Date issued: 20 August 2020
Part 4.5 of the Uniform Law provides for a fidelity cover scheme, which is a system that provides a source of compensation for clients who have lost trust money or trust property as a result of a default of a law practice.
The interest rate on fidelity fund claims is fixed by section 243(2) of the Uniform Law in the absence of specific provision in the Uniform General Rules.
The Legal Services Council considers it appropriate to reduce the interest rate from the current rate of 5% for the following reasons:
Submissions can be sent to the Council at firstname.lastname@example.org on or before 18 September 2020, and will be published on the Council's website unless advised otherwise.Click here for the Consultation Paper.