Queensland Consolidated Acts

LEGAL PROFESSION ACT 2007 - SECT 396

396 Limiting payments from fidelity fund to capped amount

(1) This section applies in relation to a claim if, despite measures the law society may take under section 368 or 369 , the law society believes the fidelity fund is likely to become insufficient as mentioned in section 397 (1) if the allowed amount for the claim were to be paid in full.

(2) The law society may limit the payment from the fidelity fund to the capped amount for the claim.

(3) If the law society limits the payment from the fidelity fund for the claim under subsection (2) —

(a) the payment is made in full and final settlement of the claim; and

(b) no proceeding can be brought, by way of appeal, application for review or otherwise, to require the payment of a larger amount, or to require the law society to consider payment of a larger amount, for the claim.

(4) As soon as practicable after limiting the payment under subsection (2) , the law society must give written notice to the Minister about the limitation.

(5) In this section—

"allowed amount" , for a claim, means the amount payable in relation to the claim as decided by the law society under division 5 or, if the law society’s decision is reviewed by QCAT, the amount payable in relation to the claim as decided by QCAT.

"capped amount" , for a claim, means the amount prescribed by regulation as the capped amount for the claim.