LEGAL PROFESSION REGULATION 2007 - REG 62 Withdrawing trust money for legal costs—Act, s 229 (1) (b)

LEGAL PROFESSION REGULATION 2007 - REG 62

    (1)     This section prescribes, for the href="http://www.legislation.act.gov.au/a/2006-25/default.asp" title="Legal Profession Act 2006">Act

, section 229 (1) (b) the procedure for the withdrawal of trust money held in a general trust account or controlled money account of a law practice for payment of legal costs owing to the practice by the person for whom the trust money was paid into the account.

    (2)     The trust money may be withdrawn as set out in subsection (3) or (4).

    (3)     The law practice may withdraw the trust money—

        (a)     if—

              (i)     the money is withdrawn in accordance with a costs agreement that complies with the legislation under which it is made and that authorises the withdrawal; or

              (ii)     the money is withdrawn in accordance with instructions that have been received by the practice and that authorise the withdrawal; or

              (iii)     the money is owed to the practice by way of reimbursement of money already paid by the practice on behalf of the person; and

        (b)     if, before effecting the withdrawal, the practice gives or sends to the person—

              (i)     a request for payment, referring to the proposed withdrawal; or

              (ii)     written notice of the proposed withdrawal and when it will occur.

    (4)     The law practice may withdraw the trust money—

        (a)     if the practice has given the person a bill relating to the money; and

        (b)     if—

              (i)     the person has not objected to withdrawal of the money not later than 7 days after being given the bill; or

              (ii)     the person has objected not later than 7 days after being given the bill but has not applied for a review of the legal costs under the href="http://www.legislation.act.gov.au/a/2006-25/default.asp" title="Legal Profession Act 2006">Act

not later than 60 days after being given the bill; or

              (iii)     the money otherwise becomes legally payable.

    (5)     Instructions mentioned in subsection (3) (a) (ii)—

        (a)     if given in writing—must be kept as a permanent record; or

        (b)     if not given in writing—either before, or not later than 5 working days after, the law practice effects the withdrawal, must be confirmed in writing and a copy kept as a permanent record.

    (6)     For subsection (3) (a) (iii), money is taken to have been paid by the law practice on behalf of someone if the relevant account of the practice has been debited.