‘Nigerian Lawyers Must Upgrade to World Class Standards’
A truly unique law event is about to take place in Nigeria. For the very first time, the country will play host to some of the top-notch law firms in Africa, as it hosts the Lex Africa Alliance Conference on April 7, 2017 in Lagos. Osayaba Giwa-Osagie has
How does Lex Africa Alliance (LAA) work between the different member countries? For example, if a Nigerian came to your firm to inquire about setting up a business in one of your member countries, how would such a person be able to utilise the services of LAA? Lex Africa is an alliance of reputable law firms across Africa. By coming to a Lex Africa member, the member will be able to direct the client to a member firm in the country it intends to do business in. We have a secretariat located in the premises of Werksmans Attorney in Johannesburg, South Africa. If clients require services of a competent law firm in any member country, the Secretariat will refer them to the member firm.
LAA was established about 24 years ago, as the first and largest alliance of legal expertise, to deliver the best services possible to clients in their business activities in Africa. Why did LAA believe that there was a need for this type of alliance? Kindly, shed more light on what LAA represents, its core objectives, why its holding its Conference in Nigeria this time, and how many Nigerian law firms are members? How well would you say that LAA has been able to achieve its objectives so far?
The Founding members saw the need to develop a network focused on providing access to excellent, proficient and reputable lawyers, expanding the benefits of investing in the continent and also to strengthen the relationship between African countries through cross-border interactions between African lawyers.
Lex Africa Alliance represents a one-stop shop for finding the best Law Firms, delivering exceptional legal services on the continent of Africa. Our core objective is to collaborate with member firms to drive business growth in Africa through the best legal practice, by attracting, developing and promoting world-class professional skills for the continuing success of our network and the broader African continent.
Giwa-Osagie & Co. is the only Nigerian member in the network and was voted at the last AGM held in Mauritius, to host the 2017 AGM.
Lex Africa has made a significant mark in the African Legal Sector. We have been able to reduce the risk factor involved in doing business in Africa, through our team of dedicated Law firms and our published business guides. Members of Lex Africa have been well ranked in various practice areas by a) Chambers and Partners “115” rankings; b) IFLR 1000 “103” rankings and c) Legal 500 “29” rankings.
Unlike other organisations, LAA seems somewhat closed and restricted. How many law firms per member state are permitted to join LAA? How can lawyers, especially the young and upcoming, who do not work in any of the member firms, tap into whatever benefits LAA may have to offer?
The Constitution of the Lex Africa Alliance only permits one Law firm per member country.
Our mission includes developing and promoting world-class professional skills in the Continent. To that end, as part of the services we render, we author articles, papers and guides on different legal subject matters based on the laws of the African Countries, for the purpose of contributing to the body of knowledge of young African lawyers on the continent. These materials are available for free and easily accessible to lawyers on the continent.
What is your opinion about law firms in Nigeria merging to create mega law firms like we have in UK
"LEX AFRICA ALLIANCE REPRESENTS A ONE-STOP SHOP FOR FINDING THE BEST LAW FIRMS, DELIVERING EXCEPTIONAL LEGAL SERVICES ON THE CONTINENT OF AFRICA"
and USA? Do you think that this sort of thing can work in Nigeria?
Was can have law firms merging to become mega firms in Nigeria. To become a mega firm in Nigeria, the laws on partnerships like the Partnership Law of Lagos State 2009, must be complied with. The partners coming together should be men and women of integrity, so they do not run into problems or ethical issues. However, what may be a mega firm in Nigeria, may not qualify as a mega firm in the United Kingdom or United States because of the number of lawyers and partners which the mega firms in those countries have.
LAA’s Annual General Meeting/ Conference will take place for the first time in Lagos, Nigeria on April 7, 2017. One of the main topics for discussion at the conference is ‘Business Investment Environment in Nigeria and Investment in other Countries’. How would you rate the business environment in Nigeria presently? How does it compare to say, Angola, a fellow African oil producing country?
