Legal Profession Uniform Law

Frequently Asked Questions

• How should my stamp be worded?

  The Legal Services Board + Commissioner and the LIV recommend if you are arranging for a new stamp for certifying documents, the new wording should include your name and address, followed by the phrase:

  "An Australian legal practitioner within the meaning of the Legal Profession Uniform Law (Victoria)"

  You can cross out the reference to the Legal Profession Act 2004 and write ‘Legal Profession Uniform Law (Victoria)’ on any document generated on and from 1 July 2015 that requires your stamp. You should also initial the alteration.

• Where can I find costs precedents compliant with the Uniform Law?

  The LIV is pleased to offer its members a series of cost precedents in Word format, available here.

• Where can I find the standard short disclosure form?

  Under s174(5) of the Uniform Law, law practices may disclose using a standard short disclosure form where total legal costs are are likely to be between $750 and $3000 (excluding GST and disbursements). The form is found in the Legal Profession Uniform General Rules 2015, and is also available here (when the link opens, click on "For law practices (other than barristers)", and a Word document will open).

  The Legal Services Council has published a practitioner information sheet which explains how to use the form. The Legal Services Council also recommends that a client information sheet be provided to clients together with the form.

• If I began a matter before 1 July 2015 and it continued after then, is it affected by the Uniform Law?

  Transitional provisions in the Legal Profession Uniform Law (schedule 4, clause 18) provide that the provisions of the Legal Profession Act 2004 (Vic) regarding legal costs apply to a matter if your client first instructed your law practice in the matter before 1 July 2015. If your client instructs your law practice on or after 1 July 2015, the new legal costs provisions in the Legal Profession Uniform Law will apply to that matter.

• If a client instructed a law practice before 1 July 2015, should the client's rights be provided under the LPA or the Uniform Law?

  The Legal Services Board + Commissioner has provided the following response to this question: Section 3.4.35 of the LPA provided that a bill must include or be accompanied by a statement notifying the client of certain rights in the event of a costs dispute. Falling, as it did, within Part 3.4 "Costs Disclosure and Review" of the LPA, s3.4.35 seems to be a provision of the old legislation relating to legal costs, so a law practice would be expected to issue a bill with a written statement in accordance with s3.4.35.

• If a client instructed a law practice before 1 July 2015, will the LPA apply if there is a dispute about costs?

  The Legal Services Board + Commissioner has provided the following response to this question: Whether the LPA will apply will depend on whether (or the extent to which) the conduct happened or is alleged to have happened before or after the commencement day. Answering that question will be subjective and may be complicated where matters straddle 1 July 2015. In such matters, the Legal Services Board + Commissioner will consider the facts of the particular case and closely liaise with the law practice and client to determine the law applicable to the conduct or to different parts of the conduct.

• Is it still possible to specify a "range" when disclosing an estimate of legal costs?

  Under s174(1) of the Uniform Law, law practices are to provide to clients "an estimate of the total legal costs". There is no longer a reference to provision of a "range" of estimates as under the LPA. The consensus view is that it is no longer possible to specify a range.

  The possibility of "staged" disclosure has been raised, where a law practice discloses an estimate of total legal costs, but this is then broken into different stages of a matter. The Legal Services Board + Commissioner has released RPA Alert #22 to all practitioners on this issue, and it should be available shortly on the Board’s website.

• Do bills need to be signed?

  Section 188 of the Uniform Law provides that a bill given by a law practice or a letter accompanying the bill must be signed by a principal of the law practice designated as responsible principal, or nominate a responsible principal for the bill. If the bill is not signed by a responsible principal or one is not nominated, then all principals of the law practice are taken be responsible principals for the bill. In order to comply with Uniform Law, it appears that bills do not need to be signed or can be signed by persons other than the responsible principal.

• My hard copy of the Act differs from online – does s174(9) in the Legal Profession Uniform Law still apply?

  Section 174(9), which specified that "total legal costs in a matter do not include GST and disbursements" was repealed by the Legal Profession Uniform Law Application Amendment Act 2015 (Vic). Various other provisions were inserted by that Amendment Act into the Legal Profession Uniform Law to specify disclosure obligations regarding GST disbursements. The LIV recommends that you access an up-to-date copy of the legislation here. 

• How can money be withdrawn from a trust to pay legal costs?

  Rule 42 of the Legal Profession Uniform General Rules 2015 specifies the different ways in which money can be withdrawn from trust for payment of legal costs. It is important to note that rule 42(6) allows withdrawal in accordance with a costs agreement, but only where the client is a commercial or government client. Therefore, although rule 42(4) allows withdrawal in accordance with instructions received that authorise the withdrawal, it appears that withdrawal may not be permitted if the instructions are contained in a cost agreement.

  The LIV costs precedents refer to withdrawal of trust money in accordance with the Uniform Law and the General Rules, so law practices will need to review rule 42 and withdraw only in accordance with a procedure in that rule.

• When do law practices need to provide an original trust receipt?

  Rule 36 of the Legal Profession Uniform General Rules 2015 requires law practices to make out a receipt as soon as practicable after trust money is received or after the law practice receives confirmation of the deposit from the relevant ADI. Rule 36(4) requires law practices to give the original receipt as soon as practicable to the person from whom the trust money was received – it only needed to be given "on request" under the Legal Profession Regulations 2005. The LIV is considering the practical issues regarding compliance with Rule 36(4) based on practitioner concerns, and will provide advice to members shortly.

• Do I need to do anything else about my trust account?

  You should read the Trust Money and Trust Account fact sheet and the relevant section in the Legal Profession Uniform Law Guide.

• When I provide advice to borrrowers or guarantors, do I need to complete an Australian legal practitioner’s certificate?

  Rule 11 of the Legal Profession Uniform Legal Practice (Solicitors) Rules 2015 requires use of various forms referred to in that rule when Australian legal practitioners explain security documents to borrowers and guarantors, as follows:

  • Law Institute of Victoria Australian Legal Practitioner’s Certificate 1 (Schedule 1) (PDF)
  • Law Institute of Victoria Australian Legal Practitioner’s Certificate 2 (Schedule 2) (PDF)
  • Law Institute of Victoria Certificate by Translator/Interpreter (Schedule 3) (PDF)
  • Law Institute of Victoria Form of Acknowledgement given by a Borrower or Surety to the Certifying Australian Legal Practitioner (Schedule 4) (PDF)
• How do I get a copy of the Legal Profession Uniform Law Guide?

  It is available for members to print in the Useful Resources section of the Legal Profession Uniform Law section of the website.

• What is the LIV doing to help members understand and adapt to the Uniform Law?

  There are a range of Useful Resources available to LIV members. LIVing Ethics workshops and other professional development seminars also provide practical advice and guidance on how to comply with the new regime. You can also find helpful articles and news, as well as submissions from the LIV regarding the Uniform Law, on our Staying Informed pages.