The Lawyers and Conveyancers Act (Part 10 (ss304-332)) introduced a new Lawyers’ Fidelity Fund. Under the LCA, all claims relating to theft by lawyers from 1 August 2008 will be made against the new Lawyers’ Fidelity Fund, provided for under Part 10 of the new Act.
The LCA (Lawyers: Fidelity Fund) Regulations 2008 provide for the establishment, maintenance and management of the new fund.
The regulations also include forms for claims and declarations in support of claims.
The maximum amount payable to an individual claimant under the fund is $100,000 (Regulation 11). The fund has a provision that there will be no compensation in respect of money instructed to be invested (s322 of the LCA).
Contributions to the fund are payable by all practitioners who practice on own account, other than those who elect not to receive money or other valuable property in trust (s317 of the LCA).
The Law Society has given notice that it has started the procedures to wind up the old fund (Solicitors’ Fidelity Guarantee Fund), under s.367 of the Lawyers and Conveyancers Act 2006.
The Solicitors’ Fidelity Guarantee Fund has continued to exist following the repeal of the Law Practitioner’s Act 1982. The purpose of this fund was to receive claims for compensation for theft by a solicitor occurring on or before 31 July 2008.
For anyone that has experienced theft by a solicitor on or before 31 July 2008, the last day to make a claim for compensation is 7 February 2023.
Inquiries and potential claims can be sent via email to firstname.lastname@example.org.
Since 2008, the Solicitors’ Fidelity Guarantee Fund has been superseded by the Lawyers’ Fidelity Fund.