Nigeria has a larger economy compared to Angola. Nigeria boasts of a robust business environment which continually attracts foreign investment.
The Nigerian government continually passes legislation and makes policies, to ease the process of doing business in Nigeria. Just recently, the Federal Government reviewed some policies relating to procurement of visas by investors, ease of registering a business in Nigeria, ease of import and export, etc. which were some of the areas identified as those in which investors had experienced difficulties over the years.
I cannot comment in any detailed way on the situation in Angola, except that its judicial system appears to be more complex than that of Nigeria. However, I believe that in due course, they will also introduce good world class policies. We also have some common problems such as corruption.
It seems that foreign investors these days may prefer to do business incountr i es like Ghana or South Africa for example, as opposed to Nigeria, because many have complained, not only about Nigeria’s high level of corruption, our inconsistent foreign exchange policy and the decline in the value of the Naira, difficulty in repatriating money to foreign investors' home countries, but the ease of doing business in Nigeria. What do you think that Government can do about these issues, in order to make the business environment in Nigeria more attractive and to promote foreign direct investment in Nigeria?
I believe that the government is tackling the issue of corruption very seriously by the high number of cases on corruption being tried across the country. The government is also trying to implement some policies that will make it more difficult for people to engage in corrupt practices. For instance, the Treasury Single Account introduced by the President. The fight against corruption is an ongoing process to which all Nigerians are expected to participate by conducting their affairs in an honest manner.
Until recently, the Government had inconsistent foreign exchange policies, caused mainly by shortage of Dollars and a drastic drop in the price of crude oil. However, the price of crude oil has increased from about $25 per barrel last year to over $50 per barrel now. Also, in the past one month, the Central Bank of Nigeria (CBN) has increased the amount of dollars available for sale through the bank for customers. We are hopeful that the Naira will strengthen against other foreign currencies soon.
The difficulty in repatriating money to foreign investor’s home is a direct result of the drop in the supply of Dollars accruing to the Federal Government from the sale of crude oil. We suffered a drop from over a $100 per barrel to about $25, so the Government had to prioritise the sectors where the CBN would make Dollars available to customers. From all available projections, the price of crude oil is likely to increase and Dollars in circulation is also likely to increase. We must all remember that these things we complain about did not occur when the price of oil was over $100 per barrel.
Regarding the ease of doing business in Nigeria, the Federal Government has commenced the process of improving the business environment of the country through the set-up of a committee - The Presidential Enabling Business Environment Council (PEBEC) chaired by the Vice President, Professor Yemi Osinbajo, SAN, with the objective of improving the scope of investment opportunities in Nigeria and also carrying out a review of the existing policies, with the aim of identifying its weaknesses. Areas such as the import and export of goods; procurement of Nigerian Visa, transparency and efficiency of agencies and parastatals of government have been areas in which investors have experienced some problems in the past. Some reforms such as simplifying the business registration process at the Corporate Affairs Commission (CAC), issuance of Tax identification numbers online and a simplified visa procurement process, have been recommended by PEBEC, and are being implemented.
In recent times, Investors have shown more confidence in Nigerian economic policies. This is evident from the recent Nigeria Euro bond of $1 Billion which was oversubscribed. Certainly, the Nigerian Government is committed to ensuring that Investors perceive Nigeria once again, as the preferred country for business.
What is the LAA doing to promote business in Nigeria?
Lex Africa has an annual Business Guide publication which is distributed by Giwa-Osagie to different business sectors. The Business Guide contains information and statistics on how to conduct business activities in member nations. This is valuable information to an investor in Nigeria, considering an expansion of his/her business to other African countries.
You are aware of the recent xenophobic attacks in South Africa against foreigners including Nigerians. How do you think that our Government should resolve this issue and protect our people and their businesses in South Africa? Is there any role for LAA to play in the resolution of this issue, since both Nigeria and South Africa are members of LAA and some of the main actors in the saga?
