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Guide · For companies

The engagement letter is optional. The instrument is not.

S.I. 2016/510 omitted the UK hirer-terms duty on 8 May 2016. A general counsel who still retains executive search is buying governance, confidentiality and a nomination-committee process — not complying with a letter the statute no longer requires.

Discuss an in-house search In-house counsel recruiting
01 Start here

Pick the seat. The instrument follows.

In London the dated rule a general counsel actually buys is a repeal. S.I. 2016/510 omitted the 2003 duty to agree hirer terms in a single document, in force 8 May 2016, so a company that still signs a retained brief does so for governance, not because Great Britain requires the letter.

Sartori maps roughly 30,000 lawyers in London. A general counsel who reaches for a legal recruitment agency on a chief legal officer brief is buying an introduction product for an office that reports to the chief executive, owns risk and compliance, and in listed groups sits inside the nomination committee’s senior-management definition.

Seat 01 · Listed-company CLO Nomination committee, company secretary, CEO reporting line

The UK Corporate Governance Code 2024 puts senior management, including the company secretary, on the nomination committee. A chief legal officer who holds that office is a retained search. Retain. Do not post.

Great Britain no longer writes the letter for you. The seat still does. The 2016 repeal is laid out below.

$330,000
GC / CLO median baseself-reported US in-house sample, data effective 1 March 2025
ACC / Empsight 2025 Law Department Compensation Survey, released 16 September 2025
35,738
in-house solicitors in England and Wales22% of practicing-certificate holders as of July 2023
Law Society Annual statistics report 2023, published 23 January 2025
145,000
US in-house counsel in 2024residual from BLS OEWS; 78,000 in 2008
ACC, US In-house Counsel Population Statistics, 2025
86%
of 2024 legal spend still went to law firmsLegal Tracker mix; down almost 6 percentage points since 2007
Thomson Reuters 2025 Legal Department Operations Index
02 The dated rule

The statute no longer writes the engagement letter. The board still does.

S.I. 2016/510 did not create a duty to retain executive search. It removed the paperwork duty that used to sit in front of both instruments. What remains is a classification, a regulator change, and a commercial choice.

In London, the opening fact is a repeal date, not a market slogan. The Conduct of Employment Agencies and Employment Businesses (Amendment) Regulations 2016, S.I. 2016/510, omitted regulation 17 of the 2003 Conduct Regulations — the requirement to obtain agreement to terms with hirers, recorded in a single document, before first providing services. The statute book dates that omission to 8 May 2016. The Explanatory Note to the made instrument is blunt: there will no longer be a requirement for employment agencies or employment businesses to obtain agreement to terms with hirers.

A general counsel who treats that 2016 instrument as a current obligation is reading a dead regulation. A general counsel who treats the repeal as permission to run a chief legal officer as a CV drop is reading it the other way wrong. The letter is optional. The office is not.

GOV.UK’s overview of the Conduct Regulations, updated 22 June 2026, still defines an employment agency as a business that finds permanent roles where the work-seeker is employed by the hirer, and an employment business as one that supplies temporary workers. The same page states that the Employment Agencies Act 1973 applies to a wide range of agencies, from recruitment agencies to specialist agencies, online platforms and executive search consultants. The Act, it adds, does not regulate the fees charged to hirers. Section 6 of the 1973 Act, as substituted from 6 April 2004, prohibits an employment agency from requesting or receiving a fee from a person for finding that person employment, save prescribed entertainment and modelling exceptions. A company buying a general counsel search should never see a candidate-side fee. It also should not look to the statute book for a cap on what it pays the provider.

From 7 April 2026 the Fair Work Agency, not the Employment Agency Standards Inspectorate, is the state regulator of both instruments in England, Scotland and Wales. GOV.UK complaint guidance updated 23 June 2026 states that FWA began operating on that April date, that it enforces the 1973 Act and the 2003 Conduct Regulations, and that tools after a warning letter include prosecution, Labour Market Enforcement Undertakings of up to 2 years, orders of up to 2 years, and prohibition from carrying on a recruitment agency for up to 10 years. FWA does not charge fees for investigating complaints. Northern Ireland remains with the Employment Agency Inspectorate. That is a regulator change. It is not a new duty to retain search for the general counsel seat. FWA’s published complaint examples — unpaid temps, Key Information Documents, worker fees — are employment-business and agency-worker harms. They are not a chief legal officer process rule.

The statute no longer writes the engagement letter. The board still does. A listed group filling a chief legal officer against the UK Corporate Governance Code 2024, an SMCR firm putting a general counsel on the board, or any England-and-Wales employer replacing the lead solicitor the Solicitors Regulation Authority will ask to account, still needs a written retained brief because of those offices, not because regulation 17 survived.

Dated duties that replaced the 2016 letter. Markers are in-force and disclosure dates this article cites, not a measurement of any one hire. The shaded band is 2026, when the Fair Work Agency, Provision 29 reporting, the Pay Transparency transposition deadline and AI Act Article 50 all land on the same buyer.
2026 buyer calendar
2022 posting rules2028 Annex I product systems

NYC salary transparency

From 1 November 2022, employment agencies of any size must state a good-faith min/max salary when advertising a role that can be performed in New York City. The law does not require an advertisement in order to hire.

NYC Commission on Human Rights factsheet, 12 May 2022
The statute no longer writes the engagement letter. The board still does.
Lorenzo Sartori, September 3, 2026
03 Classification

Two instruments, one Act, and a third product people keep mixing in.

A permanent chief legal officer hire and a posted staff-attorney hire sit in the same 1973 Act box. A contractor supplied into Legal does not. The buyer who conflates the three pays a transfer-fee statute for a search, or runs a search as if it were a temp desk.

01

Employment business

The provider supplies a worker on its own payroll to act under the hirer's control. Agency Workers Regulations equal-treatment rights attach after 12 continuous weeks. Transfer-fee windows in regulation 10 of the 2003 Conduct Regulations apply. This is a contractor in Legal, not a chief legal officer search.

02

Permanent-introduction agency

The provider finds a person the company will employ. GOV.UK still classes this, and executive search consultants, as an employment agency under the 1973 Act. Hirer fee levels are unregulated. Worker fees are a criminal offence. This is the box a posted staff-attorney fill lives in.

03

Retained executive search

The same 1973 Act box as a permanent introduction, bought as an exclusive, confidential mapping of an office. After 8 May 2016 the written brief is a commercial and governance choice, not a surviving Conduct-Regulations duty. This is the instrument for a general counsel, chief legal officer or company secretary.

Regulation 2 of the 2003 Conduct Regulations points at the 1973 Act for the split. Section 13(2) of that Act, for England and Wales, defines an employment agency as the business of providing services for finding persons employment with employers, or supplying employers with persons for employment by them. Section 13(3) defines an employment business as participating in arrangements under which persons in its employment are supplied to act for and under the control of another person. A general counsel buying a permanent chief legal officer is buying an employment-agency introduction. A head of legal who “tries” a seconded counsel via an agency is buying an employment-business supply. Regulation 10 of the 2003 Conduct Regulations makes a temp-to-perm transfer-fee term unenforceable unless the hirer is offered an extended-hire alternative, and unenforceable after the later of 8 weeks after the last day of supply or 14 weeks from first supply. GOV.UK’s “Fees to hiring companies (transfer fees)” page restates those windows. They do not attach to a retained search that only introduces a candidate for direct hire.

Agency Workers Regulations 2010, regulation 7, for England, Wales and Scotland, holds equal-treatment rights back until the agency worker completes a qualifying period of 12 continuous calendar weeks in the same role with the same hirer. Fair Work Agency complaint guidance updated 23 June 2026 states that FWA is unable to help if the complaint relates to the 2010 Regulations and directs the worker to ACAS; FWA also does not regulate umbrella companies. The head of legal who uses an agency to park a contractor in the department is therefore in a statute FWA will not police and a search consultant will not run. Keep the products apart on the purchase order.

Keep the purchase orders apart: a retained brief for the officer, an agency introduction for the posted attorney, a supply contract for the contractor. Mixing them is how a company pays a transfer-fee statute for a search, or runs a search as if it were a temp desk.

Supply on a provider payrollAppointment the board owns

  1. Employment business A worker supplied to act under the hirer’s control. Transfer-fee windows and the 12-week equal-treatment clock attach. Not a chief legal officer product.
  2. Permanent-introduction agency A candidate the company will employ, usually into a posted seat. Same 1973 Act class as executive search. Process is speed and a defined requisition.
  3. Retained executive search Exclusive, confidential mapping of an office. Same statutory class; different buyer, different file, different owner inside the company.
Three products a company legal department actually buys. The first two columns are statutory. The third is a commercial overlay on the permanent-introduction box, not a separate license.
Product Who employs the lawyer What attaches Typical seat
Employment business The provider AWR 12-week clock; Conduct Regulations transfer-fee windows Contractor or secondee in Legal
Permanent-introduction agency The company 1973 Act worker-fee ban; pay-scale posting where the role is advertised Staff attorney, legal ops, some specialist counsel
Retained executive search The company Same Act class; written brief, exclusivity, confidential approach General counsel, chief legal officer, company secretary, SMF3
04 The office

Retain search when you are filling an officer, not a requisition.

The UK Corporate Governance Code, the Senior Managers Regime, the SRA's 2024 employer suite and the SEC's named-officer and cyber-governance rules do not mention recruiters. They specify an office. That specification is what a retained brief is for.

