ETHICS

Question 1

Ethical Decision making framework

Answer 1

1. Assess the situation – consider the relevant facts – what are the possible outcomes
2. Consider your values/values to the profession
3. Consider your character factors – what kind of lawyer do you want to be?
4. Comprehensive overview of above
5. Decision

Question 2

ASCR Rule 3

Answer 2

Paramount duty to the court and the administration of justice

Question 3

ASCR Rule 4

Answer 3

• 4.1.1 act in the best interests of a client in any matter in which the solicitor represents the client,
• 4.1.2 be honest and courteous in all dealings in the course of legal practice,
• 4.1.3 deliver legal services competently, diligently and as promptly as reasonably possible,
• 4.1.4 avoid any compromise to their integrity and professional independence, and
• 4.1.5 comply with these Rules and the law

Question 4

Rule 5

Answer 4

A solicitor must not engage in conduct, in the course of legal practice or otherwise, which
o 5.1.1 demonstrates that the solicitor is not a fit and proper person to practise law, or
o 5.1.2 is likely to a material degree to —
(i) be prejudicial to, or diminish the public confidence in, the administration of justice, or
(ii) bring the profession into disrepute.

Question 5

Rule 8

Answer 5

Client instructions
8.1 A solicitor must follow a client’s lawful, proper and competent
instructions.

Question 6

ASCR Rule 34.1

Answer 6

34.1 A solicitor must not in any action or communication associated with representing a client —
34.1.1 make any statement to another person —
(i) which grossly exceeds the legitimate assertion of the rights or entitlements of the solicitor’s client, and
(ii) which misleads or intimidates the other person,
34.1.2 threaten the institution of a criminal or disciplinary complaint against the other person if a civil liability to the solicitor’s client is not satisfied, or
34.1.3 use tactics that go beyond legitimate advocacy and which are primarily designed to embarrass or frustrate another person.

Question 7

ASCR Rule 34.2

Answer 7

34.2 In the conduct or promotion of a solicitor’s practice, the solicitor must not seek instructions for the provision of legal services in a manner likely to oppress or harass a person who, by reason of some recent trauma or injury, or other circumstances, is, or might reasonably be expected to be, at a significant disadvantage in dealing with the solicitor at the time when the instructions are sought.

Question 8

LPUL 466 - requirements covered

Answer 8

Rules under(a) section 154 to give written notice of an irregularity in connection with a trust account, a trust ledger account or trust money; or
(b) section 348 to give access to documents or information; or
(c) section 370 to produce documents or provide information; or
(d) section 371 to produce documents, provide information or otherwise assist in, or cooperate with, an investigation; or
(e) section 375(1)(j) to do a specified thing; or
(f) Part 7.4 to produce documents, provide information or do anything else under that Part.

Question 9

LPUL Section 466 - not excused from complying

Answer 9

(2) (a) the ground of legal professional privilege or any other duty of confidence; or
(b) the ground that a legal practitioner has a lien over a particular document
(3) the ground that it may tend to incriminate the person
(6). failure to comply is capable of constituting unsatisfactory professional conduct or professional misconduct.
(7) A local regulatory authority may recommend to the designated local regulatory authority that an Australian practising certificate or an Australian registration certificate be suspended while a failure by the holder to comply with the requirement continues.

Question 10

ASCR Rule 9.1

Answer 10

• 9.1 A solicitor must not disclose any information which is confidential to a client and acquired by the solicitor during the client’s engagement to any person who is not —
  9.1.1 a solicitor who is a partner, principal, director, or employee of the solicitor’s law practice, or
  9.1.2 a barrister or an employee of, or person otherwise engaged by, the solicitor’s law practice or by an associated entity for the purposes of delivering or administering legal services in relation to the client,
  EXCEPT as permitted in Rule 9.2.

Question 11

ASCR Rule 9.2

Answer 11

When confidentiality can be breached:
- 9.2.1 the client expressly or impliedly authorises disclosure,
- 9.2.2 the solicitor is permitted or is compelled by law to disclose,
- 9.2.3 the solicitor discloses the information in a confidential setting, for the sole purpose of obtaining advice in connection with the solicitor’s legal or ethical obligations,
- 9.2.4 the solicitor discloses the information for the sole purpose of avoiding the probable commission of a serious criminal offence,
- 9.2.5 the solicitor discloses the information for the purpose of preventing imminent serious physical harm to the client or to another person, or
- 9.2.6 the information is disclosed to the insurer of the solicitor, law practice or associated entity.

