LAWYERS, especially those who own small firms, are facing tough times in the wake of the Covid-19 pandemic as their work has been put on hold, says The Star in a report.

Lawyer Ahmad Maududi Mahdi was reported as saying that things started well for his small firm in Kuala Terengganu.

However, it trickled to a halt once the movement control order (MCO) was announced in mid-March.

“When non-essential services like land offices, and land and mineral offices closed, our client agreements could not be completed,” Maududi told the portal.

“When the judiciary announced online hearings, it did not apply to every state. Online hearings require proper equipment and not all states have that.”

He said some of his colleagues are struggling to pay salaries due to lack of income during the restriction.

“As of now we can resume as per before the MCO but we are losing prospective clients. Business is still slow.

“For example, in property buying, quite a number of prospective buyers withdrew their purchases because they are affected by the MCO,” he said

Maududi stated that he took advantage of online tutoring and coaching offered by fellow lawyers and the Malaysian Bar.

“We cannot just stick to one area of practice. We have to stretch our knowledge to attract a wider variety of clients,” he said.

For Malaysia’s biggest law firm, Zaid Ibrahim & Co, the company was able to reduce the financial impact as it could use its existing digital infrastructure.

Senior partner and chairman Dr Nik Norzrul Thani explained that this was due to the firm’s digitisation process, ongoing for the past five years, a vital instrument during the MCO.

It was initially a practical step to better co-ordinate the firm’s regional offices.

However, Nik Norzrul admitted there are still elements of legal practice that cannot yet be practised remotely, like acquiring and delivering physical signatures, as electronic signatures are not recognised by all establishments.

Nik Norzrul observed that the Covid-19 pandemic has accelerated the digitisation process and the firm is considering spending more on its digital infrastructure, adding larger firms are better equipped to embrace the change.

“It is not a question of whether they want to, but they have to. Small firms can use resources like Skype, but they have limitations when it comes to paying for licences for those services, which can be quite expensive.

“We will have to embrace technology sooner rather than later.

“Most importantly, this requires a holistic approach by all parties which includes the judiciary, the Bar, the Attorney General’s Chambers and all other stakeholders, which include support services such as Commissioners for Oaths and Notaries Public,” he told the daily.

A recent survey by the Bar showed that almost 50% of surveyed law firms have said they would be downsizing, closing their law practice or ceasing to trade altogether.

Close to 60% of the law firms also responded that they were not intending to hire due to financial issues from the MCO.

The online survey was carried out among law firm owners with 844 responses collected. The survey was carried out from April 10 to April 20, 2020. – June 7, 2020.