Posted seatOfficer the board must live with

  1. Staff attorney A defined requisition, a pay scale, an HR-owned file. Agency-eligible. The SRA Code still applies; the SRA will not ask this lawyer to account for the organization.
  2. Deputy / specialist Scope of a vertical: regulatory, cyber, employment, M&A. Retained when the office is scarce or confidential; agency when it is a posted band.
  3. CLO / company secretary CEO reporting line, extra functions, board access, lead-solicitor contact. Nomination-committee and employment-contract architecture. Retained by design.

The Financial Reporting Council published the UK Corporate Governance Code 2024 on 22 January 2024. It has applied since 1 January 2025, with Provision 29 — the board declaration on the effectiveness of material internal controls — becoming applicable from 1 January 2026. Provision 17 tells the board to establish a nomination committee to lead appointments and to ensure plans are in place for orderly succession to the board and to senior management. Footnote 4 of that Code says senior management, for this purpose, should be the executive committee or the first layer of management below board, including the company secretary. Provision 20 says open advertising and/or an external search consultancy should generally be used for the appointment of the chair and non-executive directors, and that if an external search consultancy is engaged it should be identified in the annual report. A staff-attorney agency fill is outside Provision 20. A chief legal officer who is the company secretary, or who sits on the executive committee, is inside Provision 17’s senior-management definition. An agency CV drop does not give the nomination committee a process it can describe.

An agency fills a posted seat. Retained search fills an office the board has to live with. The 2025 ACC Chief Legal Officers Survey, covering 772 chief legal officers across 20 industries and 48 countries in its 26th year, found 79 percent report directly to the CEO — 83 percent in the United States, 57 percent in Australia. Seventy percent manage at least two additional functions among risk, compliance, privacy and ethics. Fifty-eight percent are heavily involved in M&A and other corporate transactions. That is not a requisition. It is an executive-committee hire. Thirty percent of those chief legal officers planned to increase the number of lawyers they hire that year; nearly half planned to do so in larger companies. Forty-one percent of law departments had received a cost-cutting mandate in the past year. Forty-three percent planned to increase the volume of work outsourced to law firms, a 17-percentage-point jump versus the prior year. The buyer who is adding a chief legal officer in that climate is not adding headcount for its own sake. The buyer is buying an officer who can pull work in-house or send it out with a straight face.

FCA Handbook SUP 10C.7.6R, with application provisions dated 23 May 2025, states that a person does not perform the other overall responsibility function by having overall responsibility for the SMCR legal function under SYSC 26.3. The purpose, the Handbook says, is to ensure that a firm can allocate overall responsibility for its legal function to someone who is not an SMF manager: the head of its legal function need not be an SMF manager. They can be — for example, they could be an executive director performing the executive director function. The FCA Senior Managers Regime page, last updated 11 September 2026, records that SMF applicants require regulatory references going back 6 years and that firms must provide a reference as soon as reasonably practicable, within 6 weeks at most. A regulated-firm chief legal officer who is not an SMF can be hired on a company employment contract without Form A timing. A general counsel who is also an executive director is an SMF3 hire. That is a board process. It is not an agency fill.

The Solicitors Regulation Authority made the same office visible on the employer side. Its in-house solicitors thematic review of 14 March 2023, drawing on more than 1,200 survey responses plus interviews, called General Counsel in particular an important leadership role and framed independence, including independence from a client, as Principle 3. Dedicated guidance issued on 18 November 2024 was designed to support the 34,500 plus solicitors working in-house, published, the SRA said, at a time when high-profile cases such as the Post Office shine a light on the role of in-house lawyers. Understanding in-house solicitor’s professional obligations as an employer, updated the same day, tells any organization that employs an in-house solicitor that the SRA will ask the most senior or lead solicitor to account, as the contact point for regulatory matters; that mutual expectations should be set in or alongside the employment contract; that in-house solicitors should be included in directors’ and officers’ cover or equivalent; that bonuses focused solely on completing a deal should be avoided; that the solicitor should have access to the board; and that the employer should not discipline them for raising concerns. The Post Office (Horizon System) Offences Act 2024 received Royal Assent on 24 May 2024. SRA reporting guidance updated 2 June 2026 records the SRA’s designation as a prescribed person under the Public Interest Disclosure Act 1998. A 2024–26 general counsel search is a board and chief-executive hire with speak-up architecture. Human resources using a volume agency for attorney roles does not substitute for that lead-solicitor design.

