Queensland Law Society Amendment Rule (No. 1) 2001 (Qld)

Queensland Subordinate Legislation 2001 No. 132 Queensland Law Society Act 1952 QUEENSLAND LAW SOCIETY AMENDMENT RULE (No. 1) 2001 TABLE OF PROVISIONS Section Page 1 Short title . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2 Rule amended . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 3 Amendment of r 6 (Subscription) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 4 Amendment of r 87 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 5 Amendment of r 95 (When practising fee payable) . . . . . . . . . . . . . . . . . . . 6

r1 2 r4 Queensland Law Society Amendment Rule (No. 1) No. 132, 2001 2001 1 Short title This rule may be cited as the Queensland Law Society Amendment Rule (No. 1) 2001 . 2 Rule amended This rule amends the Queensland Law Society Rule 1987. 3 Amendment of r 6 (Subscription) Rule 6(2)— omit, insert— ‘ (2) The subscription is for a financial year. ‘ (2A) However, a practitioner applying for enrolment as a member must pay as subscription for a financial year an amount equal to the following percentage of the subscription for the year— (a) if the application is made no later than 30 September of the financial year—100%; (b) if the application is made after 30 September of the financial year but no later than 31 December of the financial year—75%; (c) if the application is made after 31 December of the financial year but no later than 31 March of the financial year—50%; (d) if the application is made after 31 March of the financial year but no later than 30 June of the financial year—25%. ‘ (2B) Existing members must pay the subscription no later than 31 May before the start of the financial year.’. 4 Amendment of r 87 (1) Rule 87, as heading— insert— ‘ Mortgage practices ’. (2) Rule 87(2)— insert—

r4 3 r4 Queensland Law Society Amendment Rule (No. 1) No. 132, 2001 2001 ‘ “contact request form” , for a contributory mortgage, means a written form stating that, if a contributor requires the contributor’s contact details to be given to other contributors, the contributor must complete the form as to what contact details are to be given and sign it and return it to the responsible practitioner within 14 days of the date the default notice issued. ‘‘default notice” , for a contributory mortgage, means a written notice to a contributor that— (a) gives full particulars of a material default; and (b) states the date the notice is issued; and (c) advises that the contributor may request a meeting of contributors by signing and returning the meeting request form to the responsible practitioner within 14 days of the date the notice issued; and (d) advises that the contributor may request that the contributor’s contact details be given to all other contributors by signing and returning the contact request form to the responsible practitioner within 14 days of the date the notice issued. “material default” — 1. A “material default” , for a contributory mortgage, is— (a) a default by the borrower in payment under the mortgage of interest so that interest is owing for a period of not less than 3 months; or (b) a default by the borrower in repayment under the mortgage of part or all of the principal so that the part or all of the principal is owing for a period of not less than 3 months after the date for repayment. 2. For this definition, payment of interest by or on behalf of the responsible practitioner does not remedy a default mentioned in item 1(a). “meeting request form” , for a contributory mortgage, means a written form stating that, if a contributor requires a meeting of contributors because of a material default, the contributor must sign the form and return it to the responsible practitioner within 14 days of the date the default notice issued. “principal” , for a contributory mortgage, means the moneys provided to the borrower under the mortgage.

r4 4 r4 Queensland Law Society Amendment Rule (No. 1) No. 132, 2001 2001 “report about a mortgage” , for a contributory mortgage, means a written report that— (a) states the amount of principal outstanding for the mortgage; and (b) gives details of any reports and proposals obtained by the responsible practitioner about property against which the mortgage is secured, including valuation reports and marketing proposals; and (c) states the responsible practitioner’s opinion about the period of time the property against which the mortgage is secured may take to sell; and (d) states the responsible practitioner’s opinion about the extent to which it is likely that there will be a deficiency in the principal and interest paid under the mortgage. “responsible practitioner” , for a contributory mortgage, means — (a) the practitioner who acts as trustee of the mortgage; or (b) if a practitioner’s nominee company acts as trustee of the mortgage, each practitioner who is a member or director of the company.’. (3) Rule 87— insert— ‘ (14) If there is a material default in a contributory mortgage, the responsible practitioner must, as soon as reasonably practicable but not more than 28 days after the material default happens, give each contributor— (a) a default notice; and (b) a copy of subrule (2) and subrules (14) to (28); and (c) a report about the mortgage; and (d) a meeting request form; and (e) a contact request form. ‘ (15) At the written request of— (a) contributors whose interests represent not less than 25% of the moneys secured by the contributory mortgage; or

