Where does the transformation of life take place?
The transformation of life takes place in the spiritual realm, in the newness of spirit rather than the oldness of the letter. Believers are delivered from the Law, which was an administration of death, and now serve in newness of spirit. This spiritual transformation is entered by believing the Gospel, not by fleshly legalism.
Les explains that the transformation of life is in the realm of the spiritual. We are delivered from the Law, which was an administration of death, so that we should serve in newness of spirit, not in the oldness of the letter. This whole new frame of thinking is the spiritual realm. How do we get there? Believe the Gospel. Les points back to Galatians 3:3, where having begun in the Spirit by Paul's Gospel through faith plus nothing, we are not to move into a deeper spiritual life by the flesh. The flesh wants legalism and Law, part of the old Adamic nature.
But now we are delivered from the law, that being dead wherein we were held; that we should serve in newness of spirit, and not in the oldness of the letter.