Question 12

A v Hayden (No 2) [1984] HCA 67, 156 CLR 532

Answer 12

“The Commonwealth owes an individual obligation of confidentiality to each plaintiff with whom it has contracted. The case of each party must therefore be examined separately.”

Question 13

New South Wales Bar Association v Cummins (2001) 52 NSWLR 279

Answer 13

The professional Paradigm
o 20 There are four interrelated interests involved.
1. Clients must feel secure in confiding their secrets and entrusting their most personal affairs to lawyers.
2. Fellow practitioners must be able to depend implicitly on the word and the behaviour of their colleagues.
3. The judiciary must have confidence in those who appear before the courts.
4. The public must have confidence in the legal profession by reason of the central role the profession plays in the administration of justice.
Many aspects of the administration of justice depend on the trust by the judiciary and/or the public in the performance of professional obligations by professional people.

Question 14

Legal Practitioners Complaints Committee v Pepe [2009] WASC 39

Answer 14

Murray and Beech JJ stated: 37 Legal practice is not only a great privilege, but if the profession of the law is to maintain its capacity to serve the community in the way described, its practitioners must accept that they are subject to rigorous ethical standards. They must merit the trust and confidence in their propriety, of their clients, other legal practitioners, the courts and the community as a whole.

Question 15

ASCR Rule 6

Answer 15

• 6.1 A solicitor who has given an undertaking in the course of legal practice must honour that undertaking and ensure the timely and effective performance of the undertaking, unless released by the recipient or by a court of competent jurisdiction.
• 6.2 A solicitor must not seek from another solicitor, or that solicitor’s employee, associate, or agent, undertakings in respect of a matter, that would require the co-operation of a third party who is not party to the undertaking.

Question 16

Vincent Cofini [1994] NSWLST 25 [6]

Answer 16

• The undertakings are personal to the legal practitioner and bind that practitioner, not as a matter of contract but as a matter of professional conduct and comity, and will be enforced by the Courts because legal practitioners are officers of the Court and because without enforcement undertakings would be worthless, persons and Courts would be unable to rely on the word of a legal practitioner and this aspect of legal practice, that demands compliance for legal efficacy, would collapse.

Question 17

Legal Profession Complaints Committee v Detata [2012] WASCA 214

Answer 17

• professional misconduct for breach of his undertaking to another lawyer.
• The lawyer had arranged for the deposit of certain money into his practice’s trust account. He gave an undertaking not to release any of that money from the trust account
• Not necessary to show dishonesty in not following – the not following is enough

Question 18

interpreting undertakings

Answer 18

• Undertakings are construed strictly against lawyers giving them, and any ambiguity may be decided in favour of the person seeking its performance.
• Not necessary to show dishonesty in not following – the not following is enough (Legal Profession Complaints Committee and Detata [2011] WASAT 91)

Question 19

Undertaking on behalf of client

Answer 19

• practical and ethical problems arise where undertakings are intended to be given by a lawyer on a client’s behalf and the client does not honour the undertaking.
• The undertaking might be interpreted as an undertaking given by the lawyer personally.
• Even the use of the words “on behalf of my client” may not be sufficient to ensure that the lawyer is not personally liable.
• In giving the undertaking, the lawyer should set out in writing that:
  o the undertaking is that of the client;
  o it is given on the client’s behalf; and
  o in giving the undertaking on the client’s behalf, the lawyer is not to be considered personally bound by the undertaking.
• a lawyer should not give a personal undertaking unless the matter is within the lawyer’s personal knowledge and is something within the lawyer’s power to carry out.
• An undertaking on a client’s behalf will only be enforceable against the client and not the lawyer if the lawyer had express instructions to give it

Question 20

Rule 32

Answer 20

Unfounded Allegations
A solicitor must not make an allegation against another Australian legal practitioner of unsatisfactory professional conduct or professional misconduct unless the allegation is made bona fide and the solicitor believes on reasonable grounds that available material by which the allegation could be supported provides a proper basis for it.

Question 21

Rule 43.1

Answer 21

DEALING WITH THE REGULATORY AUTHORITY
Subject only to his or her duty to the client, a solicitor must be timely, open and frank in his or her dealings with a regulatory authority.

