Queensland Consolidated Acts

LEGAL PROFESSION ACT 2007 - SECT 514

514 Effect of service of notice of appointment

(1) After a law practice is given a notice of appointment of a receiver for the practice and until the appointment is terminated, a legal practitioner associate of the practice who is stated or mentioned in the notice must not participate in the affairs of the practice.

Penalty—

Maximum penalty—100 penalty units.

(2) After an ADI is given a notice of appointment of the receiver for the law practice and until the appointment is terminated, the ADI must ensure that no funds are withdrawn or transferred from a trust account of the practice unless the withdrawal or transfer is made—

(a) by cheque or other instrument drawn on that account and signed by—

(i) the receiver; or

(ii) a manager for the practice; or

(iii) a nominee of the receiver or manager; or

(b) by means of electronic or internet banking facilities by—

(i) the receiver; or

(ii) a manager for the practice; or

(iii) a nominee of the receiver or manager; or

(c) under an authority to withdraw or transfer funds from the account signed by—

(i) the receiver; or

(ii) a manager for the practice; or

(iii) a nominee of the receiver or manager.

(3) After a person, other than an ADI or a receiver or manager for the practice, is given a notice of appointment of the receiver for the law practice and until the appointment is terminated, the person must not—

(a) deal with any of the practice’s trust money; or

(b) sign any cheque or other instrument drawn on a trust account of the practice; or

(c) authorise the withdrawal or transfer of funds from a trust account of the practice.

Penalty—

Maximum penalty—100 penalty units.

(4) If approved by the law society, the receiver may, for subsection (2) (b) , enter into arrangements with an ADI for withdrawing money from a trust account of the law practice by means of electronic or internet banking facilities.

(5) If an amount is withdrawn or transferred in contravention of subsection (2) , that amount may be recovered from the ADI concerned by the receiver, or a manager for the practice, as a debt and, if recovered, is to be paid into a trust account of the law practice or another trust account nominated by the receiver or manager.