no licensing regime for foreign law firms from countries outside the EEA. The scope of practice of non EEA law firms is limited.

Even if a foreign law firm does not require a legal licence must they register in some form in order to set up an office? (e.g. with a ministry of company affairs etc)

No

No

No

Are there restrictions on the ownership share of foreign lawyers in a law firm?

There are no restrictions on EEA lawyers owning law firms.  The Maltese legislation also provides that "no person, other than a practising Advocate may:
(a) become a partner in a law firm; (b) have any voting rights in a law firm; or (c) account for more than thirty per cent (30%) of a law firm’s management or executive organs.
(3) Notwithstanding anything contained in this article: (a) any person being a member of a designated profession may have ownership rights in a law firm provided that such ownership rights are not in excess of twenty-five per cent (25%) of the aggregate ownership rights in such law firm;
and (b) any person being a member of a designated profession may have voting rights within the ownership, management and organisational structure of the law firm, provided that at all times the ultimate control and decision making within the law firm is exercised by practising Advocates."  These designated professions are architects and accountants.

There is no prohibition on employment of a Maltese lawyer by an EEA lawyer or law firm.

A Maltese advocate may enter a partnership with an EEA lawyer. Partnership with other foreign lawyers is not permitted.

Yes but only as paralegals.

Other useful sources or comments or links

Camera Degli Avvocati - The Chamber of Advocates of Malta: http://www.avukati.org/chamberofadvocates/faq