Question 22

Legal Profession Complaints Committee and in de Braekt (2012) 80 SR (WA) 194

Answer 22

o Professional misconduct for communication w/ WAPOL
o 139 However, the sending by Ms in de Braekt, in the course of her legal practice, of a series of six emails which were grossly offensive and discourteous in their tone and content, to a police officer, over a period of about two weeks, constituted professional misconduct in that it was conduct that would be reasonably regarded as disgraceful or dishonourable by practitioners of good repute and competence, which compromises the maintenance of the relationship between legal practitioners and the police, to the detriment of not just the good standing of the legal profession, but also the proper functioning of the criminal justice system.

Question 23

Rules relating to courteous communications

Answer 23

• 4.1.2 - be honest and courteous in all dealings in the course of legal practice
• 42.1 - completely frank and open with the regulatory authority
• 7.1 - communicate clearly with the client
• 19.1 - to not knowingly or recklessly mislead a court
• 22.1 - Discourtesy may amount to unsatisfactory professional conduct or professional misconduct under the LPUL

Question 24

Reporting obligations for other lawyers conduct

Answer 24

• Section 154 of the LPUL imposes two reporting obligations that arise where a lawyer becomes aware of an irregularity relating to trust money
  o As soon as practicable after a legal practitioner associate of a law practice becomes aware that there is an irregularity in the practice’s trust accounts or trust ledger accounts, the associate must give to the Board written notice of the irregularity (154(1))
  o Where an Australian legal practitioner believes there is an irregularity in connection with the receipt, recording or disbursement of trust money received by a law practice of which the practitioner is not a legal practitioner associate, they must, as soon as practicable after forming the belief, give written notice of it to the Board (154(2))
• There is no specific provision in the ASCR mandating reporting of other lawyer misbehaviour

Question 25

Information barrier guidelines steps

Answer 25

1. Consult Protocols - the firm should have a pre-existing protocol that would outline how to comply with the below steps. 2. Identify a Compliance Officer 3. Inform Clients 4. Identify Screened & Authorised Persons 5. Undertakings- All screened and authorised persons to provide an undertaking asserting to comply with their obligations under the information barrier. 6. Restrict Contact & Access - Contact between authorised and screened persons should be limited. Authorised persons should only discuss the matter amongst themselves and restrict file access to themselves. 7. Enter Retainer. 8. Ongoing education & supervision

Question 26

Rule 10

Answer 26

10.1 A solicitor and law practice must avoid conflicts between the duties owed to current and former clients. 10.2 A solicitor or law practice who or which is in possession of information which is confidential to a former client where that information might reasonably be concluded to be material to the matter of another client and detrimental to the interests of the former client if disclosed, must not act for the current client in that matter UNLESS — 10.2.1 the former client has given informed consent to the disclosure and use of that information, or 10.2.2 an effective information barrier has been established.

Question 27

Rule 27

Answer 27

Solicitor as material witness in client’s case - 27.1 In a case in which it is known, or becomes apparent, that a solicitor will be required to give evidence material to the determination of contested issues before the court, the solicitor may not appear as advocate for the client in the hearing. - 27.2 In a case in which it is known, or becomes apparent, that a solicitor will be required to give evidence material to the determination of contested issues before the court the solicitor, an associate of the solicitor or a law practice of which the solicitor is a member must not continue to act for the client if doing so would prejudice the administration of justice.

Question 28

grant v downs (1976) 135 CLR 674

Answer 28

promotes the public interest because it assists and enhances the administration of justice by facilitating the representation of clients by legal advisers … This it does by keeping secret their communications, thereby inducing the client to retain the solicitor and seek his advice, and encouraging the client to make a full and frank disclosure of the relevant circumstances to the solicitor.

Question 29

Legal professional privilege test

Answer 29

- Esso Australia Resources Ltd v Federal Commissioner of Taxation (1999) 201 CLR 49 o legal professional privilege attaches to any confidential communication made for the dominant purpose of giving or receiving advice or for use in existing or anticipated litigation – the dominant purpose test - It is important to note the following: o The current test is the dominant purpose test. o The privilege is not confined to judicial or quasi-judicial proceedings but extends, in the absence of some legislative restriction, to all forms of compulsory disclosure of evidence consisting of communications between the lawyer and client, including such disclosure in administrative proceedings. o The privilege is subject to legislative exceptions, for example, the Evidence Act 1995 (Cth) sets up its own scheme with its own exceptions: see ss 121–126. - The intention of Parliament to abrogate privilege must be “unmistakably clear”: Yuill v Commissioner for Corporate Affairs (NSW) (1990) 20 NSWLR 386

