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Provisions Relating to Limited Liability Partnerships Will Be Included in Revamped LPA 1976 (Circula

Circular No 180/2018
Dated 23 July 2018 

To Members of the Malaysian Bar 

Provisions Relating to Limited Liability Partnerships Will Be Included in
Revamped Legal Profession Act 1976

The Limited Liability Partnerships Act 2012 (“LLP Act”) came into force on 26 Dec 2012.  The LLP Act allows for the incorporation of a legal firm as a Limited Liability Partnership (“LLP”) at inception, or the conversion of an existing partnership into an LLP. 

However, the Legal Profession Act 1976 (“LPA”) has to be amended to cater for LLPs, as it currently only contemplates advocates and solicitors practising through sole proprietorships and conventional partnerships.

The Bar Council understands that the amendments to the LPA that are necessary in respect of LLPs, with our feedback incorporated, had been finalised by the Attorney General’s Chambers (“AGC”) prior to the 14th General Election.

However, the previous Government deferred tabling these amendments, intending to do so together with other amendments to the LPA that were then being considered by the Special Consultative Committee chaired by the former Minister in the Prime Minister’s Department in charge of legal affairs, YB Dato’ Sri Azalina Othman Said.

The Bar Council met the new Attorney General of Malaysia, Mr Tommy Thomas, on 11 June 2018 to discuss various matters of mutual interest and concern, including the issue of amendments to the LPA to include the provisions relating to LLPs.  In light of the numerous other proposed amendments to the LPA that are being proposed by the Bar Council, it was agreed that it would be prudent to revamp the LPA in a holistic and comprehensive, and not in a piecemeal, manner.  The Attorney General requested that the Bar Council submit a proposed revamped LPA to the AGC as soon as possible.  The Bar Council has begun work on revamping the LPA, and intends to submit our proposal — which will include the provisions relating to LLPs — to the AGC later this year.

The Bar Council recognises that the new Government promised substantial and significant legislative reform in its election manifesto, which it must now deliver.  We are cognisant that parliamentary legislative time is limited, and that the Government is looking at a whole host of legislative matters of national importance.  We trust that the Government will table and pass the revamped LPA in a judicious and timely manner.

Should you have any enquiries, please contact Anusha Gopala Krishnan, Officer, by telephone at 03-2050 2097, or by email at anusha@malaysianbar.org.my.

Thank you.

Roger Chan Weng Keng
Secretary
Malaysian Bar