Lawyers Strike Demanding Changes to Draft Legislation

Members of the Armenian Bar Association are on strike, demanding that the National Assembly remove controversial legal provisions affecting lawyers from the draft law. They argue that these provisions would significantly increase the cost of legal services, leading to higher prices for clients.

As part of the strike, they have refused to provide legal defense in state bodies, including courts and preliminary investigation agencies. According to the proposed changes currently discussed by the National Assembly, starting October 2024, lawyers would pay a 10% turnover tax instead of 5%, and from 2025, would switch to a VAT of 20%.

During a press conference today, Bar Association President Simon Babayan reminded attendees that the draft changes had been introduced back in 2019 but were subsequently removed from the agenda. Now, for unclear reasons, they are being revived. He noted that they became aware of the draft through the e-draft system and started submitting opinions to the National Assembly, the government, international bodies, and the human rights defender.

Babayan pointed out that both the Human Rights Defender and the Ministry of Justice had expressed negative opinions about the draft, and discussions occurred in the National Assembly indicating that there are still problematic issues. “We were surprised that, despite all this, the government endorsed the proposal, and it is currently being discussed in the National Assembly in its first reading. This is concerning and unacceptable for us,” he stated.

He outlined the issues that would arise if the bill is passed, including the elimination of free legal aid, which would also be subject to taxation. The cost of services would increase by 38% or more. This would likely result in a significant rise in the number of people seeking assistance from the Public Defender’s office, thus increasing the financial burden on the state. Access to legal assistance for citizens and the ability to exercise the right to judicial protection would substantially decrease.

“Armenian citizens will have to pay more for legal assistance. We have approximately 250,000 cases in courts, meaning this issue affects at least 250,000 citizens,” Babayan added. Regarding lawyers, the proposed changes would force them to undergo complicated tax registration procedures and schemes, creating additional headaches for them.