Test 2: Law office practice

the lawyers fidelity fund provides compensation to people who suffer theft of any money or property entrusted to lawyers or incorporated law firms while providing legal services or acting as solicitor-trustee.

the lawyers fidelity fund is held in trust by the soceity and is funded by lawyers in practice on own account, with the exception of those who elect not to receive money or other valuable property in trust

the maximum amount which can be paid to an individual claimant is $100,000 (regulation 11, Lawyers and Conveyancers Act (Lawyers: Fidelity Fund) Regulations 2008) the fund may not be used to compensate anyone for money lost which a lawyer or law firm has been instructed to invest section 322, LCA. the fund applies for all claims relating to theft by lawyers or law firms from 1 August 2008 (regulation 2, Lawyers and Conveyancers Act (Lawyers: Fidelity Fund) Regulations 2008)

Lawyers: Fidelity Fund Regulations 2008- Regulation 6-Maintenance and management of fidelity fund(1) the law soceity must take appropriate steps to maintain and manage the Fidelity Fund(2) the law soceity must prepare, in respect of each financial year, an annual budget for the Fidelity Fund