On the US public-company side the office is a filing. 17 C.F.R. § 229.402 (Item 402) requires disclosure of compensation for the principal executive officer, the principal financial officer, and the three most highly compensated executive officers other than those two who were serving at the end of the last completed fiscal year. A general counsel appears in the Summary Compensation Table only when that officer is among those named executive officers. A Form 8-K filed 24 February 2026 by a US-listed industrial manufacturer records that its human-resources and compensation committee, on 19 February 2026, set the 2026 annual base for the executive vice president and general counsel at $515,000, the annual cash-incentive target at 75 percent, and the long-term incentive multiple at 175 percent. An offer letter filed as a 10-Q exhibit by a US-listed solar-equipment manufacturer sets a $445,000 annual base for a chief legal officer and corporate secretary reporting to the chief executive, with an effective date of 27 January 2025. A Form 8-K for the period 31 August 2026 records a listed communications company announcing a general counsel and secretary succession effective 1 September 2026, with a non-executive transition through 31 December 2026. Those are compensation-committee and board files. They are not purchase orders to an agency.

SEC press release 2023-139, dated 26 July 2023, put a further named duty on the same office: registrants must disclose material cybersecurity incidents on Item 1.05 of Form 8-K, generally four business days after a materiality determination, and, annually, material cybersecurity risk management, strategy and governance under Regulation S-K Item 106, including whether and which management positions or committees are responsible and the relevant expertise of such persons. From year-end 2023 a US public-company chief legal officer, or a designated cyber or privacy deputy, is a disclosure officer. Incident-response counsel may still be panel firms. The seat that signs the 10-K narrative is in-house.

A general counsel at a UK-listed industrial group told Sartori the board had asked human resources to run the replacement through the usual agency, and the nomination committee then had to restart as a retained brief once Provision 20 and the company-secretary definition were raised. That testimony sits inside the London interview cohort. It is the expensive version of treating an officer as a requisition.

An agency fills a posted seat. Retained search fills an office the board has to live with.
Lorenzo Sartori, September 3, 2026
05 The posted desk

When a legal recruitment agency is the right instrument

Most of the lawyers a company employs are not the chief legal officer. England and Wales has more than 34,000 in-house solicitors in more than 6,000 organizations. The majority of those seats are posted work, not nomination-committee work.

The SRA’s hot topic on working in-house, fetched in 2026, puts more than 34,000 in-house solicitors in more than 6,000 organizations, from multinational corporations and government departments to high-street businesses, charities, educational establishments and local health authorities. Its diversity extract published 10 January 2024, records as of 25 April 2023 covering 33,584 people, splits that community 66 percent private sector, 28 percent public sector and 6 percent other. Forty percent were aged 35–44, the highest band; 29 percent were 45–54. A company buying a mid-career specialist or a staff attorney is hiring inside that stock. It does not need a nomination-committee process to do it.

The US picture is the same split viewed from the other side of the payroll. NALP’s Jobs & JDs selected findings for the Class of 2024, status date 17 March 2025, put 58.9 percent of employed graduates in private practice and only 7.0 percent in business, the lowest business share since the Class of 1990; of those business jobs, 22.6 percent were in-house lawyer titles. A company buying a mid-level in-house seat is hiring from that firm-side stock into a corporate desk. A mandate to hire into a law firm is not this page’s buyer, and a volume agency is often the right instrument for the attorney band of that move.

ACC and Empsight’s 2025 Law Department Compensation Survey, 1,632 US in-house respondents, data effective 1 March 2025, prices the posted band as a different product from the officer band. Median total target direct compensation sits at $165,000 for Attorney and $247,000 for Senior Attorney. Legal-operations titles in the same sample — Vice President of Legal Operations at a $246,000 median base, Director at $178,000, Manager at $150,000, Analyst at $88,000 — are HR-adjacent seats the general counsel and the head of legal ops jointly fill. Thomson Reuters’ 2025 Legal Department Operations Index, a July 2025 survey of 128 US corporate legal departments, found 82 percent have at least one dedicated legal-ops role and 45 percent classify themselves as “General Counsel tasked to run legal operations.” Those are posted seats with a pay scale. They are not Provision 20 appointments.

Where US lawyers sit, 2025 base. Legal services remain the majority employer of the occupation; the company general counsel hires out of that stock into a much smaller corporate, finance and headquarters slice. Temporary help is the employment-business channel, not retained search.

U.S. Bureau of Labor Statistics, National Employment Matrix, occupation 23-1011 Lawyers, 2025–2035.

In Great Britain the surviving paperwork duty is on the work-seeker side, not the hirer side.

  • Hirer letter gone. Regulation 17 was omitted on 8 May 2016. A company filling a staff attorney is not under a Conduct-Regulations duty to sign a single pre-service document with the agency.
  • Work-seeker terms remain. Regulation 16 still requires an agency that is permitted to charge a worker to agree terms in a single document before first providing work-finding services. Combined with section 6 of the 1973 Act, a company buying any in-house search should never see a candidate-side fee.
  • Pay transparency is arriving from the EU. Directive 2023/970 must be transposed by 7 June 2026: a right to pay information before employment, a prohibition on asking salary history, and a prohibition of pay non-disclosure agreements. Where transposed, that binds the company and any agency it uses for advertised legal seats. It does not require retained executive search.
  • FWA is not the AWR forum. Complaints about the 12-week equal-treatment clock go to ACAS. Do not buy a contractor supply and expect the search regulator to police it.

In the United States the employer-paid professional instrument is a defined exclusion, and the posting rules are what bind an agency.

  • California excludes employer-retained search from the licensed jobseeker-fee title. Civil Code § 1812.501 defines an employment agency as a person who, for a fee paid by a jobseeker, procures employment. Section 1812.502 exempts a person who charges fees exclusively to employers, with narrow exceptions. An employer-retained in-house search is that exemption, not a licensed jobseeker-fee agency.
  • New York defines the employer-fee-paid professional instrument. General Business Law § 191 defines an employer fee paid employment agency as a person who, on behalf of employers, procures employees for Class B employment — commercial, clerical, executive, administrative, professional — and who in no instance charges a fee to persons seeking such employment.
  • California SB 1162, approved 27 September 2022, requires an employer with 15 or more employees to include the pay scale in any job posting, and requires a third party that posts to print the scale the employer provides. A retained search that never publishes a posting sits outside the posting duty; the company still owes the scale on reasonable applicant request.
  • New York City salary transparency, effective 1 November 2022, covers employment agencies regardless of size. Temporary help firms recruiting into their own pool are excepted. The NYC Commission on Human Rights factsheet states that the law does not prohibit employers from hiring without using an advertisement. Confidential retained search is the instrument the statute itself leaves standing.
06 The year you are buying in

Demand is up. Headcount is not. That is why the instrument matters.

Through 2025 companies bought law-firm hours against geoeconomic shock. Into 2026 they are being told to expect a contraction in spend anticipation while regulatory and cyber work keeps rising. The buyer is choosing a search instrument under a cost-control cycle, not a boom in new general counsel seats.

Forward-looking shares inside CLOC's 2026 State of the Industry Report, based on the 2025 Harbor Law Department Survey: 135 law departments, more than 15 industries, median revenues $13 billion. A large-company volunteer panel, not the US in-house population. Workload is rising in regulatory and cyber; attorney headcount is not.

CLOC, 2 March 2026, 2026 State of the Industry Report (Harbor Law Department Survey, n=135).

Thomson Reuters Institute and the Center on Ethics and the Legal Profession at Georgetown Law, in the 2026 Report on the State of the US Legal Market published 7 January 2026, recorded 2025 average firm profit growth of 13.0 percent, worked-rate growth of 7.3 percent, and demand growth averaging 2.5 percent, as high as 4.4 percent in July. Ninety percent of legal dollars still ran through standard hourly arrangements on Legal Tracker. The same report said many corporate general counsel were signaling significant spending pullbacks, with financial forecasts pointing to contraction by mid-2026. The surge, it argued, stemmed from regulatory shifts and geoeconomic instability rather than from economic health, while general counsel faced stagnant budgets. That is the price of not filling an in-house seat: more firm hours at higher worked rates, bought against a budget that is about to be asked to contract.

Thomson Reuters’ 2025 Legal Department Operations Index, conducted in July 2025 among 128 US corporate legal departments, with Legal Tracker analytics sourced from more than 1,500 corporate law departments, found 56 percent reporting the department under-resourced, 81 percent reporting increasing matter volumes, and 55 percent reporting flat or decreasing legal-department budgets. The companion 2025 State of the Corporate Law Department Report, published 25 March 2025 on more than 2,400 interviews with corporate general counsel, put median in-house lawyer counts at 3 below $1 billion of revenue, 8 between $1 and $6 billion, and 20 above $6 billion. Cost control was the top strategic priority for general counsel in the United States, the United Kingdom and Canada. A company in the smallest of those bands is often filling its first or second lawyer. Our first general counsel guide is the operating version of that hire. The instrument question on this page is prior: is that first lawyer an officer, or a posted attorney?

ACC and Empsight’s 2025 compensation executive summary, released 16 September 2025, puts the cash distance between those two answers on one table. General Counsel / Chief Legal Officer median total target direct compensation is $503,000, with a 90th percentile of $1.46 million. Attorney median base is $148,000. Chief legal officers in companies with revenue greater than $5 billion make 44 percent more in base salary and 173 percent more in total target compensation than those in organizations with revenue less than $1 billion; large-company ($5 billion-plus) median total target direct compensation exceeds $1 million. Twenty-eight percent of the 1,632 respondents had changed jobs in the past two years; 77 percent reported prior law-firm experience. The stock of US in-house lawyers grew over the last decade and a half. CLOC’s 2026 wave says the 2026 budget is not growing with it.

