Rethinking Legal Licensure and Drawing Lessons from Accounting’s Evolution

Over the last decade, the proliferation of occupational licenses has sparked widespread debate, raising questions about the effectiveness and necessity of licensure across various professions, according to an article by the Harvard Law School.

Traditionally, licensure was important in setting enforceable standards, protecting consumers, and fostering professional expertise. However, critics, echoing the sentiments of economists like Milton Friedman, argue that licensing can stifle innovation, hamper competition, and perpetuate economic inequality.

Within the legal profession, scholars such as Deborah Jones Merritt, Andrea Anne Curcio, and Eileen Kaufman have explored the dynamics of licensure reform, scrutinized the licensure process, and questioned the efficacy of exams and schooling in ensuring minimum competence among lawyers.

The legal profession’s contemplation of licensure reforms coincides with the accounting profession’s struggle with a shortage of CPAs. The focus on the 150-hour rule in accounting, implemented in Florida in 1983, becomes a poignant example for the legal profession. While aimed at enhancing CPA competence, critics argue that the additional 30 hours lack uniformity, prompting questions about their necessity and content.

There are many insights for legal to glean from the accounting industry’s experience and the relationship between education, exam preparedness, and practice-ready skills. It challenges the attachment to standardized hour requirements and explores the roles of state boards, national governing bodies, and professional governance practices in shaping licensure. 

As the legal field grapples with the need for reform, the lessons from the accounting profession offer a valuable lens to navigate the complexities and opportunities associated with reshaping licensure practices. By delving into these debates, the legal profession can strive to build a more responsive and effective framework for professional licensing.