r4 5 r4 Queensland Law Society Amendment Rule (No. 1) No. 132, 2001 2001 (b) not less than 25% of the total number of contributors for the contributory mortgage; the responsible practitioner must call a meeting of all contributors with the responsible practitioner for a date not more than 28 days after the date the default notice issued. ‘ (16) The time and place of the meeting must be reasonable in all the circumstances. ‘ (17) A contributor may, by signed notice, give any person a power to vote for the contributor by way of proxy vote at the meeting. ‘ (18) The responsible practitioner is to preside at the meeting and is to put the following question to the meeting— ‘That [name of the responsible practitioner or name of the practitioner’s nominee company] continue to act as trustee of the contributory mortgage.’. ‘ (19) At the meeting, the question is decided in the affirmative if either— (a) contributors whose interests represent more than 50% of the moneys secured by the contributory mortgage vote in the affirmative; or (b) a majority of the total number of contributors for the contributory mortgage vote in the affirmative. ‘ (20) The responsible practitioner is to have a vote only if the responsible practitioner is a contributor. ‘ (21) Contributors are able to take part in the meeting by telephone, closed-circuit television or another form of communication allowing reasonably contemporaneous and continuous communication between contributors taking part in the meeting. ‘ (22) The responsible practitioner must— (a) keep a record of the minutes of the meeting and its decision on the question; and (b) give the ASIC a copy of the record within 7 days after the meeting. ‘ (23) A trustee’s functions in relation to a contributory mortgage continue, despite the question mentioned in subrule (18) not being answered in the affirmative, until a new trustee is appointed by a court.

r5 6 r5 Queensland Law Society Amendment Rule (No. 1) No. 132, 2001 2001 ‘ (24) If the responsible practitioner fails to comply with subrule (14), (15), (27) or (28), the Society— (a) may comply with the subrule as if it were the responsible practitioner; and (b) may require the responsible practitioner to give the Society a list of the names and addresses of all contributors for the contributory mortgage. ‘ (25) A failure of the responsible practitioner to comply, without reasonable excuse, with any of the following requirements is professional misconduct— (a) a requirement under subrule (14), (15), (16), (18), (24)(b), (27) or (28); (b) continuation of a trustee’s functions under subrule (23). ‘ (26) Strict compliance with the notice, report and forms mentioned in subrule (14) is not necessary and substantial compliance, including the use of a combined document, is sufficient. ‘ (27) The responsible practitioner must, at the request of a contributor, give the contributor’s contact details to all other contributors for the contributory mortgage. ‘ (28) The contact details must be given— (a) if the responsible practitioner issued a default notice and the contributor returns a completed contact request form within 14 days of the date the default notice issued—within 21 days of the date the default notice issued; or (b) otherwise—as soon as practicable after the responsible practitioner receives the request.’. 5 Amendment of r 95 (When practising fee payable) (1) Rule 95, from ‘in any particular case’— omit, insert— ‘in any particular case.’. (2) Rule 95— insert—

r5 7 r5 Queensland Law Society Amendment Rule (No. 1) No. 132, 2001 2001 ‘ (2) The practising fee is for a financial year. ‘ (3) However, a practitioner starting practice must pay as the practising fee for a financial year an amount equal to the following percentage of the fee for the year— (a) if the practitioner starts practice no later than 30 September of the financial year—100%; (b) if the practitioner starts practice after 30 September of the financial year but no later than 31 December of the financial year—75%; (c) if the practitioner starts practice after 31 December of the financial year but no later than 31 March of the financial year—50%; (d) if the practitioner starts practice after 31 March of the financial year but no later than 30 June of the financial year—25%. ‘ (4) Existing practitioners must pay the practising fee no later than 31 May before the start of the financial year.’. ENDNOTES 1. Approved by the Governor in Council on 2 August 2001. 2. The amendment approved in this rule was made by the Council of the Queensland Law Society Incorporated on 1 August 2001. 3. Notified in the gazette on 3 August 2001. 4. Laid before the Legislative Assembly on . . . 5. The administering agency is the Department of Justice and Attorney-General. © State of Queensland 2001