Two calendar items are easy to mis-staff. Regulation (EU) 2024/1689, the Artificial Intelligence Act, entered into force on 1 August 2024. Article 50 transparency obligations apply from 2 August 2026. The Digital Omnibus on AI, Regulation (EU) 2026/1744, entered into force on 27 July 2026; White & Case’s 4 August 2026 client alert records that high-risk Chapter III duties for stand-alone Annex III systems, including employment and recruitment tools, were deferred to 2 December 2027. EU-facing privacy and AI-governance counsel is a 2025–26 seat. A 2026 “AI Act high-risk” hiring wave aimed at the original timetable is a year early. Separately, the Federal Trade Commission on 5 September 2025 acceded to the vacatur of the Non-Compete Clause Rule. There is no live federal noncompete ban to staff a new employment-counsel office against.

07 Buying the instrument

Write the office before you pick the provider.

Sartori has worked the London in-house market for more than 10 years, for general counsel, chief legal officers and heads of HR inside companies. The trailing three-year book is 24 closed in-house searches. The split inside that book is what this page adds.

Of 24 closed London in-house searches over three years, 11 were general counsel, chief legal officer or company-secretary seats run as retained executive search; 9 were deputy, associate general counsel or specialist counsel; 4 were staff-attorney or legal-ops fills that a recruitment agency had already tried. Three of those 11 officer searches stalled in the first sixty days because the nomination committee had not decided whether the seat reported to the chief executive or the chief financial officer. That is the finding that does not flatter the method: Sartori cannot complete an officer search against an unwritten reporting line. The four agency-first files arrived with the market already named; confidential approach was no longer the product anyone could sell that year.

Of the same London interview cohort, 186 general counsel and heads of legal at companies, over a 24-month window, told Sartori they had used a recruitment agency on a staff-attorney seat in the same year they retained executive search for the chief legal officer. Ninety-four of those 186 said the retained letter was signed after an agency had already sent curricula vitae — the post-2016 pattern in operating form. Two hundred eleven respondents holding a head of talent or HR-director title, over an 18-month window, had posted an in-house lawyer role with a pay scale; those were California, New York City or EU-facing requisitions, not officer searches. A head of talent at a PE-backed healthcare platform told Sartori they filled three senior attorneys through an agency in six weeks, then spent the better part of two quarters on the deputy general counsel because the first agency slate had no independence architecture and no board-access language. The attorneys were a posting. The deputy was an office.

Sartori’s London in-house mandate telemetry records a 32 percent counter-offer incidence across those closed searches. The company that has already posted the officer, or already run an agency campaign against a sitting general counsel, should expect that number to work against it: the incumbent employer has been warned, and the counter is cheaper than a search. The expensive time is the month before anyone is in process, when the brief still describes a head of legal and the reporting line describes an officer.

Three composites, from the same book, with the companies described by type only. A UK-listed industrial group asked human resources to replace a retiring general counsel through the panel agency; the nomination committee restarted the file as a retained brief once the company-secretary title and Provision 20 were read against the draft job posting. A sponsor-backed healthcare platform filled three senior attorneys on agency terms inside a quarter, then retained search for a deputy general counsel after the agency slate could not speak to a regulator examination. A dual-regulated bank hired a Head of Legal on an ordinary employment contract, correctly, because SUP 10C.7.6R does not require the legal function to be an SMF; six months later the board added the lawyer as an executive director, and the file became an SMF3 process with six-year references that the original agency introduction had never collected. In each case the cheaper intervention was earlier: write the office, then pick the instrument.

Sortable — click a column header to rank. Seat against process owner, default instrument, and the text that actually binds the buyer. Officer rows take retained search; posted rows take an agency or a direct post; supply rows take an employment business.
Seat Who owns the process Default instrument What binds the buyer
Listed-company chair or NED Nomination committee Open advertising and/or external search consultancy UK Corporate Governance Code 2024, Provision 20
Company secretary / senior management Nomination committee Retained search against a written office Code 2024, Provision 17 and footnote 4
Chief legal officer reporting to the CEO Board and chief executive Retained executive search ACC CLO Survey 2025 reporting line; SRA lead-solicitor guidance, 18 November 2024
SMCR Head of Legal, not an SMF HR with the chief executive Ordinary employment contract; search or agency by seniority FCA Handbook SUP 10C.7.6R
GC who is also an executive director Board plus SMCR file Retained / board process (SMF3) FCA Senior Managers Regime; 6-year regulatory references
Lead in-house solicitor Board / chief executive Retained brief plus independence language in the employment contract SRA employer guidance, 18 November 2024
Deputy or associate general counsel General counsel with HR Usually retained; exclusive agency only if the office is already specified Same independence architecture, narrower scope
Staff attorney or legal-ops role Head of legal / HR Recruitment agency or direct posting Pay-scale posting rules where they apply; no Code duty
Contractor or seconded counsel Hiring manager Employment business / temp supply Agency Workers Regulations 2010, regulation 7 (12 weeks)
Government Legal Department lawyer Civil Service Open advertising on the employer's designated channel GLD recruitment page; one client = the government of the day

General counsel questions on search versus agency

When should a company use a legal recruitment agency rather than retained search?

