Today, On 10th July, The Society of Indian Law Firms (SILF) urged the Bar Council of India (BCI) to grant statutory recognition to Indian General Counsel (GCs) and extend attorney-client privilege to them. SILF also recommended that GCs be included in the list of eminent mediators and arbitrators.
The Society of Indian Law Firms (SILF) approached the Bar Council of India (BCI) requesting official recognition of General Counsel (GCs) in India as “legal advisers” in accordance with Section 129 of the Indian Evidence Act.
In a letter from SILF President Lalit Bhasin to BCI Chairman Manan Kumar Mishra, the organization also advocated for the extension of attorney-client privilege, which is currently only granted to litigating lawyers, to include GCs as well.
The letter states,
“Clarification to be issued by Bar Council of India under Section 126 of the Evidence Act, 1872 dealing with professional communication. A General Counsel can be considered as a ‘pleader’ as they plead law while advising to their employers in the corporate sector.”
Additionally, SILF requested that GCs be added to the list of eminent mediators and arbitrators under the Arbitration Act and that they be permitted to represent their employers in courts and tribunals through an amendment to Rule 49 of the Bar Council of India Rules.
SILF argued for the recognition of General Counsel (GCs) by referencing the Supreme Court’s decision in Bar Council of India v. AK Balaji, which ruled that the practice of law encompasses both litigation and non-litigation activities.
“General Counsel are qualified lawyers, having passed the law examination as mandated by the Bar Council of India, and they practice law within the corporate sector.”
Bhasin’s letter highlights the evolving role of GCs in India, highlighting that beyond managing their companies’ legal matters, GCs are now integral to business strategy and organizational decision-making. They also engage in cross-border transactions, corporate social responsibility, business expansion, and issues related to new-age technology, among other responsibilities.
SILF contends that statutory recognition of GCs is essential given global trends and to bring more clarity and accountability to the role. Such recognition would grant GCs professional privileges and protections, enabling them to combat corruption and protect their companies’ legal integrity, as noted in the letter.
According to SILF, Section 132 of the Bharatiya Sakshya Adhiniyam (BSA) prohibits advocates from revealing client communications, except under specific conditions. Additionally, the Evidence Act safeguards confidential communications with legal advisers.
Currently, the BCI Rules stipulate that an advocate cannot serve as a full-time salaried employee of any corporation. If an advocate takes such a position, they must notify the BCI and stop practicing as an advocate. SILF notes,
“This rule poses a challenge in extending attorney-client privilege to General Counsels employed within organizations, unless the Bar Council of India issues a clarification.”
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SILF also highlights that in other countries like Canada, Australia, England and Wales, Singapore, and the United States, communications between General Counsels and their employers are protected, with certain conditions.
Given that General Counsels received informal recognition worldwide, SILF advocates for their recognition as “legal advisers” under Indian law.
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