Recently, some members of the House of Representatives met with their South African counterparts in Cape Town and the Nigerian Minister of Foreign Affairs and Minister of Interior also met with their counterparts in Pretoria. They came up with many commendable decisions e.g. the establishment of a multi-sectoral mechanism between the two countries to meet quarterly to exchange information on prevailing developments, and act as an early warning system on various issues including security. The mechanism allows foreigners in South Africa to have a platform where they can report any security issue observed in their locality and get an immediate response.
I believe that with their recommendations and the clear desire by citizens and leaders of both countries on the need to live and work together in harmony, the issue should be resolved in a permanent manner very soon. In addition, it is the role of the professionals including lawyers in both countries, to preach the need to live together in peace and harmony, without resorting to violence or engaging in criminal activities. The issues are complex but they can be resolved.
It does appear in the past few years that foreign law firms have been surreptitiously encroaching on the Nigerian legal industry, using local law firms as fronts. What in your view, should be done, as a matter of urgency, to stem this tide before Nigerian lawyers lose their earnings to foreign lawyers?
Yes, it seems like this is the new trend. The foreign law firms usually set up an African desk in their offices abroad, with a bid to obtain work from foreign clients in need of legal services in Nigeria, rather than allow such clients approach the local lawyers directly. However, they lack the local knowledge to operate in the Nigerian market and therefore, require the local lawyers. Our lawyers have sufficient expertise and skills to protect the market. It is up to the Nigerian lawyers to protect the Nigerian legal market by maintaining a world class professional standard in their practice, sufficient to compete with lawyers from other parts of the world. It is also important for local lawyers to seek more international exposure to directly approach the foreign clients on Nigeria related legal work.
Do you share the view being expressed by some lawyers that Nigeria is over -lawyered? There are over 140,000 lawyers and 8,000 more are being called to the Bar every year.
In a country of over 180 Million people, I do not think that 140,000 lawyers is an excessive number. You must consider that not every lawyer is actually practicing the profession. Also, law is a very vast profession, and some areas of law are currently not adequately explored e.g. entertainment law, competition law, intellectual property etc. In the mega law firms abroad, you find a law firm with over 1000 lawyers, specialising in different areas of law. We can be required for the various fields of law.
In the face of the economic reality in these challenging recession times, what is your advice to lawyers with regard to staying afloat until the tide blows over? Many have complained that work is shrinking and clientele declining.
I would advice lawyers to work harder and cut down operating costs. Lawyers need to be more creative and consider establishing alliances with other law firms, when they have jobs that they may not be able to handle alone. They should also use the opportunity of the recession to specialise.
Apart from Lagos which has for over a decade, now created divisions in its Judiciary, including Lands, Probate, Criminal, Fast track etc, no other State Judiciary has these types of divisions. What is your advice to such States?
The creation of divisions is a good innovation which makes room for specialisation within the legal profession, as it is done in many developed countries. I would encourage any State that has not followed the example in Lagos to do so immediately, and also ensure that Judges starting from the Customary, Magistrate Courts up, are well paid promptly and regularly. The government should also, review salaries of Judges to ensure that they are decent, and also make adequate provisions for their retirement.
Are there any positive practices that you have learnt from some of your LAA member states, either in their court systems or commercial practices, that you believe that we could include in our own legal system, to improve it? Kindly, share a few with us.
Nigeria remains the pacesetter in Africa, and has one of the leading legal systems in Africa. Compared to other African countries, our legal system has greatly advanced. However, the fast track procedure in our court system is a good innovation. The repeal and modernisation of our laws is a welcome development, and the creation and adoption of the front loading of court processes is also a welcome development.
"THE FOREIGN LAW FIRMS USUALLY SET UP AN AFRICAN DESK IN THEIR OFFICES ABROAD, WITH A BID TO OBTAIN WORK FROM FOREIGN CLIENTS IN NEED OF LEGAL SERVICES IN NIGERIA, RATHER THAN ALLOW SUCH CLIENTS APPROACH THE LOCAL LAWYERS DIRECTLY"