In practice, this describes legal work that a law firm or lawyer must not deliver to the public through an unregulated “separate business”; it must be provided by a regulated entity or other authorised person. In England and Wales, the concept appears in SRA Standards and Regulations (including the SRA Glossary) and captures activities that fall within, or are closely linked to, the regulatory perimeter. It typically includes reserved legal activities under the Legal Services Act 2007 (rights of audience, conduct of litigation, reserved instrument/conveyancing, probate, notarial, and administration of oaths) and other services that require specific statutory authorisation (for example, immigration advice/services unless the provider is OISC‑authorised). Using an unregulated affiliate to undertake such work, or structuring referrals to circumvent regulation, is prohibited; clients must not be misled about who is regulated and on what terms.
Across Scotland, Northern Ireland and Ireland, the terminology may differ, but the practical position is broadly consistent: legal services that are reserved or otherwise require authorisation must be carried on by appropriately regulated practices or authorised persons, not by unregulated separate businesses within a group.