LAWYERS, THE STATE AND THE MARKET Also by Gerard Hanlon THE COMMERCIALISATION OF ACCOUNTANCY Lawyers, the State and the Market Professionalism Revisited Gerard Hanlon ~ t\L\C~11 LL \N Business © Gerard Hanlon 1999 Softcover reprint of the hardcover 18t edition 1999 All rights reserved. No reproduction, copy or transmission of this publication may be made without written permission. No paragraph of this publication may be reproduced, copied or transmitted save with written permission or in accordance with the provisions of the Copyright, Designs and Patents Act 1988, or under the terms of any licence permitting limited copying issued by the Copyright Licensing Agency, 90 Tottenham Court Road, London W1P 9HE. Any person who does any unauthorised act in relation to this publication may be liable to criminal prosecution and civil claims for damages. The author has asserted his right to be identified as the author of this work in accordance with the Copyright, Designs and Patents Act 1988. First published 1999 by MACMILLAN PRESS LTD Houndmills, Basingstoke, Hampshire RG21 6XS and London Companies and representatives throughout the world ISBN 978-1-349-14688-8 ISBN 978-1-349-14686-4 (eBook) DOI 10.1007/978-1-349-14686-4 A catalogue record for this book is available from the British Library. This book is printed on paper suitable for recycling and made from fully managed and sustained forest sources. 10987654321 08 07 06 05 04 03 02 01 00 99 For J en and September 6 Contents List of Tables x Preface xi Acknowledgements xiii 1 A Crisis of Social Democracy? Professionalism and Flexible Accumulation 1 The Market or Social Democracy? 2 Emergence of Global Fordism 3 Social Citizenship, Professionalism and the Fordist Regime of Accumulation 5 Professionals and the Delayed Endorsing of Social Citizenship 9 Social Service Professionalism and the Market sector 17 Unbounded Social Citizenship and the Crisis of British Capitalism 19 The New Right's Attempted Destruction of Social Democracy 25 The Consequences of the State's Shift Right for Professionals 30 Capital's Attack and Resurgence 33 Conclusion 37 2 Defenders of the Laissez-Faire Faith and Adherents to Fordist Collectivism: The Changing Relationship Between Lawyers and Society 39 A Suitably Qualified Laissez-Faire Capitalism 40 Inter-professional Rivalry and the Increasing Withdrawal into Land - Monopolising Conveyancing 45 Vll viii Contents The Laissez-Faire State as the Solicitors' Defender 54 The Rise of the Interventionist State - A Case of Threatening Behaviour? 61 The Interventionist State and Solicitors - Towards a New Accommodation 66 Elite Firms - From Laissez-Faire Capitalism to Fordism 73 Conclusion - Lawyers and the Crisis of Social Democracy 79 3 Lawyers, the State and the Market: Between the Devil and the Deep Blue Sea 82 The Strong State and the Professions 82 Lawyers and the Strong State - A Further Facilitation of the Powerful? 93 Professional Services as Commodities - A Capital Idea 108 Buying Individual or Firm Skills? Commercial Knowledge, Networks and the In-House Lawyers 117 Conclusion 121 4 Flexible Accumulation and the Emergence of the 'Commercialised Professional' 123 Commercial Law Firms - Are They Really That Different? 125 'Restructuring for the Emergence of the Commercialised Professional' 131 Networking and the (Renewed) Cult of the Individual 142 Embeddedness, Trust and Marketing Professional Services 146 Contents ix Networks as Sources of Individual Empowerment 156 Conclusion 161 5 Professionalism as Enterprise: Service Class Politics and the Redefinition of Professionalism 164 The Service Class as a Conservative Force 165 Service Class Divisions 166 Professions, Trust and the Service Class 170 Professionals and the Fissures in the Service Class 174 Social Service Professionalism and a Radical Service Class? 178 Developing These Issues Further 181 Conclusion 182 Conclusion: The Social Structure and the Changing Face of Professional Work 184 Appendix: Research Methodology 190 Notes 193 References 197 Index 209 List of Tables 1.1 Expansion of employment in broad professional services sectors 1948-68 8 4.1 Percentage of firms by partner numbers 125 4.2 Areas of law practised by firm size 129 4.3 Type of client base by law firm size 130 4.4 Proportions of law firms with departments 132 4.5 How competitive is the market by firm size? 135 4.6 Extent and type of marketing plans devised by law firms by firm size 142 x