The Federation of Law Societies of Canada is pleased to announce the publication of a new report demonstrating the effectiveness of law society regulation vis-à-vis anti-money laundering and counter terrorist financing.

The report was developed in response to the Financial Action Task Force (FATF) requirements related to Canada’s AML regime, and specifically addresses Immediate Outcome 4 (p.136), which focuses on the effectiveness of regulation of Designated Non-Financial Businesses and Professions (DNFBPs), including the legal profession.

The publication highlights:

• Audit programs and compliance procedures established by law societies across Canada;
• Disciplinary outcomes in cases involving trust account misuse, breaches of client identification and verification rules, and violations of the no-cash rule;
• Gatekeeping responsibilities, including licensing and admission processes, and restrictions on ownership and structure of legal practices.

Designed to provide a comprehensive view of how law societies implement their AML regulatory regime, the document includes in-focus jurisdictional highlights, summary tables, and examples of education, guidance, and enforcement initiatives.

• View the English report

This report underscores the critical role played by law societies in helping to prevent the misuse of legal services for illicit purposes and in supporting Canada’s broader AML framework.

The Federation of Law Societies of Canada is the national association of the 14 law societies mandated by the provinces and territories to regulate Canada’s legal profession in the public interest. It is the body through which Canada’s law societies collaborate at the national level, share information on trends and issues affecting the legal profession, and engage in collective action and decision making.

The Federation is also the law societies’ national and international voice on important issues related to the regulation and core values of the legal profession. For more information on the Federation, please visit our web site at www.flsc.ca.