Two sides to ABS

"ABS" has come to signify two entirely different structures.

On the one hand, there is the true multi-disciplinary partnership, limited to lawyers and other "relevant professional advisers" (defined in the Proceeds of Crime Act at s 330(14)) and, possibly, extending to further "regulated professions" (or possibly not – see Financial Action Task Force "40 Recommendations", at the Glossary: “Designated non-financial businesses and professions" (para (e) (cited by A-G Kokott in her AKZO opinion)).

On the other hand, there is a structure whose composition is not so limited.

The former presents no insoluble problems. The latter is unknown in the rest of Europe and is likely to remain so, whatever might issue from the Legal Services Act (England & Wales) or a future Legal Services (Scotland) Act.

The doubts and concerns about the non-MDP ABS will remain so long as the United Kingdom remains a member of the Financial Action Task Force, and so long as there are laws about data protection and unfair terms in consumer contracts.

It would be a pity if, just before the flaws in the non-MDP ABS concept start to become better understood by consumer and privacy groups, the Law Society of Scotland were to be diminished by the loss of its 60-year-old dual role.