Liability of Legal Practitioners’ Fidelity Fund set down

fidelity fund
19 Jan 2023

The amount of liability of the Legal Practitioners’ Fidelity Fund has been set down.

The Justice and Constitutional Development department published the amount in Government Gazette 47848 in terms of the Legal Practice Act.

According to section 55(1) of the Legal Practice Act, the Fund is liable to reimburse persons who suffer pecuniary loss, not exceeding the amount determined by the minister from time to time by notice in the Gazette, as a result of theft of any money or other property given in trust to a trust account practice in the course of the practice of the attorney or an advocate referred to in section 34(2)(b), if the theft is committed by an attorney in that practice or advocate, or any person employed by that practice or supervised by that attorney or advocate; by an attorney or person acting as executor or administrator in the estate of a deceased person; or by an attorney or person employed by that attorney who is a trustee in an insolvent estate or in any other similar capacity, excluding a curator to a financial institution in terms of the Banks Act of 1990 or a liquidator of a mutual bank in terms of the Mutual Banks Act of 1993.

The amount of liability is set at R5 million per claim.

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(This article is provided for informational purposes only and not for the purpose of providing legal advice. For more information on the topic, please contact the author/s or the relevant provider.)
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