Question 30

Rule 31

Answer 30

o 31.1 Unless otherwise permitted or compelled by law, a solicitor to whom material known or reasonably suspected to be confidential is disclosed by another solicitor, or by some other person and who is aware that the disclosure was inadvertent must not use the material and must — 31.1.1 return, destroy or delete the material (as appropriate) immediately upon becoming aware that disclosure was inadvertent, and 31.1.2 notify the other solicitor or the other person of the disclosure and the steps taken to prevent inappropriate misuse of the material. o 31.2 A solicitor who reads part or all of the confidential material before becoming aware of its confidential status must — 31.2.1 not disclose or use the material, unless otherwise permitted or compelled by law, 31.2.2 notify the opposing solicitor or the other person immediately, and 31.2.3 not read any more of the material. 31.3 If a solicitor is instructed by a client to read confidential material received in error, the solicitor must refuse to do so

Question 31

Armstrong Strategic Management and Marketing Pty Ltd v Expense Reduction Analysts Group Pty Ltd (2012) 295 ALR 348

Answer 31

o The appropriate test in this case was to ask whether “a reasonable solicitor in the position of [the appellant] should have realised that the documents had been disclosed by mistake”: [166]

Question 32

Mallesons Stephen Jaques v KPMG Peat Marwick (1990) 4 WAR 357.

Answer 32

If, by a solicitor acting for a new client, there is a real and sensible possibility that his interest in advancing the case of the new client might conflict with his duty to keep information given to him by the former client confidential, or to refrain from using that information to the detriment of the former client, then an injunction will lie.

Question 33

Newman v Phillips

Answer 33

The 'real risk of disclosure' test is common law rule concerning conflicts of interest involving confidential information o A former client should not be exposed to any avoidable risk, no matter how slight, from any confidential information shared during a previous fiduciary relationship that could be disclosed or used to their disadvantage.

Question 34

- Bolkiah v KPMG

Answer 34

Former Client Conflicts/Fiduciary Obligations o Courts may restrain a law firm if representing a new client creates a conflict of duties owed to a former client, even with information barriers in place, typically when;  The matter involves confidential information that is directly relevant to the new case.  The lawyer or firm has acted in a manner that undermines the former client's trust.

Question 35

Kallinicos v Hunt

Answer 35

Duty of Loyalty o Courts may prevent a law firm from acting against a former or current client based on the duty of loyalty. This duty extends beyond confidentiality, encompassing broader expectations that a lawyer or firm will act in the client’s best interests and avoid harmful actions. o If the law firm’s involvement gives the appearance of disloyalty, courts may intervene to maintain public confidence in the legal profession.

Question 36

Carindale Country Club Estate Pty Ltd v Astill

Answer 36

Perceived Injustice/Public Confidence o Public confidence in the administration of justice and the legal profession's integrity can outweigh the practical measures taken by a firm. Courts may intervene to avoid the appearance of unfairness, in considering;  The nature of the relationship between the firm and the former client (e.g., long-term or highly personal).  The sensitivity or significance of the matter.  The reasonable perception of the former client or public regarding the firm’s conduct.

Question 37

Pott v Jones Mitchell Lawyers

Answer 37

Insufficient Evidence o A firm’s ability to demonstrate the effectiveness of information barriers is crucial, but even comprehensive evidence may not suffice if the risk of inadvertent disclosure or breach is deemed too high. Courts are cautious about the potential for human error or deliberate circumvention

Question 38

Rule 12

Answer 38

Conflict concerning a lawyer’s own interests - 12.1 A solicitor must not act for a client where there is a conflict between the duty to serve the best interests of a client and the interests of the solicitor or an associate of the solicitor, except as permitted by this Rule. 12.2 A solicitor must not do anything — (i) calculated to dispose a client or third party to confer on the solicitor, either directly or indirectly, any benefit in excess of the solicitor’s fair and reasonable remuneration for legal services provided to the client, or (ii) that the solicitor knows, or ought reasonably to anticipate, is likely to induce the client or third party to confer such a benefit and is not reasonably incidental to the performance of the retainer.

Question 39

Rule 12.3

Answer 39

2.3 A solicitor must not borrow any money, nor assist an associate to borrow money, from — 12.3.1 a client of the solicitor or of the solicitor’s law practice, or 12.3.2 a former client of the solicitor or of the solicitor’s law practice who has indicated a continuing reliance upon the advice of the solicitor or of the solicitor’s law practice in relation to the investment of money UNLESS

Question 40

RULE 12.4

Answer 40

Rule 12.4 contains various “exceptions” to r 12. Rule 12 is not breached merely by: * drawing a will where the solicitor is appointed executor, provided certain information is given to the client: r 12.4.1; * drawing a will or other instrument under which the solicitor receives a substantial benefit, where the client is a member of the solicitor’s immediate family, a member of the immediate family of the solicitor’s spouse or a solicitor or member of the immediate family of a solicitor who is the solicitor’s partner, employer or employee: r 12.4.2 receiving a substantial benefit from a third party where the solicitor represents a client, or from another service provider a client has been referred to, provided certain advice is provided to the client and the client has given informed consent to the solicitor receiving the commission or benefit: r 12.4.3; or * acting for a client where a financial benefit may be paid to a third party for referring the client, provided the solicitor has first disclosed the benefit: r 12.4.4

Question 41

DISCHARGING FIDUCIARY DUTY

Answer 41

What is required for the client to be “fully informed”. This will depend on the matter in question, the nature of the client (for example, whether the client is a sophisticated or non-sophisticated user of legal services) and the nature of the relationship between the client and the lawyer. To ensure that the client is fully informed, it is prudent to take the following steps: * send the client a letter informing them of the nature of the conflict and how it may affect them; * request that the client acknowledge receipt of the letter in writing; and * request that the client sign an acknowledgment that they have received independent written legal advice about the effect of the conflict.

Question 42

SECTION 148

Answer 42

148 Deficiency in trust account A law practice, an Australian legal practitioner or any other person must not, without reasonable excuse, cause— (a) a deficiency in any trust account or trust ledger account; or (b) a failure to pay or deliver any trust money. Penalty: 500 penalty units or imprisonment for 5 years, or both.

Question 43

SECTION 138

Answer 43

138 Holding, disbursing and accounting for trust money in general trust account (1) Except as otherwise provided in this Part, a law practice must— (a) hold trust money deposited in the law practice’s general trust account exclusively for the person on whose behalf it is received; and (b) disburse the trust money only in accordance with a direction given by the person. Civil penalty: 50 penalty units. (2) Subsection (1) applies subject to an order of a court of competent jurisdiction or as authorised by law. (3) The law practice must account for the trust money as required by the Uniform Rules. Civil penalty: 50 penalty units.

Question 44

LPUL s 154

Answer 44

154 Reporting irregularities and suspected irregularities (1) As soon as practicable after— (a) a legal practitioner associate of a law practice; or (b) an ADI; or (c) an external examiner; or (d) another entity of a kind specified in the Uniform Rules for the purposes of this section— becomes aware that there is an irregularity in any of the law practice’s trust accounts or trust ledger accounts, the associate, ADI, examiner or entity must give written notice of the irregularity to the designated local regulatory authority. Civil penalty: for a corporation—250 penalty units; for an individual—50 penalty units (2) If an Australian legal practitioner believes on reasonable grounds that there is an irregularity in connection with the receipt, recording or disbursement of any trust money received by a law practice of which the practitioner is not a legal practitioner associate, the practitioner must, as soon as practicable after forming the belief, give written notice of it to the designated local regulatory authority. Civil penalty: 50 penalty units

Question 45

TRANSIT MONEY

Answer 45

transit money means money received by a law practice subject to instructions to pay or deliver it to a third party, other than an associate of the law practice;

Question 46

LPUL S 129

Answer 46

129 Meaning of trust money (1) For the purposes of this Law, trust money is money entrusted to a law practice in the course of or in connection with the provision of legal services by the law practice, and includes— (a) money received by the law practice on account of legal costs in advance of providing the services; and (b) controlled money received by the law practice; and (c) transit money received by the law practice; and (d) money received by the law practice, that is the subject of a power exercisable by the law practice or an associate of the law practice, to deal with the money for or on behalf of another person.

Question 47

LPUL S 140

Answer 47

140 Transit money (1) A law practice that has received transit money must pay or deliver the money as required by the instructions relating to the money within the period (if any) specified in the instructions, or else as soon as practicable after it is received. Civil penalty: 50 penalty units. (2) A law practice must, in respect of transit money received by the law practice, record and keep brief particulars sufficient to identify the relevant transaction and any purpose for which the money was received. Civil penalty: 50 penalty units. (3) A law practice must keep the particulars mentioned in subsection (2) for 7 years. Civil penalty: 50 penalty units.

