Business continuity for conveyancers

Business continuity and resilience are paramount for all businesses, particularly for UK conveyancers who must ensure uninterrupted operations in the face of potential risks and disruptions. To meet the requirements of the CQS Core Practice Management Standards and adhere to the Law Society’s guidance on risk management, conveyancers must establish a robust business continuity plan, according to Chris Morris, head of pre-sales at Access Legal.

This article aims to highlight the importance of business continuity and resilience for UK conveyancers and provide practical guidance on developing and implementing a plan that meets CQS and Law Society standards.

Business continuity requirements

Section 1.2 of the CQS Core Practice Management Standards stipulates that law firms must have a business continuity plan incorporating the following elements:

1. Evaluation of potential risks leading to business interruption

2. Strategies to reduce, avoid, or transfer risks

3. Identification of key personnel responsible for plan implementation

4. Annual testing of the plan’s efficacy

Identifying potential risks

The Law Society’s CQS guidance recommends that firms first identify potential risks causing business interruption and conduct a SWOT or PESTLE analysis for evaluation. The objective is to identify vulnerabilities and take necessary steps to mitigate risks. Some business continuity risks faced by conveyancing firms include:

1. Hacking, cyberattacks, and data theft or loss.

2. Loss of communications or facilities (IT, building access).

3. Loss or unavailability of key personnel and role holders (MLRO, COLP).

4. Physical, geographic, and location risks (e.g., flood, fire, adverse weather, terrorist attacks).

5. Pandemics.

Mitigating  risk

After risk evaluation, the business continuity plan must outline strategies to reduce, avoid, or transfer identified risks. This ensures operational continuity even during disruptions. Mitigation options include insurance coverage, outsourcing critical functions, and investing in technology and infrastructure. The choice of mitigation strategy depends on each firm’s specific risks and available resources.

1. Hacking, cyberattacks, and data theft or loss:

• Provide cybersecurity training for all employees to enhance awareness and threat detection.
• Regularly backup data and invest in cybersecurity software, such as Multi-Factor Authentication.
• Consider cyber insurance coverage for protection but make sure you understand policy terms and exclusions.

2. Loss of communications or facilities (IT, building access):

• Determine whether data should be stored locally or in the cloud, weighing control versus expertise.
• Consider cloud hosting for expert management, proactive updates, and minimal downtime.
• Prepare backup communications equipment, remote access capabilities, and alternate work facilities.

3. Loss of key personnel and role holders:

• Train key personnel on their roles and responsibilities.
• Identify and train backup personnel when possible.
• Outsource critical functions if backup personnel are impractical to maintain.

4. Physical, geographic, and location risks:

• Establish backup locations and invest in fire suppression systems.
• Regularly update emergency evacuation plans.
• Leverage cloud-based data storage to minimize physical risks and facilitate quick recovery.

5. Pandemics:

• Incorporate remote work options, robust technology infrastructure, and risk management processes into the plan.
• Train employees on remote work measures and regularly review and update the plan.

Key People and Testing Procedures

The business continuity plan must identify key personnel responsible for plan implementation. These may include Partners, COLP/COFA/MLRO/MLCO, practice or operations manager, head of conveyancing, and IT manager. Training these individuals on their roles and responsibilities helps mitigate disruption risks.

Additionally, the plan should include a procedure for annual testing. Regular testing verifies the plan’s effectiveness, provides opportunities for improvement, and ensures it remains up to date.

Conclusion

A comprehensive business continuity plan is indispensable for UK conveyancers to sustain service provision amidst potential risks and disruptions. Adhering to the CQS Core Practice Management Standards and Law Society guidance enables the development of a robust plan that identifies risks, outlines mitigation strategies, and includes regular testing and personnel training. Prioritising the establishment and implementation of a business continuity plan ensures the continued success and stability of conveyancing operations.

Access Legal are currently offering a free cybersecurity report to all law firms equipping you with the knowledge of your current risks and how to mitigate them.