No formal enforcement action will be taken against the Chartered Institute of Legal Executives (CILEX) and CILEx Regulation Limited (CRL), the Legal Services Board (LSB) has concluded after investigating a dispute between the two.
The LSB made seven recommendations in its report, published this month. CILEX and CRL have agreed voluntary undertakings to fulfil the recommendations.
The LSB had some criticism both of the way CILEX approached CRL in January 2022 with a proposal to redelegate the latter’s regulatory functions to the Solicitors Regulatory Authority, and of the manner of CRL’s response.
However, it also noted: ‘This is the first time that an approved regulator has seriously considered redelegating its regulatory functions to a third party in this way. As a result, there was no “road map” in place for CILEX to follow. To the extent that it made errors of approach or communication, they should be understood against that backdrop.’
