Law firms look to South Korea after historic trade agreement is signed

UK law firms look set to benefit from the Law Society International Division’s efforts to open up the South Korean legal services market after a historic free trade agreement was signed between the European Union and leaders in Seoul.

The Law Society’s five year efforts to liberalise the South Korean market and open the way for co-operative working between UK and South Korean lawyers looks set to reap benefits after the EU signed what it has described as “the most important free trade agreement (FTA) ever negotiated between the European Union and a third country.”

Trade Commissioner Baroness Catherine Ashton initialled the agreement with her South Korean counterpart Kim Jong-hoon. The text could enter into force in the latter half of 2010 if it is approved by the 27 member states and the European Parliament.

The impact that the agreement will have was anticipated by the Society which signed a memorandum of understanding with the Korean Bar two weeks ago which will give UK lawyers a basis for friendly cooperation with South Korea, backed up by a series of Law Society-led activities in Seoul next year.

Robert Heslett, Law Society President, says: “We have been pressing for this for five years and we expect UK law firms to take advantage of this opportunity. The trade agreement will remove many barriers which have prevented industries from working with South Korea. With legal services, telecoms, environmental, financial services and maritime transport expected to be the main beneficiaries, it goes with out saying that the UK’s lawyers will also benefit.”

South Korea is the EU’s fourth largest economic partner outside Europe, behind the United States, Japan and China. The agreement will do away with €1.6 billion in customs duties on EU exports to Korea and €1.1 billion in the other direction.

Next stop India?

The Law Society points out that this boost for UK and South Korean legal services could help pave the way for similar developments with other fast-growing economies, potentially India.

Alison Hook, head of the Law Society’s International Division, says: “The liberalisation of the Indian legal market has been high on the agenda for some time, but the five year path to full liberalisation in legal services in South Korea negotiated through the free trade deal with the EU offers an interesting precedent for the EU-India free trade agreement, which is just entering the high-level negotiation stages now. We will continue to develop the good relationships we have nurtured with the Indian legal sector as it edges closer to liberalisation.”