Lawyers and other independent legal professionals

A. Definition of the reporting entity

A lawyer is an autonomous and independent professional that applies scientific and legal techniques in order to reach the effectiveness of fundamental rights and freedoms, to search for solutions concerning conflicts between individuals, between individuals and local administrations and to also contribute to the bettering of justice. They must be registered members of the Official Lawyer’s Association of Andorra (Col·legi Oficial d’Advocats d’Andorra). 

Lawyers and other independent legal professionals are reporting entities where they participate, either by acting on behalf of or for their client, in relation to any financial or real estate transaction, or by assisting in the planning or execution of transactions concerning the:

- Purchase, sale or any other disposition act concerning real estate property or legal entities;

- Management of the monies, securities or other types of assets of the client;

- Opening or management of banking, savings or securities accounts;

- Organization of necessary contributions for the creation, functioning or management of legal entities;

- Creation, functioning or management of trusts legal entities, associations, foundations, or similar structures.

Non-resident natural and legal persons carrying out activities of equal nature as the aforementioned in the Principality of Andorra are also considered to be reporting entities.

In this way, it is important to note that lawyers could be also parties under obligation because they could be considered as a service providers to companies and trusts when they provide the following services to third parties:

  • a) The incorporation of companies or other legal entities;
  • b) acting as, or arranging for another person to act as, a director or secretary/attorney-in-fact/administrator of a company, a partner of a partnership, or a similar position in relation to other legal persons;
  • c) Providing a registered office, business address or accommodation, correspondence or administrative address or other similar services for a company, a partnership or any other legal person or arrangement;
  • d) Acting as, or arranging for another person to act as, a trustee of a trust or performing the equivalent function in other legal arrangements;
  • e) Acting as, or arranging for another person to act as, a nominee shareholder for another person.

For more information:

- Law 48/2014, on 18 December, on lawyer professional activity and Andorran Bar Association and article 3.4 of Law 14/2017.

B. Obligations of the reporting entity

The main obligations attributed to the lawyers and other independent legal professionals in the matter of the prevention of money laundering and terrorist financing are the following: