Queensland Law Society

Legal Profession Regulation 2017 commences

On 1 September, the Legal Profession Regulation 2017 (LPR 2017) commenced, replacing the Legal Profession Regulation 2007.

The table below summarises the changes under LPR 2017:

Section Comment
S29(1) Keeping and printing trust records Change in regulation now allows law practices that maintain computerised trust accounting records to retain monthly reports (cashbook, reconciliation statements, listing of ledger balances and listing of controlled money) in an electronic format as long as the reports can be printed later upon request.

Former S29(1)(e-f) have been incorporated into s29(2).
S44(3) reconciliation of trust records

Principal of the law practice to review monthly reconciliation statement.

Evidence of the principal’s review to be annotated to the monthly reconciliation statement.

S50(2) Withdrawal of controlled money Withdrawal from controlled money account can only be effected by cheque or electronic funds transfer.
S51(9) Register of controlled money

Principal of the law practice to review monthly reconciliation statement.

Evidence of the principal’s review to be annotated to the monthly reconciliation statement.

S55(1) Register of investments

The former s55(1) has been deleted:

“This section applies if trust money mentioned in section 238(3) of the Act is invested by a law practice for or on behalf of a client, but this section does not itself confer power to make investments.”

S55(2)(g) Register of investments The former s55(3)(g) was:

“particulars sufficient to identify the source of the investment, including for example–

  1. A reference to the relevant trust ledger; and (ii)
  2. A reference to the written authority to make the investment; and
  3. The number of the cheque for the amount to be invested”.

It has been replaced with s55(2)(g) with:

“particulars sufficient to identify the source of the investment”.

S57(2) Register of powers and estates in relation to trust money

Subsection 2 has been inserted: “

Subsection (1) does not apply if the law practice or associate is also required to act jointly with 1 or more persons who are not associates of the law practice.”

S58 Procedure and requirements for withdrawing trust money for legal costs – Act, s258

This section has been restructured into the following categories:

  1. Bill of costs given to client (s58(2)),
  2. Costs agreement or trust account authority held (s58(3)), and
  3. Reimbursement of outlay paid (s58(4)).

Each of these sections have two parts and both parts must be complied with before effecting a withdrawal.

S66 Way in which external examination must be carried out – Act, s273 New subsection 2 that allows the Society to grant external examiners an exemption from reporting in the approved form.