The Canadian Bar Association has been recommending the introduction of ABSs as a way of enabling greater investment and innovation within legal servies, but the Quindell scandal is seen as setting back this cause. Quindell, a listed company, had a very rocky ride while it engaged in legal services and is now under criminal investigation from the UK-based Serious Fraud Office. Slater & Gordon, purchaser of the Quindell legal services division, has seen its share price fall by 50 per cent in three months.
Nail in the coffin
The Ontario Trial Lawyers Association (OTLA) has been against allowing non-lawyers in through ABSs and has been highlighting the problems at Quindell. Drew Hasselback, editor of the Legal Post section of the Financial Post, thinks that the association and others against ABSs have won the argumet for the time being. He wrote: 'I think the Slater & Gordon situation has basically nailed the coffin lid shut on ABS.' Source: Financial Post
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