30 July 2012 at 13:04 BST

Brazilian bar cracking down on foreign alliances

Global law firms casting a hopeful eye towards South America as a route out of recessionary blues elsewhere could be in for a rougher ride than anticipated in Brazil as the authorities there are rumoured to be imposing strict foreign practice rules.

Sao Paulo: trouble ahead for global law firms?

According to a recent report in Iberian Lawyer magazine, the local bar association in the burgeoning ‘Bric’ jurisdiction is investigating alliances between several leading global players and Brazilian practices.

Rumoured deal

The report highlights a rumoured deal between London-based magic circle firm Linklaters and Sao Paulo firm Lefosse Advogados, which, according to the magazine, has potentially fallen foul of the bar association’s regulatory code. The magazine says the Brazilian rules only allow foreign law firms to act as ‘international law consultants’ in the country, forbidding them from advising on domestic legal issues.
Other global firms in the regulatory spotlight, according to the magazine, are Spain’s Uria Menendez and Chicago-based international giant Baker & McKenzie.
None of the firms commented to Iberian Lawyer.

 
   
 
 
 

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