India's Legal Market Reforms: Facilitating Entry Of Foreign Law Firms

India's legal sector is experiencing a significant transformation following the Bar Council of India's decision in 2023 to allow foreign law firms and lawyers to practice within the country.This decision, rooted in reciprocity, enables foreign entities to engage in non-litigious matters concerning foreign and international law. While this shift is poised to elevate India's standing in global legal services, it also brings forth both challenges and prospects for domestic law firms.Further, in response to feedback from the legal community in India and abroad, the BCI announced plans to issue a revised set of regulations after thorough consultations with stakeholders. In early 2025, the Government of India introduced a draft Advocates (Amendment) Bill, proposing direct government oversight of foreign law firm entry. However, following opposition from the legal fraternity, the bill was subsequently withdrawn.Thereafter, on May 13, 2025, the Bar Council of India formally amended and enforced the 2022 Rules, now known as the BCI Foreign Lawyer Amended Rules 2025, as published in the Gazette of India. These updated regulations establish a more transparent and inclusive framework for foreign law firms and lawyers operating in India.As per amended rules, foreign entities registered abroad can offer legal services pertaining to their home country's law, international law, and international arbitration, focusing on non-contentious matters. While these entities can employ Indian advocates and legal professionals, they are restricted from representing clients in Indian courts or tribunals.To operate in India, foreign lawyers and law firms must comply with the regulations established by the Bar Council of India. It's crucial to understand that foreign lawyers are not permitted to practice Indian law or appear for clients in Indian judicial bodies. However, Indian advocates working with foreign firms retain the autonomy to practice Indian law independently under their individual enrolment as per the Advocates Act of 1961..India has introduced strict regulations for short-term visits by foreign lawyers engaging in client-related activities within the country. These guidelines require prior notification to the Bar Council of India, including the disclosure of client details, nature of work, and duration of stay.These measures align with India's 2023 initiative to facilitate the presence of foreign law firms, focusing on non-litigious, international legal matters. Foreign lawyers and law firms can provide legal advice in India without registration, subject to the following conditions:Ensure your stay does not surpass 60 days within a 12-month span.Prior to each visit, submit a pre-arrival notification to the BCI using the designated Form. Stay informed and compliant for a seamless experience.These regulations are designed to simplify the process for foreign legal professionals working in India and ensure adherence to the specified guidelines for short-term visits..Union Minister Nitin Gadkari Calls For New Law For Cooperative Sector .Upon registration, these firms are empowered to engage in non-litigious practice areas like foreign law, international law, and arbitration.BCI oversees the activities of these firms in both Indian and foreign legal matters, ensuring compliance with ethical and professional standards.The operations of foreign law firms in foreign jurisdictions are contingent upon reciprocal recognition and compliance with local regulations.Registration does not curtail existing rights under Indian law but enhances the firm's capacity to operate in foreign, non-litigious domains.According to these rules, a "partnership" denotes a formal legal partnership or equivalent governed by a legal agreement. Indian lawyers or firms not registered under these rules are not permitted to form such partnerships with foreign lawyers or firms but may engage in collaborations through referrals or consultancy contracts.All Code of Ethical Practice in India applies to registered foreign lawyers/firms, except where specifically exempted.Indian advocates may apply for registration as foreign lawyers under the Rules if they possess the requisite foreign qualifications and authorisation.Such dual-qualified individuals may practice both Indian law (as Indian advocates) and foreign law/international law (as registered foreign lawyers)..Government Considering Amendments To Atomic Energy Act, Nuclear Liability Law.The Bar Council of India's recent decision signifies a notable advancement in integrating India into the global legal services market. This development, while posing challenges, also presents avenues for expansion and partnerships with international law firms.Domestic law firms are urged to adapt strategically to capitalise on these shifts, maintaining their competitiveness and sustained success in a changing legal environment. This initiative is poised to drive technological progress, foster collaborations, and facilitate the infusion of working capital for both domestic and foreign firms..Sachin Sharma is a managing partner, IDT at KSV Tax Consultants.Disclaimer: The views expressed here are those of the author and do not necessarily represent the views of NDTV Profit or its editorial team. .European Law Raising Wage Standards And Indian Businesses May Pay The Price

India's Legal Market Reforms: Facilitating Entry Of Foreign Law Firms

To operate in India, foreign lawyers and law firms must comply with the regulations established by the Bar Council of India.

NDTV Profit

NDTV Profit

Follow Us

DOWNLOAD THE APP