Use it for a posted staff-attorney or legal-ops seat, not for a chief legal officer. Across 750 structured interviews with London in-house lawyers, 186 general counsel and heads of legal over a 24-month window told Sartori they had run an agency fill and a retained officer search in the same year — two products, two owners. A recruitment agency introduces a candidate the company will employ; retained search maps an office the nomination committee and the chief executive have to live with. The retained versus contingency guide covers fee mechanics; this page covers which instrument the seat actually requires.

Does UK law still require a company to sign an engagement letter before a search starts?

No. S.I. 2016/510 omitted regulation 17 of the 2003 Conduct Regulations on 8 May 2016. The Explanatory Note to the made instrument states there is no longer a requirement for employment agencies or employment businesses to obtain agreement to terms with hirers. A written retained brief is still the right commercial document for a confidential chief legal officer search; it is no longer a Conduct-Regulations duty. GOV.UK guidance updated 22 June 2026 confirms that the 1973 Act does not regulate the fees charged to hirers.

Are executive search consultants a different licensed class from recruitment agencies in Great Britain?

No. GOV.UK guidance updated 22 June 2026 still names executive search consultants as employment agencies under the Employment Agencies Act 1973. The Act applies to permanent introductions where the work-seeker is employed by the hirer; an employment business supplies temporary workers on its own payroll. A general counsel buying a permanent chief legal officer is buying an employment-agency introduction either way. The distinction the company is paying for is process, confidentiality and nomination-committee fit, not a separate license.

Must a listed-company chief legal officer search use an external search consultancy?

Provision 20 of the UK Corporate Governance Code 2024 generally requires open advertising and/or an external search consultancy for the chair and non-executive directors. Footnote 4 of that Code, published by the Financial Reporting Council on 22 January 2024, places the company secretary inside senior management, which Provision 17 assigns to the nomination committee. A chief legal officer who sits on the executive committee or holds the secretary title is that office. A staff-attorney requisition is not.

How long does a retained in-house search take for a general counsel?

Four to seven months is the typical timeline on Sartori’s London in-house line. Of 24 closed London in-house searches over three years, 11 were general counsel, chief legal officer or company-secretary seats run as retained search. Three of those 11 stalled in the first sixty days because the nomination committee had not yet written the reporting line. The clock starts when the office is specified, not when the first curriculum vitae arrives.

Does a head of legal in an SMCR firm have to be a Senior Manager?

No. FCA Handbook SUP 10C.7.6R (23 May 2025) lets a firm allocate the legal function to someone who is not an SMF manager. They can be — for example an executive director performing the SMF3 function. An SMF applicant requires regulatory references going back 6 years, and firms must provide a reference within 6 weeks at most, per the FCA Senior Managers Regime page updated 11 September 2026. That is a board process, not an agency fill.

08 What this guide draws on

The statute book, the compensation surveys, and the London in-house program.

Repeal dates and statutory definitions come from legislation.gov.uk and GOV.UK. Officer duties come from the FRC, the FCA, the SRA and the SEC. Pay and department shape come from ACC, Thomson Reuters, CLOC and the Law Society. London in-house telemetry is Sartori's.

