14. Rule 35 of the principal Rules is amended —(a) | by deleting the word “A” in paragraph (1) and substituting the words “Subject to paragraphs (1A) to (1F), a”; | (b) | by deleting “130L” in paragraphs (1), (8) and (10) and substituting in each case “130L(1)”; | (c) | by inserting, immediately after paragraph (1), the following paragraphs:“(1A) A foreign lawyer who is granted an approval under section 130L(1) of the Act to be a partner, director or shareholder in, or to share in the profits of, a Singapore law practice —(a) | may, while the approval under section 130L(1) of the Act remains in force, with the approval of the Attorney-General under this sub-paragraph, concurrently be a partner, a director, a shareholder, an employee or a consultant of a foreign law practice; and | (b) | may, while the approval under section 130L(1) of the Act remains in force, with the approval of the Attorney-General under this sub-paragraph, concurrently be a nominee of a foreign law practice, or of any other foreign lawyer, in respect of the management of, or the control of any voting power or equity interest in, the Singapore law practice. |
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(1B) It shall be a condition of an approval under paragraph (1A)(a) or (b) that the Singapore law practice satisfies all of the following so long as the approval is in force:(a) | the foreign collaboration (general) requirements in rule 3A(1); | (b) | the foreign collaboration (profit) requirement in rule 3A(2). |
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(1C) The Attorney-General shall not grant an approval under paragraph (1A)(a) unless the Attorney-General is satisfied, at that time, that —(a) | the Singapore law practice satisfies the foreign collaboration (general) requirements in rule 3A(1); and | (b) | there is no actual or potential conflict of interests, if the foreign lawyer is allowed to concurrently be —(i) | a partner, a director, a shareholder, an employee or a consultant (as the case may be) of the foreign law practice; and | (ii) | a partner, director or shareholder in, or share in the profits of, the Singapore law practice. |
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(1D) The Attorney-General may cancel an approval granted to the foreign lawyer under paragraph (1A)(a) if the Attorney-General is satisfied, at that time, that —(a) | the Singapore law practice does not satisfy —(i) | any of the foreign collaboration (general) requirements in rule 3A(1); or | (ii) | the foreign collaboration (profit) requirement in rule 3A(2); or |
| (b) | there is, or will be, any actual or potential conflict of interests, should the foreign lawyer continue to concurrently be —(i) | a partner, a director, a shareholder, an employee or a consultant (as the case may be) of the foreign law practice; and | (ii) | a partner, director or shareholder in, or share in the profits of, the Singapore law practice. |
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(1E) The Attorney-General shall not grant an approval under paragraph (1A)(b) unless the Attorney-General is satisfied, at that time, that —(a) | the Singapore law practice satisfies the foreign collaboration (general) requirements in rule 3A(1); and | (b) | there is no actual or potential conflict of interests, if the foreign lawyer is allowed to concurrently be —(i) | a nominee of the foreign law practice or other foreign lawyer in respect of the management of, or the control of the voting power or equity interest in, the Singapore law practice; and | (ii) | a partner, director or shareholder in, or share in the profits of, the Singapore law practice. |
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(1F) The Attorney-General may cancel an approval granted to the foreign lawyer under paragraph (1A)(b) if the Attorney-General is satisfied, at that time, that —(a) | the Singapore law practice does not satisfy —(i) | any of the foreign collaboration (general) requirements in rule 3A(1); or | (ii) | the foreign collaboration (profit) requirement in rule 3A(2); or |
| (b) | there is, or will be, any actual or potential conflict of interests, should the foreign lawyer continue to concurrently be —(i) | a nominee of the foreign law practice or other foreign lawyer in respect of the management of, or the control of the voting power or equity interest in, the Singapore law practice; and | (ii) | a partner, director or shareholder in, or share in the profits of, the Singapore law practice.”; |
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| (d) | by deleting the words “The total value of equity interests in a” in paragraph (2) and substituting the words “It shall be a condition of an approval under section 130L(1) of the Act granted pursuant to an application made before 1st June 2012 by a Singapore law practice that the total value of equity interests in the”; | (e) | by deleting paragraph (3) and substituting the following paragraph:“(3) It shall be a condition of an approval under section 130L(1) of the Act granted pursuant to an application made before 1st June 2012 by a Singapore law practice that foreign lawyers (whether individually or collectively) shall not, directly or indirectly, have a controlling interest in the Singapore law practice.”; |
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| (f) | by deleting paragraph (5) and substituting the following paragraphs:“(5) It shall be a condition of an approval under section 130L(1) of the Act granted pursuant to an application made before 1st June 2012 by a Singapore law practice that except as provided in rule 5(7), the total amount of payments made by the Singapore law practice to foreign lawyers, during any financial year of the Singapore law practice, as directors’ remuneration, as shareholders’ or partners’ dividends, or under any other profit sharing arrangement, shall not exceed 25% of the total amount of payments made by the Singapore law practice, during that financial year, as directors’ remuneration, as shareholders’ or partners’ dividends, or under any other profit sharing arrangement. |
(5A) It shall be a condition of an approval under section 130L(1) of the Act granted pursuant to an application made on or after 1st June 2012 by a Singapore law practice that the Singapore law practice satisfies all of the following so long as the approval is in force:(a) | the foreign collaboration (general) requirements in rule 3A(1); | (b) | the foreign collaboration (profit) requirement in rule 3A(2).”; |
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| (g) | by inserting, immediately after the words “paragraphs (1)(b)(ii)” in paragraph (6), the words “, (1A)(b), (1E)(b), (1F)(b)”; and | (h) | by inserting, immediately after the word “approval” in the rule heading, the words “under section 130L(1) of Act”. |
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