Menelaos Kyprianou: Seeing our country faring badly in international tables is unacceptable

For Menelaos Kyprianou, Managing Partner at Michael Kyprianou Law Firm, seeing the country faring badly in international tables such as the EU Justice Scoreboard or publications such as the European Commission’s Rule of Law Report is unacceptable, given the fundamental strengths of its legal system.

This is why he believes the introduction of the e-justice system is of paramount importance. In an interview in the August issue of GOLD magazine, he discusses this as well as the local legal industry’s contraction in recent years, other industries taking market share from law firms by providing ‘one-stop solutions’ and the Finance Ministry’s plans to introduce a single authority to supervise the whole of the professional services sector.

Let’s start with the failed rollout in January of the e-justice system. How did the profession react to this setback and how has it affected your firm’s operations in particular?

The e-justice system will be an important development for the administration of justice as it will significantly increase (as compared to the i-justice system presently in force) the scope of court-related activities that can be conducted electronically. Moreover, the public will have access to this system and will be able to follow the progress of a case whilst other bodies relevant to the administration of justice, such as the Law Office, the police and the social welfare services will be included.

It was unfortunate that the first attempt to set it in operation failed for technical reasons but we should not, I believe, fear that we will face the same problems again. We therefore look forward to this new era of efficiency and transparency, which will benefit all law firms and the profession as a whole. Seeing our country faring badly in international tables such as the EU Justice Scoreboard or publications such as the European Commission’s Rule of Law Report is unacceptable, given the fundamental strengths of our legal system which is based on common law and is a competent body of practising lawyers and an independent judiciary.

The operation of the e-justice system, together with the other important developments that have already taken place in 2023 (the restructuring of the court system and the implementation of the new civil procedure rules), will have a positive effect on the quality and speed at which justice is delivered and constitute an important step forward for the legal industry.

Macroeconomic challenges and geopolitical strife have led to the contraction of the local industry in recent years. How do you assess its present state?

The situation is not the same for all the law firms as, for example, those that were more heavily involved in Russian-related work have been impacted more than others. Negative geopolitical events will always occur and they are not within our control as essentially they cannot be predicted or prevented. What we should do is to keep focusing on matters that are within our control, such as enhancing the attractiveness of Cyprus as a business centre and continuously improving the legal industry with measures such as the ones already discussed. Many local law firms are also, I believe, constantly improving the way they provide their services by setting meritocratic procedures, continuously training their staff and effectively marketing their services abroad. With sound fundamentals, positive results will naturally ensue for the legal industry.

Meanwhile, other industries are taking market share from law firms by providing ‘one-stop solutions’ to clients. Do you foresee this trend driving consolidation within the legal sector? Can law firms adapt to this competitive landscape?

Our Constitution safeguards the right of every person to practise a profession. This, of course, must be done with strict adherence to the law and applicable regulations and taking into account the need to protect the public and our country’s reputation in relation to the quality of services that are provided. From the perspective of a law firm, I think that the only response to this situation is to try to improve further in relation to the quality of services that are provided, efficiency and costs.

The Finance Ministry plans to introduce a single authority to supervise the whole of the professional services sector, as part of broader efforts to improve the country’s image abroad. What are your thoughts on this?

I understand that the Cyprus Bar Association itself does not, in principle, oppose the creation of such a new authority and would be willing to cooperate with it, provided that certain important issues inherent to the legal profession, such as client confidentiality, are addressed. Personally, I am very much in favour of an efficient and competent authority supervising the professional services sector. What is important is for this authority to be effective and perceived by the international community as being so. The long-term gains of being a jurisdiction where the law and international obligations are strictly followed cannot be underestimated.

Finally, what strategies should be adopted if a substantial rebranding initiative is to be undertaken with the aim of restoring Cyprus’ reputation within the international business community?

Our country’s image will improve if underlying substantive changes continue taking place. As regards the legal industry, these changes are first and foremost the drastic reduction in the time required for a case to be completed. This is expected to be achieved through the restructuring of the court system, the implementation of the new civil procedure rules and the operation of e-justice, all of which have been discussed here. The next aim, as regards the legal industry, should be the operation of the commercial and admiralty courts, which can be instrumental in our effort to become an attractive centre for the resolution of disputes. I would also add here the construction of a new building for the District Court in Nicosia. Beyond issues of efficacy, modern and impressive court buildings – such as that of our Supreme Court – demonstrate that we are a country where the rule of law is of paramount importance. At the same time, we should continue our efforts to market the strengths of the Cyprus legal system and highlight its attributes. Individual law firms have taken the initiative and have done this effectively over the years. They now need the ammunition – i.e. underlying substantive changes – to continue doing this successfully.

(This interview was first published in the August 2024 issue of GOLD magazine. To view it click here)