Statutes, surveys and the research program

50 references
  1. Sartori & Partners — London Legal Talent Research Programme (750 structured interviews; ~30,000 lawyers mapped; quarterly surveys since 2019; mandate telemetry) sartoriglobal.com ↗
  2. The Conduct of Employment Agencies and Employment Businesses (Amendment) Regulations 2016 (S.I. 2016/510) legislation.gov.uk ↗
  3. The Conduct of Employment Agencies and Employment Businesses Regulations 2003, Regulation 17 (omitted 8.5.2016) legislation.gov.uk ↗
  4. The Conduct of Employment Agencies and Employment Businesses Regulations 2003, Regulation 10 legislation.gov.uk ↗
  5. Employment Agencies Act 1973, section 6 legislation.gov.uk ↗
  6. Employment Agencies Act 1973, section 13 legislation.gov.uk ↗
  7. Overview of the Conduct Regulations 2003 (GOV.UK, updated 22 June 2026) gov.uk ↗
  8. Making a complaint to the Fair Work Agency (FWA) about your recruitment agency (updated 23 June 2026) gov.uk ↗
  9. Agency Workers Regulations 2010, regulation 7 legislation.gov.uk ↗
  10. UK Corporate Governance Code 2024 (FRC) frc.org.uk ↗
  11. FRC Revises UK Corporate Governance Code (22 January 2024) frc.org.uk ↗
  12. FCA Handbook SUP 10C.7 Other overall responsibility function handbook.fca.org.uk ↗
  13. Senior Managers Regime | FCA (updated 11 September 2026) fca.org.uk ↗
  14. Understanding in-house solicitor's professional obligations as an employer (SRA, updated 18 November 2024) sra.org.uk ↗
  15. Dedicated guidance issued to support in-house solicitors (SRA, 18 November 2024) sra.org.uk ↗
  16. In-house solicitors thematic review (SRA, 14 March 2023) consultations.sra.org.uk ↗
  17. SRA | Diversity of in-house solicitors (10 January 2024) sra.org.uk ↗
  18. SRA | Hot topic: Working in-house sra.org.uk ↗
  19. Annual statistics report 2023 | The Law Society (23 January 2025) lawsociety.org.uk ↗
  20. Key points for governing boards, chief executives and senior officers (SRA, 18 November 2024) sra.org.uk ↗
  21. Reporting concerns about wrongdoing when working in-house (SRA, updated 2 June 2026) sra.org.uk ↗
  22. Post Office (Horizon System) Offences Act 2024 legislation.gov.uk ↗
  23. Law Department Compensation Survey 2025 Executive Summary (ACC / Empsight) acc.com ↗
  24. 2025 ACC Chief Legal Officers Survey KEY FINDINGS acc.com ↗
  25. US In-house Counsel Population Statistics (ACC, 2025) acc.com ↗
  26. National Employment Matrix OCC 23-1011 (BLS, 2025–2035) data.bls.gov ↗
  27. Jobs & JDs: Employment for the Class of 2024 Selected Findings (NALP, 2025) nalp.org ↗
  28. 2025 Legal Department Operations Index (Thomson Reuters Institute) thomsonreuters.com ↗
  29. 2025 State of the Corporate Law Department Report (Thomson Reuters Institute, 25 March 2025) thomsonreuters.com ↗
  30. 2026 Report on the State of the US Legal Market (Thomson Reuters Institute / Georgetown Law, 7 January 2026) thomsonreuters.com ↗
  31. CLOC Releases 2026 State of the Industry Report (2 March 2026) cloc.org ↗
  32. 17 CFR 229.402 (Item 402) Executive compensation ecfr.gov ↗
  33. SEC Adopts Rules on Cybersecurity Risk Management, Strategy, Governance, and Incident Disclosure (26 July 2023) sec.gov ↗
  34. 17 CFR 229.106 (Item 106) Cybersecurity ecfr.gov ↗
  35. California Civil Code §1812.501 leginfo.legislature.ca.gov ↗
  36. Civil Code section 1812.502 california.public.law ↗
  37. N.Y. General Business Law Section 191 newyork.public.law ↗
  38. SB-1162 Employment: Salaries and Wages (Chapter 559, 27 September 2022) leginfo.legislature.ca.gov ↗
  39. Salary Transparency in Job Advertisements (NYC CCHR, 12 May 2022) nyc.gov ↗
  40. EU action for equal pay (European Commission) commission.europa.eu ↗
  41. High-level summary of the AI Act (updated 31 August 2026) artificialintelligenceact.eu ↗
  42. Regulation (EU) 2026/1744 (Digital Omnibus on AI) eur-lex.europa.eu ↗
  43. EU AI Omnibus enters into force, amending the AI Act (White & Case, 4 August 2026) whitecase.com ↗
  44. Federal Trade Commission Files to Accede to Vacatur of Non-Compete Clause Rule (5 September 2025) ftc.gov ↗
  45. FORM 8-K (24 February 2026) — US-listed industrial manufacturer sec.gov ↗
  46. CLO and Corporate Secretary offer letter exhibit (10-Q) sec.gov ↗
  47. General Counsel and Secretary Appointment and Leadership Transition (Form 8-K, period 31 August 2026) sec.gov ↗
  48. 17 CFR 249.308 Form 8-K ecfr.gov ↗
  49. Working for GLD — Government Legal Department gov.uk ↗
  50. 1.13 Organization As Client | North Carolina State Bar ncbar.gov ↗

In-force and omission dates are taken from the statute book and GOV.UK. Compensation bands are self-reported ACC/Empsight medians effective 1 March 2025, not company payroll files. CLOC 2026 describes a large-company volunteer panel with median revenues of $13 billion. Form 8-K and offer-letter figures are single-issuer filings, described by employer type; no officer is named. Hirer fee levels are unregulated; this page does not publish a retained-search percentage.

Sartori & Partners runs a continuous research program over its own records: nearly 1.5 million lawyer profiles mapped globally, and quarterly market surveys running since 2019. The London in-house findings on this page — the interview cohort, the closed-search split, counter-offer incidence — sit inside that program. Public sources above are the inputs to the instrument split; they are not a census of general counsel vacancies, and none of them publishes a fee the company should pay.

For general counsel, chief legal officers and heads of HR

Write the office. Then pick the instrument.

We run retained in-house search for companies filling a general counsel, chief legal officer, deputy or specialist seat. If the brief is still a posted attorney role, we will say so — and we will not sell you a nomination-committee process you do not need.