Question 48

CONTROLLED MONEY MEANING

Answer 48

controlled money means money received or held by a law practice in respect of which the law practice has a written direction to deposit the money in an account (other than a general trust account) over which the law practice has or will have exclusive control;

Question 49

LPUL S 139

Answer 49

(1) As soon as practicable after receiving controlled money, a law practice must deposit the money in the account specified in the written direction relating to the money. Civil penalty: 50 penalty units. (2) The law practice must hold controlled money deposited in a controlled money account in accordance with subsection (1) exclusively for the person on whose behalf it was received. Civil penalty: 50 penalty units. (3) Subject to a court order or as authorised by law, the law practice that holds money deposited in a controlled money account must not disburse the money except in accordance with— (a) the written direction relating to the money; or (b) a later written direction given by or on behalf of the person on whose behalf the money was received. Civil penalty: 50 penalty units.

Question 50

LPUL S 142

Answer 50

142 Trust money subject to a written direction (1) A law practice that receives a written direction to deal with trust money (other than cash) in a particular way must comply with that direction within the period specified in the direction, or otherwise, as soon as practicable after it is received. Civil penalty: 50 penalty units. (2) The law practice must keep the written direction for 7 years after the matter has been finalised. Civil penalty: 50 penalty units.

Question 51

DEALING WITH CASH

Answer 51

143 Trust money received in the form of cash (1) A law practice must deposit all trust money received in the form of cash (other than controlled money) in the law practice’s general trust account as soon as practicable after receiving the money, even if it has a written direction to deal with it in some other way. Once deposited, the money may be dealt with in accordance with the written direction. Civil penalty: 50 penalty units. (2) A law practice must deposit controlled money received in the form of cash in a controlled money account and deal with it in accordance with the Uniform Rules. Civil penalty: 50 penalty units.

Question 52

WITHDRAWAL OF TRUST MONEY

Answer 52

(1) A law practice must not withdraw trust money from a general trust account otherwise than by cheque or electronic funds transfer. Civil penalty: 50 penalty units. (2) A law practice may do any of the following, in relation to trust money held in the practice’s general trust account or controlled money account— (a) exercise a lien, including a general retaining lien, for the amount of legal costs reasonably due and owing by the person to the law practice, where the law practice is otherwise entitled to do so; (b) withdraw money for payment to the law practice’s account for legal costs owing to the practice if the relevant procedures or requirements specified in the Uniform Rules for the purposes of this Division are complied with; (c) deal with the balance as unclaimed money, after— (i) deducting any legal costs properly owing to the practice; and (ii) exhausting any other means of distributing it in accordance with the client’s instructions.

Question 53

Professional Misconduct

Answer 53

S 297 (1) For the purposes of this Law, professional misconduct includes— (a) unsatisfactory professional conduct of a lawyer, where the conduct involves a substantial or consistent failure to reach or maintain a reasonable standard of competence and diligence; and (b) conduct of a lawyer whether occurring in connection with the practice of law or occurring otherwise than in connection with the practice of law that would, if established, justify a finding that the lawyer is not a fit and proper person to engage in legal practice. (2) For the purpose of deciding whether a lawyer is or is not a fit and proper person to engage in legal practice as referred to in subsection (1)(b), regard may be had to the matters that would be considered if the lawyer were an applicant for admission to the Australian legal profession or for the grant or renewal of an Australian practising certificate and any other relevant matters.

Question 54

UNSATISFACTORY PROFESSIONAL CONDUCT

Answer 54

296 Unsatisfactory professional conduct For the purposes of this Law, unsatisfactory professional conduct includes conduct of a lawyer occurring in connection with the practice of law that falls short of the standard of competence and diligence that a member of the public is entitled to expect of a reasonably competent lawyer.

Question 55

POWER MONEY

Answer 55

LPUL General Rules 55. Trust money subject to specific powers (1) This rule has effect for the purposes of section 141 of the Uniform Law. (2) If a law practice or an associate of the practice is given a power to deal with trust money for or on behalf of another person, the law practice must keep — (a) a record of all dealings with the money to which the law practice or associate is a party, and (b) all supporting information in relation to the dealings, in a manner that enables the dealings to be clearly understood.