‘HOW CAC IMPOVERISHES NIGERIA’S LAWYERS,’ BY BUKOLA AYISIRE

BY BUKOLA AYISIRE

One of the most concerning developments currently affecting the legal profession in Nigeria is the gradual but systematic deprivation of briefs and income occasioned by Corporate Affairs Commission (CAC) policy shifts, particularly as it relates to company searches and registrations.

For decades, company searches and post-incorporation filings at the CAC have been a core revenue stream for legal practitioners, especially young lawyers and solo law offices. These services, often mandated as part of Know-Your-Customer (KYC) compliance, corporate due diligence, and regulatory onboarding, were routinely handled by private practice lawyers on behalf of banks and corporate institutions.

However, this longstanding structure is now being undermined by two key developments:

1. Unrestricted CAC Portal Access to Banks and In-House Legal Departments

Many commercial banks now have direct access to the CAC portal. More troubling is the fact that in-house counsel, who are not in active legal practice and are not subject to the same market dynamics as external solicitors, are now conducting company searches and registration-related activities internally on behalf of their institutions.

2. Abrupt Termination of Briefs Without Notice

Legal practitioners who previously managed corporate compliance portfolios for banks are now being cut off without prior communication or explanation. In some cases, law firms discover that services they once rendered have been fully internalized—without any transition process, consultation, or opportunity for redress.

A Clear Case of Economic Displacement

This shift represents a clear case of economic displacement, as private legal practitioners are being pushed out of an established area of practice, not by market competition or performance issues, but by institutional policy decisions that favour vertical integration within banks and their legal departments.

Many of these in-house lawyers do not operate as law firms, do not bear the cost burdens of legal practice, and are not required to seek briefs or operate within the ethical and economic realities of the Nigerian Bar. Yet they are occupying spaces and handling tasks traditionally reserved for external solicitors, thereby depriving the legal ecosystem—particularly small and mid-sized firms—of viable income streams.

The Role of the Corporate Affairs Commission (CAC)

The CAC has a critical role to play in this unfolding crisis. By granting unfettered access to its systems without clear access protocols, oversight, or tiered limitations, the Commission has inadvertently created a system that marginalizes the very professionals who are trained and licensed to engage with corporate law.

The current approach also appears to contradict broader national goals around economic inclusion, youth empowerment, and , especially in a profession where many new entrants rely on CAC-related briefs to establish themselves and sustain their practices.

Call to Action

We respectfully call on the Corporate Affairs Commission and other relevant stakeholders, including the Nigerian Bar Association, to:

• Revisit and review institutional access rights to the CAC portal, particularly for non-practicing lawyers or internal departments of commercial entities;

• Institute access control measures that restore the role of external solicitors in the company search and registration process;

• Engage with legal practitioners’ associations to ensure that any future reforms are carried out inclusively and with regard to the economic survival of lawyers in private practice.

The legal profession must not be sidelined in the digital transformation of regulatory institutions. Progress must not come at the cost of livelihoods.

Bukola Ayisire is an Abuja based lawyer
The views expressed in this article are entirely those of the author and do not represent the opinion of CITY LAWYER or its publishers

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