LEGAL PROFESSION ACT 2007 - SECT 255 Trust money received in the form of cash

LEGAL PROFESSION ACT 2007 - SECT 255

255 Trust money received in the form of cash

(1) A law practice must deposit general trust money received in the form of cash in a general trust account of the practice.

Penalty—

Maximum penalty—100 penalty units.

(2) If the law practice has a written direction by an appropriate person to deal with general trust money received in the form of cash otherwise than by first depositing it in a general trust account of the practice—

(a) the money must nevertheless be deposited in a general trust account of the practice under subsection (1) ; and

(b) after it is deposited in the general trust account, the money is to be dealt with under the applicable terms of the direction so far as those terms are not inconsistent with paragraph (a) .

(3) Controlled money received in the form of cash must be deposited in a controlled money account under section 251 .

(4) A law practice must deposit transit money received in the form of cash in a general trust account of the practice before the money is otherwise dealt with under the instructions relating to the money.

Penalty—

Maximum penalty—100 penalty units.

(5) A law practice must deposit trust money that is received in the form of cash and is the subject of a power in a general trust account, or a controlled money account in the case of controlled money, of the practice before the money is otherwise dealt with under the power.

Penalty—

Maximum penalty—100 penalty units.

(6) This section has effect despite anything to the contrary in any relevant direction, instruction or power.

(7) In this section—


"appropriate person" , in relation to trust money, means a person who is legally entitled to give the law practice concerned directions in relation to dealings with the money.


"general trust money" means trust money, other than—

(a) controlled money; and

(b) transit money; and

(c) money that is the subject of a power.