Queensland Consolidated Acts

LEGAL PROFESSION ACT 2007 - SECT 373

373 Defaults relating to financial services or investments

(1) This part does not apply to a default of a law practice to the extent that the default happens in relation to money or property that is entrusted to or held by the practice for or in connection with—

(a) a financial service provided by the practice, or an associate of the practice, in circumstances where the practice or associate—

(i) is required to hold an Australian financial services licence covering the provision of the service, whether or not an Australian financial services licence is held at any relevant time; or

(ii) provides the service as a representative of another person who carries on a financial services business, whether or not the practice or associate is an authorised representative at any relevant time; or

(b) a managed investment scheme, or mortgage financing, undertaken by the practice.

(2) Without limiting subsection (1) , this part does not apply to a default of a law practice if the default happens in relation to money or property that was entrusted to or held by the practice for an investment purpose, whether or not on its own account or as agent, unless—

(a) the money or property was entrusted to or held by the practice—

(i) in the ordinary course of legal practice; and

(ii) primarily in connection with the provision of legal services to or at the direction of the client; and

(b) the investment is or is to be made—

(i) in the ordinary course of legal practice; and

(ii) for the ancillary purpose of keeping or enhancing the value of the money or property pending completion of the matter or further stages of the matter or pending payment or delivery of the money or property to or at the direction of the client.